Customer engagement software provider Braze (NASDAQ:BRZE) will be announcing earnings results tomorrow after market close. Here’s what to look for.
Braze beat analysts’ revenue expectations by 2.6% last quarter, reporting revenues of $152.1 million, up 22.7% year on year. It was a very strong quarter for the company, with a solid beat of analysts’ billings estimates and EPS guidance for next quarter exceeding analysts’ expectations. It added 48 customers to reach a total of 2,211.
Is Braze a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Braze’s revenue to grow 18.9% year on year to $155.7 million, slowing from the 32.7% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.05 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Braze has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 3.8% on average.
Looking at Braze’s peers in the sales and marketing software segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Sprout Social delivered year-on-year revenue growth of 14.4%, meeting analysts’ expectations, and Upland reported a revenue decline of 5.8%, in line with consensus estimates. Sprout Social traded up 3.1% following the results while Upland was also up 8.6%.
Read our full analysis of Sprout Social’s results here and Upland’s results here.
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