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Tyler (TYL) Up on Q1 Earnings & Revenue Beat, Guidance Raise
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Tyler Technologies’ (TYL - Free Report) shares rallied 3.4% in Wednesday’s extended trading session after the integrated software and technology services provider reported better-than-expected first-quarter results and raised the earnings guidance for full-year 2022.
Tyler’s first-quarter non-GAAP earnings of $1.90 per share surpassed the Zacks Consensus Estimate of $1.77. The bottom line also improved by 32.9% from $1.43 per share in the year-ago quarter.
GAAP and non-GAAP revenues increased 54.7% year over year to $456.1 million from $294.8 million reported a year ago. The top line surpassed Zacks Consensus Estimate of $435.3 million.
The robust year-over-year top-line growth was primarily driven by the post-acquisition contributions of NIC and the continuous recovery of market and sales activities to pre-pandemic levels. On an organic basis, non-GAAP revenues increased 12.8%.
Tyler Technologies, Inc. Price, Consensus and EPS Surprise
Tyler’s recurring revenues from maintenance and subscriptions increased 63.6% year over year to $362.5 million and accounted for 79.5% of the total quarterly revenues.
TYL reported annualized recurring revenues on a non-GAAP basis of $1.45 billion, up 63.6% year over year. Subscription bookings in the first quarter added $6 million to annual recurring revenues.
Segment-wise, maintenance revenues (accounting for 25.7% of total revenues) were $117 million, down from $119.1 million in the year-ago quarter.
Subscription revenues (53.8% of total revenues) soared 139.5% year over year to $245.4 million.
Software licenses and royalties (3.6% of total revenues) of $16.5 million increased 10.5% on a year-over-year basis.
Software Services revenues (13.5% of total revenues) amounted to $61.5 million, up 29.1% from the year-ago quarter.
Appraisal services revenues (1.9% of total revenues) rose 31.8% from the prior-year quarter to $8.5 million.
Hardware and other revenues (1.3% of total revenues) jumped 70.5% from the year-ago quarter to $7.1 million.
The backlog at the quarter-end was $1.76 billion, up 13.8% year over year.
Bookings surged 70.1% year over year to $419 million due to the post-acquisition activities of NIC and the continuous rebound of market trends to pre-pandemic levels. Excluding NIC’s contributions, bookings increased 14.7% year over year. In the trailing 12 months, bookings increased 65% year over year to $1.9 billion. Excluding NIC contributions, bookings grew 21.7% to $1.4 billion.
Operating Details
Tyler’s non-GAAP gross profit increased 35.1% year over year to $212.4 million. However, the non-GAAP gross margin contracted by 670 basis points (bps) to 46.6%.
Adjusted EBITDA increased 39.2% year over year to $119.2 million.
Non-GAAP operating income for the quarter totaled $110.8 million, up 40.5% year over year. However, the non-GAAP operating margin contracted by 250 bps to 24.3%.
Balance Sheet & Other Financial Details
As of Mar 31, 2022, Tyler’s cash and cash equivalents were $243.3 million compared with $309.2 million on Dec 31, 2021.
The company generated $53.5 million in cash from operational activities and $41 million of free cash flow.
Guidance
Buoyed by the solid fourth-quarter performance, TYL raised its adjusted earnings guidance range for 2022 to the range of $7.48-$7.64 per share from the $7.41-$7.58 per share band projected earlier.
The company also raised the lower end of the revenue guidance range. It now forecasts to generate GAAP and non-GAAP revenues in the range of $1.835-$1.870 billion, instead of the previous projection of the $1.83-$1.87 billion range.
The Zacks Consensus Estimate for Yelp's first-quarter 2022 loss has been revised a couple of cents southward to 11 cents per share over the past 60 days. For 2022, earnings estimates have moved north by 53.6% to $1.06 per share in the past 60 days.
Yelp's earnings beat the Zacks Consensus Estimate in the preceding four quarters, the average surprise being 632.9%. Shares of YELP have fallen 20.2% in the past year.
The Zacks Consensus Estimate for Gogo's first-quarter 2022 earnings has been revised downward by a penny to 13 cents per share over the past 30 days. For 2022, Gogo's earnings estimates have moved north by 25% to 65 cents per share in the past 60 days.
Gogo's earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 65%. Shares of GOGO have soared 68.9% in the past year.
The Zacks Consensus Estimate for Analog Devices' second-quarter fiscal 2022 earnings has been revised upward by 4 cents to $2.12 per share over the past 30 days. For fiscal 2022, earnings estimates have moved north by 11 cents to $8.43 per share in the past 30 days
Analog Devices' earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 6%. Shares of ADI have decreased 2.8% in the past year.
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Tyler (TYL) Up on Q1 Earnings & Revenue Beat, Guidance Raise
Tyler Technologies’ (TYL - Free Report) shares rallied 3.4% in Wednesday’s extended trading session after the integrated software and technology services provider reported better-than-expected first-quarter results and raised the earnings guidance for full-year 2022.
