VTEX Reports Second Quarter 2024 Financial Results
VTEX (NYSE: VTEX) reported strong Q2 2024 financial results, showcasing profitable growth and global expansion. Key highlights include:
- Total revenue increased 18.1% YoY to $56.5 million
- Subscription revenue grew 20.6% YoY to $54.0 million
- Non-GAAP operating income reached $6.4 million, up from a $1.5 million loss in Q2 2023
- Non-GAAP free cash flow was positive at $3.2 million
- GMV reached $4.4 billion, up 15.6% YoY
VTEX expanded its customer base globally, adding new clients in Australia, Brazil, Mexico, Portugal, and the US. The company also saw existing customers expand their operations across multiple countries. VTEX's focus on innovation and operational efficiency has led to eight consecutive quarters of double-digit YoY operating margin expansion.
VTEX (NYSE: VTEX) ha riportato risultati finanziari solidi per il Q2 2024, evidenziando una crescita profittevole e un'espansione globale. I punti salienti includono:
- Il fatturato totale è aumentato del 18,1% rispetto all'anno precedente, raggiungendo $56,5 milioni
- Il fatturato da abbonamenti è cresciuto del 20,6% anno su anno, toccando i $54,0 milioni
- Il reddito operativo non-GAAP ha raggiunto i $6,4 milioni, in aumento rispetto a una perdita di $1,5 milioni nel Q2 2023
- Il flusso di cassa libero non-GAAP è stato positivo, a $3,2 milioni
- Il GMV ha raggiunto $4,4 miliardi, registrando un aumento del 15,6% rispetto a un anno fa
VTEX ha ampliato la sua base clienti a livello globale, aggiungendo nuovi clienti in Australia, Brasile, Messico, Portogallo e Stati Uniti. L'azienda ha anche osservato che i clienti esistenti hanno espanso le loro operazioni in più paesi. Il focus di VTEX su innovazione ed efficienza operativa ha portato a otto trimestri consecutivi di espansione a doppia cifra del margine operativo anno su anno.
VTEX (NYSE: VTEX) reportó sólidos resultados financieros para el Q2 2024, destacando un crecimiento rentable y una expansión global. Los puntos clave incluyen:
- Los ingresos totales aumentaron un 18.1% interanual, alcanzando $56.5 millones
- Los ingresos por suscripción crecieron un 20.6% interanual, llegando a $54.0 millones
- La ganancia operativa no-GAAP alcanzó los $6.4 millones, en comparación con una pérdida de $1.5 millones en el Q2 2023
- El flujo de caja libre no-GAAP fue positivo con $3.2 millones
- El GMV alcanzó los $4.4 mil millones, un aumento del 15.6% interanual
VTEX amplió su base de clientes a nivel global, añadiendo nuevos clientes en Australia, Brasil, México, Portugal y EE. UU. La compañía también observó que los clientes existentes expandieron sus operaciones en varios países. El enfoque de VTEX en la innovación y la eficiencia operativa ha llevado a ocho trimestres consecutivos de expansión del margen operativo interanual de dos dígitos.
VTEX (NYSE: VTEX)는 2024년 2분기 강력한 재무 실적을 보고하며, 수익성 있는 성장과 글로벌 확장을 선보였습니다. 주요 하이라이트에는:
- 총 수익이 전년 대비 18.1% 증가하여 5,650만 달러에 도달했습니다
- 구독 수익은 전년 대비 20.6% 증가하여 5,400만 달러에 도달했습니다
- 비-GAAP 운영 수익은 640만 달러에 도달하며, 2023년 2분기 150만 달러 손실에서 증가했습니다
- 비-GAAP 자유 현금 흐름은 320만 달러로 긍정적이었습니다
- GMV는 44억 달러에 도달하여 전년 대비 15.6% 증가했습니다
VTEX는 호주, 브라질, 멕시코, 포르투갈 및 미국에서 새로운 고객을 추가하여 전 세계 고객 기반을 확장했습니다. 이 회사는 기존 고객이 여러 국가에서 운영을 확장하는 것을 관찰했습니다. VTEX의 혁신과 운영 효율성에 대한 초점은 8분기 연속으로 연간 두 자릿수 운영 마진 확장을 이끌었습니다.
