CRM Platform HubSpot Reports Q4 and Full Year 2022 Results

HubSpot, Inc., the customer relationship management (CRM) platform for businesses to scale, today announced financial results for the fourth quarter and full year that ended December 31, 2022.

Financial highlights:

Income

The fourth quarter of 2022:

Total revenue was $469.7 million, up 27% compared to Q4’21.
Subscription revenue was $458.2 million, up 28% from Q4’21.
Professional Services and Other Income was $11.5 million, up 8% from Q4’21.

Full-year 2022:

Total revenue was 1.731 billion USD, up 33% compared to 2021. Subscription revenue was $1.691 billion, up 34% from 2021.
Professional and other services revenue was $40.4 million, down 5% from 2021.
Operating profit (loss)

The fourth quarter of 2022:

GAAP operating margin was (2.9%) compared to (2.2%) in Q4’21.
The non-GAAP operating margin was 13.6%, compared with 10.3% in Q4’21.
GAAP operating loss was ($13.5) million, compared with ($8.2) million in Q4’21. Non-GAAP operating income was $64.0 million versus $38.2 million in Q4’21.

Full-year 2022:

GAAP operating margin is (6.3%) compared to (4.2%) in 2021.
Non-GAAP operating margin is 9.8%, compared with 9.0% in 2021.
GAAP operating loss was ($109.1) million, compared with ($54.8) million in 2021.
Non-GAAP operating income was $169.1 million, compared with $117.6 million in 2021.
Net profit (net loss)

The fourth quarter of 2022:

GAAP net loss was ($15.6) million, or ($0.32) per basic and diluted share, compared with ($16.4) million, or ($0.35) per underlying and Dilute into T4’21. Non-GAAP net income was $56.8 million, or $1.17 per underlying share and $1.11 per diluted share, compared with $29.6 million, or $0.63 per share. per underlying share and $0.58 per diluted share in Q4’21.
The weighted average number of basic and diluted shares outstanding for GAAP net loss per share is 48.8 million shares, compared with 47.3 million shares of basic and diluted shares in Q4’21.
The weighted average underlying and diluted shares outstanding yielded non-GAAP net income per share of 48.8 million and 51.1 million, respectively, compared with 47.3 million and 50.9 million, respectively. respectively in Q4’21.

Full-year 2022:

GAAP net loss was ($112.7) million, or ($2.35) per basic and diluted share, compared with ($77.8) million, or ($1.66) per underlying and dilution in 2021.
Non-GAAP net income was $141.8 million, or $2.95 per underlying share and $2.78 per diluted share, compared with $92.5 million, or $1.97 per share. per underlying share and $1.82 per diluted share in 2021. The weighted average of the underlying and diluted shares outstanding for net loss per share under GAAP is 48.1 million shares, compared with 46.9 million shares of the underlying and shares. dilution in 2021.
The weighted average basic shares and diluted shares outstanding for non-GAAP net income per share are 48.1 million and 51.1 million, respectively, compared with 46.9 million and 50.7 million, respectively. million respectively in 2021.

Balance sheet and cash flow

The company’s balance of cash, cash equivalents, and short- and long-term investments is $1.5 billion as of December 31, 2022.
In the fourth quarter, the company generated $90.0 million in operating cash and operating cash flow, compared with $95.2 million in operating cash and $97.2 million dollars of cash from operations, excluding $2.0 million used to redeem convertible bonds. , in Q4’21.
In Q4, the company generated $70.9 million in free cash, compared with $78.3 million in Q4 2021.
In 2022, the company generated $273.2 million in operating cash and operating cash flows, compared with $238.7 million in operating cash and 265.2 million dollars in cash from operations, excluding the $26.4 million used to redeem convertible bonds, in 2021.
The company generated $191.4 million in free cash in 2022, compared with $203.3 million in 2021.