Tyler’s first-quarter non-GAAP earnings of $1.90 per share surpassed the Zacks Consensus Estimate of $1.77. The bottom line also improved by 32.9% from $1.43 per share in the year-ago quarter.
GAAP and non-GAAP revenues increased 54.7% year over year to $456.1 million from $294.8 million reported a year ago. The top line surpassed Zacks Consensus Estimate of $435.3 million.
The robust year-over-year top-line growth was primarily driven by the post-acquisition contributions of NIC and the continuous recovery of market and sales activities to pre-pandemic levels. On an organic basis, non-GAAP revenues increased 12.8%.
Tyler Technologies, Inc. Price, Consensus and EPS Surprise
Tyler Technologies, Inc. price-consensus-eps-surprise-chart | Tyler Technologies, Inc. Quote
Quarterly Details
Tyler’s recurring revenues from maintenance and subscriptions increased 63.6% year over year to $362.5 million and accounted for 79.5% of the total quarterly revenues.
TYL reported annualized recurring revenues on a non-GAAP basis of $1.45 billion, up 63.6% year over year. Subscription bookings in the first quarter added $6 million to annual recurring revenues.
Segment-wise, maintenance revenues (accounting for 25.7% of total revenues) were $117 million, down from $119.1 million in the year-ago quarter.
Subscription revenues (53.8% of total revenues) soared 139.5% year over year to $245.4 million.
Software licenses and royalties (3.6% of total revenues) of $16.5 million increased 10.5% on a year-over-year basis.
Software Services revenues (13.5% of total revenues) amounted to $61.5 million, up 29.1% from the year-ago quarter.
Appraisal services revenues (1.9% of total revenues) rose 31.8% from the prior-year quarter to $8.5 million.
Hardware and other revenues (1.3% of total revenues) jumped 70.5% from the year-ago quarter to $7.1 million.
The backlog at the quarter-end was $1.76 billion, up 13.8% year over year.
Bookings surged 70.1% year over year to $419 million due to the post-acquisition activities of NIC and the continuous rebound of market trends to pre-pandemic levels. Excluding NIC’s contributions, bookings increased 14.7% year over year. In the trailing 12 months, bookings increased 65% year over year to $1.9 billion. Excluding NIC contributions, bookings grew 21.7% to $1.4 billion.
Operating Details
Tyler’s non-GAAP gross profit increased 35.1% year over year to $212.4 million. However, the non-GAAP gross margin contracted by 670 basis points (bps) to 46.6%.
Adjusted EBITDA increased 39.2% year over year to $119.2 million.
Non-GAAP operating income for the quarter totaled $110.8 million, up 40.5% year over year. However, the non-GAAP operating margin contracted by 250 bps to 24.3%.
Balance Sheet & Other Financial Details
As of Mar 31, 2022, Tyler’s cash and cash equivalents were $243.3 million compared with $309.2 million on Dec 31, 2021.
The company generated $53.5 million in cash from operational activities and $41 million of free cash flow.
Guidance
Buoyed by the solid fourth-quarter performance, TYL raised its adjusted earnings guidance range for 2022 to the range of $7.48-$7.64 per share from the $7.41-$7.58 per share band projected earlier.
The company also raised the lower end of the revenue guidance range. It now forecasts to generate GAAP and non-GAAP revenues in the range of $1.835-$1.870 billion, instead of the previous projection of the $1.83-$1.87 billion range.
Zacks Rank & Key Picks
Tyler currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the broader technology sector are Yelp (YELP - Free Report) , Gogo (GOGO - Free Report) and Analog Devices (ADI - Free Report) . Yelp and Gogo each sport a Zacks Rank #1 (Strong Buy), while Analog Devices carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Yelp's first-quarter 2022 loss has been revised a couple of cents southward to 11 cents per share over the past 60 days. For 2022, earnings estimates have moved north by 53.6% to $1.06 per share in the past 60 days.
Yelp's earnings beat the Zacks Consensus Estimate in the preceding four quarters, the average surprise being 632.9%. Shares of YELP have fallen 20.2% in the past year.
The Zacks Consensus Estimate for Gogo's first-quarter 2022 earnings has been revised downward by a penny to 13 cents per share over the past 30 days. For 2022, Gogo's earnings estimates have moved north by 25% to 65 cents per share in the past 60 days.
Gogo's earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 65%. Shares of GOGO have soared 68.9% in the past year.
The Zacks Consensus Estimate for Analog Devices' second-quarter fiscal 2022 earnings has been revised upward by 4 cents to $2.12 per share over the past 30 days. For fiscal 2022, earnings estimates have moved north by 11 cents to $8.43 per share in the past 30 days
Analog Devices' earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 6%. Shares of ADI have decreased 2.8% in the past year.