VTEX (NYSE: VTEX) a rapporté de solides résultats financiers pour le deuxième trimestre 2024, mettant en avant une croissance rentable et une expansion mondiale. Les points clés incluent :
- Le chiffre d'affaires total a augmenté de 18,1 % d'une année sur l'autre pour atteindre 56,5 millions de dollars
- Les revenus d'abonnement ont crû de 20,6 % d'une année sur l'autre pour atteindre 54,0 millions de dollars
- Le résultat d'exploitation non-GAAP a atteint 6,4 millions de dollars, contre une perte de 1,5 million de dollars au deuxième trimestre 2023
- Le flux de trésorerie disponible non-GAAP était positif à 3,2 millions de dollars
- Le GMV a atteint 4,4 milliards de dollars, soit une augmentation de 15,6 % d'une année sur l'autre
VTEX a élargi sa base de clients à l'échelle mondiale, ajoutant de nouveaux clients en Australie, au Brésil, au Mexique, au Portugal et aux États-Unis. L'entreprise a également constaté que les clients existants ont élargi leurs opérations dans plusieurs pays. L'accent mis par VTEX sur l'innovation et l'efficacité opérationnelle a conduit à huit trimestres consécutifs d'expansion à deux chiffres de la marge opérationnelle d'une année sur l'autre.
VTEX (NYSE: VTEX) hat starke Finanzzahlen für das 2. Quartal 2024 gemeldet und damit ein profitables Wachstum sowie eine globale Expansion gezeigt. Zu den wichtigsten Punkten gehören:
- Der Gesamtumsatz stieg im Vergleich zum Vorjahr um 18,1 % auf 56,5 Millionen US-Dollar
- Die Abonnementumsätze wuchsen um 20,6 % im Jahresvergleich und erreichten 54,0 Millionen US-Dollar
- Das operative Ergebnis (non-GAAP) belief sich auf 6,4 Millionen US-Dollar, ein Anstieg von einem Verlust von 1,5 Millionen US-Dollar im 2. Quartal 2023
- Der freie Cashflow (non-GAAP) war mit 3,2 Millionen US-Dollar positiv
- Der GMV erreichte 4,4 Milliarden US-Dollar, was einem Anstieg von 15,6 % im Jahresvergleich entspricht
VTEX hat seine Kundenbasis weltweit erweitert und neue Kunden in Australien, Brasilien, Mexiko, Portugal und den USA hinzugefügt. Das Unternehmen stellte zudem fest, dass bestehende Kunden ihre Aktivitäten in mehreren Ländern ausweiteten. Der Fokus von VTEX auf Innovation und operative Effizienz hat zu acht aufeinanderfolgenden Quartalen mit zweistelligem Wachstum der operativen Marge im Jahresvergleich geführt.
- Total revenue increased 18.1% YoY to $56.5 million
- Subscription revenue grew 20.6% YoY to $54.0 million
- Non-GAAP operating income reached $6.4 million, up from a $1.5 million loss in Q2 2023
- Non-GAAP free cash flow was positive at $3.2 million
- GMV reached $4.4 billion, up 15.6% YoY
- Non-GAAP subscription gross margin expanded 285 bps YoY to 78.1%
- Added new customers in multiple countries and expanded existing customer operations
- None.
Insights
VTEX's Q2 2024 results demonstrate strong financial performance and operational efficiency. Subscription revenue grew 20.6% YoY to
The Non-GAAP subscription gross margin increased to
VTEX's platform enhancements and customer wins showcase its technological prowess. The company's success with clients like Ageas Seguros, Chooze and Pague Menos highlights its ability to provide tailored solutions across various industries. The introduction of features like the VTEX Ads Network and improvements to the VTEX Sales App demonstrate ongoing innovation.
The company's focus on omnichannel capabilities, as seen with Librerías Gandhi and its ability to integrate complex systems, as with H Mart, show VTEX's adaptability to diverse business needs. The platform's support for A/B testing and infrastructure management through VTEX IO, as utilized by Doto, indicates a strong emphasis on data-driven decision-making and scalability. These technological advancements position VTEX well in the competitive e-commerce platform market.
VTEX's Q2 results and outlook reflect positive market trends in the e-commerce sector. The company's global expansion is evident from new customer acquisitions across multiple countries and existing customers expanding to new markets. This geographic diversification can help mitigate regional economic risks.
