AvidXchange Reports Strong Q3 2024 Financial Performance
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AvidXchange Reports Strong Q3 2024 Financial Performance

Avidxchange Holdings, Inc. ( (AVDX) ) has released its Q3 earnings. Here is a breakdown of the information Avidxchange Holdings, Inc. presented to its investors.

AvidXchange Holdings, Inc. is a prominent provider of accounts payable automation software and payment solutions tailored for middle market businesses, offering a distinctive two-sided network connecting buyers and suppliers to streamline payment processes.

In its third quarter of 2024, AvidXchange reported robust financial performance marked by notable improvements in both gross and operating margins, largely attributed to strong revenue growth and operational efficiencies. The company executed $25.1 million of its $100 million share repurchase program and maintained a strong balance sheet with considerable cash reserves while also restructuring its debt.

The company achieved a 14.3% year-over-year increase in total revenue, reaching $112.8 million. Non-GAAP gross margin improved to 74.5%, and adjusted EBITDA margin rose to 20.7%. AvidXchange also reported a GAAP net income of $4.0 million, a significant turnaround from the previous year’s net loss of $8.1 million. Additionally, the company processed 20.2 million transactions, representing a 5.2% increase, with a total payment volume of $21.5 billion, up 9.4% from the previous year.

AvidXchange’s strategic initiatives, including new product launches like Payment 2.0 Platform and Spend Management, alongside integration partnerships, are expected to support continued growth and profitability. The company has revised its full-year 2024 financial outlook upwards, anticipating revenue between $437.0 million and $439.0 million and adjusted EBITDA between $78.0 million and $79.0 million.

Looking forward, AvidXchange is optimistic about its ability to advance growth and value creation, driven by its strong financial position and strategic focus on enhancing its product offerings and market presence, despite a challenging macroeconomic environment.

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