The success of VTEX Connect Europe indicates growing brand recognition in a key market. The company's ability to attract major brands like Dior, Nike and Victoria's Secret suggests strong market positioning. VTEX's focus on emerging trends like Retail Media and Buy Now, Pay Later services shows alignment with market demands. The increased FY2024 revenue growth target of
Subscription revenue growth reached
Gross profit increased by
Non-GAAP operating income margin reached
Geraldo Thomaz Jr., founder and co-CEO of VTEX, commented, “VTEX's profitable growth strategy is making strides, demonstrated by eight consecutive quarters of double-digits year-over-year operating margin expansion while delivering a high-growth pace. The VTEX Platform global competitive position strengthens as we evolve our product offering and garner industry analyst recognition, and our operational results are boosted by costs optimization and expenses discipline. These efforts reinforce our vision to become the backbone of connected commerce and deliver our long-term growth ambitions.” Mariano Gomide de Faria, founder and co-CEO of VTEX, added, “VTEX continues to see strong sales momentum. We welcome new customers in
Second Quarter 2024 Financial Highlights
-
GMV reached US
billion in the second quarter of 2024, representing an YoY increase of 15.6% in USD and 19.4% on an FX neutral basis.$4.4 - Total revenue increased to US$56.5 million in the second quarter of 2024 from US$47.9 million in the second quarter of 2023, representing a YoY increase of 18.1% in USD and 21.9% on an FX neutral basis.
- Subscription revenue represented 95.5% of total revenues, reaching to US$54.0 million in the second quarter of 2024, from US$44.8 million in the second quarter of 2023. This represents a YoY increase of 20.6% in USD and 24.7% on an FX neutral basis.
-
Non-GAAP subscription gross profit was US$42.2 million in the second quarter of 2024, compared to US$33.7 million in the second quarter of 2023, representing a YoY increase of 25.1% in USD and 30.1% on an FX neutral basis.
- Non-GAAP subscription gross margin was 78.1% in the second quarter of 2024, compared to 75.3% in the same quarter of 2023. The YoY margin expansion of 285 bps was mainly attributable to the ongoing monitoring of cloud investments, migrating microservices to more efficient solutions, among other impacts.
- Non-GAAP income from operations was US$6.4 million during the second quarter of 2024, compared to a Non-GAAP loss from operations of US$1.5 million in the same quarter of 2023.
- Non-GAAP positive free cash flow was US$3.2 million during the second quarter of 2024, compared to a Non-GAAP negative free cash flow of US$3.3 million in the same quarter of 2023.
- As of June 30, 2024, our total headcount was 1,339, increasing 0.4% QoQ and 2.6% YoY.
Second Quarter 2024 Commercial Highlights:
-
New customers who initiated their operations with us, among others: Chooze in
Australia ; Armani, Colormaq, Drogal, and PneuBarato inBrazil ; The Line Group inChile ; Addi marketplace inColombia ; Grupo Nazan and Librerías Gandhi inMexico ; Ageas Seguros inPortugal ; and MyEyeDr in the US. - Existing customers expanding their operations with us by opening new online stores, among others:
-
Essity, who added four brands in
Colombia , now operating with 11 brands across five countries in Latam; - Hearst, who added Cosmopolitan, now operating with three stores in the US;
-
Multilaser in
Brazil , who added a new brand, DJI, now operating with three stores in the country; -
Motorola, who added a store in
Sweden , now operating across APAC,Canada , EMEA, Latam, and the US -
Nike, who added a store in
Uruguay , now operating in four countries across Latam; and -
Victoria's Secret, who added a store in
El Salvador , now operating in 12 countries across Latam.
Second Quarter 2024 Operational Highlights:
We innovate aligned with our guiding principles. We express our brand through the success of our customers. VTEX key operational highlights this quarter are:
-
Zero friction onboarding and collaboration:
-
Ageas Seguros, the largest insurance provider in
Belgium and a leader in 14 other countries, partnered with VTEX to launch a new marketplace inPortugal under their Médis brand. VTEX’s unique native marketplace capability, combined with its robust front-end features, including the Store Framework and optimized checkout flow, allowed the customer to integrate multiple payment methods and gift card options optimally. Furthermore, by adopting the VTEX Seller Portal, Ageas Seguros can now efficiently and seamlessly onboard sellers, creating an innovative healthcare ecosystem. - Chooze, an Australian disability equipment distributor supporting disabled and aging Australians, has launched its operations with VTEX, leveraging its out-of-the-box features such as marketplace, seller portal, OMS, and VTEX IO. Seeking to ensure the best customer experience, and with 134 sellers and over 18,000 products, Chooze allows easy product comparisons and purchases from multiple sellers and creates customized NDIS-friendly invoicing for multi-shop purchases using VTEX IO IPaaS, simplifying claims and reducing delays. Alongside VTEX, Chooze is setting a new standard in disability and aged care shopping.
-
Pague Menos, a leading pharmacy retail chain in
Brazil , recognized the pivotal role of Retail Media as the next frontier in advertising. Leveraging VTEX Ads Network, Pague Menos now efficiently manages its advertising space, aligning promotions with consumer behavior to drive sales without the burden of managing numerous separate advertiser relationships. This integration expanded their reach, opened new sales channels, and delivered immediate sales and revenue increases while enhancing advertisers' performance metrics and ROAS. With VTEX Ads Network's scalable and performance-driven approach, Pague Menos is poised to drive further growth.
-
Ageas Seguros, the largest insurance provider in
-
Single control panel for every order:
-
Librerías Gandhi, a leading Mexican bookstore chain with 49 physical stores and a central distribution center, partnered with VTEX to enhance their omnichannel capabilities. They integrated their 4.5 million SKUs across all sales channels, enabling sales and inventory management from each store, enabling in-store pickup. Using VTEX, they can now offer same-day delivery in
Mexico City and extend their reach through marketplace integrations with Walmart Mexico and Mercado Libre. - Launched a new version of the VTEX Sales App, introducing key enhancements to support sales representatives. These improvements include identifying consumers and accessing their complete online profile and purchase history with the brand. Sales representatives now benefit from offering a more personalized shopping experience, gaining better visibility into customized promotions at an SKU level, and monitoring out-of-stock items and delivery options more easily. With enhanced customer identification, sales reps can more effectively target in-store visitors, driving higher conversion rates and cross-selling opportunities.
-
Librerías Gandhi, a leading Mexican bookstore chain with 49 physical stores and a central distribution center, partnered with VTEX to enhance their omnichannel capabilities. They integrated their 4.5 million SKUs across all sales channels, enabling sales and inventory management from each store, enabling in-store pickup. Using VTEX, they can now offer same-day delivery in
-
Commerce on auto-pilot and co-pilot:
-
Cosmo Music, a leader in musical instrument rentals in
Canada , leveraged VTEX's platform to ensure a seamless and uninterrupted customer journey. Right after the migration, Cosmo Rentals has already achieved stable rental orders YoY. Its architecture integrates advanced features like a one-page checkout, enhanced rental management, and intuitive interfaces for managing multiple business rules and customer journeys. These improvements better serve its diverse customer base and lay a foundation for its future growth. -
Dior, the renowned French luxury fashion and beauty brand, integrated its physical and online channels in
Chile , delivering a unified, consistent shopping experience across all touchpoints. As a result, Dior experienced an astounding more than100% YoY orders spike in the first half of 2024. In partnership with VTEX, Dior continues to navigate its digital transformation, partnering with VTEX inArgentina and planning to expand the partnership acrossLatin America . -
Doto, a marketplace for electronic devices, expanded its reach using the VTEX platform in
Mexico , enhancing usability and user experience. Leveraging VTEX's A/B Testing and workspaces, Doto was able to test several go-to-market strategies, such as its Double Buy Box, with "Save Time" and "Save Money" delivery options, which increased user interaction and loyalty, boosting conversions by19% . Additionally, VTEX IO allowed Doto to manage its infrastructure natively, leading to a27% increase in site visibility and a26% rise in returning user visits. With VTEX Sales App and VTEX Intelligent Search, Doto's omnichannel strategy balances logistical efficiency and customer satisfaction, solidifying its ecommerce leadership. -
H Mart, the largest Asian supermarket chain in the US, migrated to VTEX, launching two new online stores in March, unifying its perishable and nonperishable items with its fresh goods systems. In the second quarter, H Mart began integrating its physical stores, starting with
California locations, enhancing its ecommerce capabilities with VTEX’s Pick and Pack app and precise product visibility. This combined with H Mart’s ERP for inventory, pricing, tax automation, and payment processing integration, enables consumers to order all sorts of goods in the same cart, leveraging real-time store inventory availability and access to optimized delivery options.
-
Cosmo Music, a leader in musical instrument rentals in
-
The development platform of choice for digital commerce:
-
Addi, a Buy Now, Pay Later payment method provider in
Colombia , has expanded into a marketplace using the VTEX platform. This strategic move aimed to connect its existing merchants, most of whom were VTEX customers, and enable them to use Addi’s payment method via a mobile app. The app, built on VTEX robust marketplace architecture, already serves over 1 million consumers and integrates both VTEX and non-VTEX sellers through the Seller Portal. Developed with VTEX authentication protocol, VTEX IO Store Framework, and Amplitude analytics, the Addi Payment Connector is also certified through the Payment Provider Protocol. The new platform has significantly boosted Addi's market presence and growth in its first three months.
-
Addi, a Buy Now, Pay Later payment method provider in
Business Outlook
Although the macroeconomic scenario remains uncertain, VTEX is well-positioned to capture an attractive market opportunity. We are closely monitoring the performance of our customers and sales funnel and taking necessary actions to ensure our business' profitable growth and success. We remain encouraged by our sales momentum and operational leverage.
In this context, for the third quarter of 2024, we are targeting FX neutral YoY revenue growth of
For the full year 2024, we will continue executing our profitable growth strategy. We are increasing our FX neutral YoY revenue growth target to
We are confident in VTEX's ability to navigate the uncertainties posed by the current macroeconomic scenario. We are empowering our customers to digitally transform their commerce operations while helping them to outperform the market.
The business outlook provided above constitutes forward-looking information within the meaning of applicable securities laws and is based on a number of assumptions and subject to a number of risks. Actual results could vary materially as a result of numerous factors, including certain risk factors, many of which are beyond VTEX’s control. See the cautionary note regarding “Forward-Looking Statements” below. Fluctuations in VTEX’s operating results may be particularly pronounced in the current economic environment. There can not be an assurance that VTEX will achieve these results.
The following table summarizes certain key financial and operating metrics for the three and six months ended June 30, 2024 and 2023.
|
Three months ended
|
Six months ended
|
||
In thousands of |
2024 |
2023 |
2024 |
2023 |
GMV |
4,437.5 |
3,838.5 |
8,474.4 |
7,142.2 |
GMV growth YoY FXN (1) |
|
|
|
|
Revenue |
56.5 |
47.9 |
109.2 |
90.2 |
Revenue growth YoY FXN (1) |
|
|
|
|
Non-GAAP subscription gross profit (2)(4) |
42.2 |
33.7 |
81.0 |
63.1 |
Non-GAAP subscription gross profit margin (3)(4) |
|
|
|
|
Non-GAAP income (loss) from operations (4) |
6.4 |
(1.5) |
9.4 |
(5.6) |
Total number of employees |
1,339 |
1,305 |
1,339 |
1,305 |
(1) Calculated by using the average monthly exchange rates for the applicable months during 2023, adjusted by inflation in countries with hyperinflation, and applying them to the corresponding months in 2024, as applicable, so as to calculate what our results would have been had exchange rates remained stable from one year to the next. (2) Corresponds to our subscription revenues minus our subscription costs. (3) Corresponds to our subscription gross profit divided by subscription revenues. (4) Reconciliation of Non-GAAP metrics can be found in tables below. |
Conference Call and Webcast
The conference call may be accessed by dialing +1-646-968-2525 (Conference ID – 1918046 –) and requesting inclusion in the call for VTEX.
The live conference call can be accessed via audio webcast at the investor relations section of the Company's website, at https://www.investors.vtex.com/.
An archive of the webcast will be available for one week following the conclusion of the conference call.
Definition of Selected Operational Metrics
“ARR” means annual recurring revenue, calculated as subscription revenue in the most recent quarter multiplied by four.
“Customers” means companies ranging from small and medium-sized businesses to larger enterprises that pay to use VTEX’s platform.
“GMV” means the total value of customer orders processed through our platform, including value-added taxes and shipping. Our GMV does not include the value of orders processed by our SMB customers or B2B transactions.
“FX Neutral” or “FXN” means a way of using the average monthly exchange rates for each month during the previous year, adjusted by inflation in countries with hyper-inflation, and applying them to the corresponding months of the current year, so as to calculate what results would have been had exchange rates remained stable from one year to the next.
“Stores” or “Active Stores” means the number of unique domains generating gross merchandise value. Each customer might have multiple stores.
Special Note Regarding Non-GAAP financial metrics
For the convenience of investors, this document presents certain Non-GAAP financial measures, which are not recognized under IFRS Accounting Standards, specifically Non-GAAP subscription gross profit, Non-GAAP income (loss) from operations, free cash flow and FX Neutral measures.
We understand that Non-GAAP subscription gross profit, Non-GAAP income (loss) from operations, free cash flow and FX Neutral measures have limitations as analytical tools, and you should not consider them in isolation or as substitutes for analysis of our results of operations presented in accordance with IFRS Accounting Standards. Additionally, our calculations of Non-GAAP subscription gross profit, Non-GAAP income (loss) from operations, free cash flow and FX Neutral measures may be different from the calculation used by other companies, including our competitors, and therefore, our measures may not be comparable to those of other companies.
Reconciliation of Non-GAAP measures
The following table presents a reconciliation of our Non-GAAP subscription gross profit to subscription gross profit for the following periods:
|
Three months ended
|
Six months ended
|
||
(in millions of US$, except as otherwise indicated) |
2024 |
2023 |
2024 |
2023 |
Subscription revenue |
54.0 |
44.8 |
104.3 |
84.5 |
Subscription cost |
(11.8) |
(11.2) |
(23.4) |
(21.6) |
Subscription gross profit |
42.1 |
33.6 |
81.0 |
63.0 |
Share-based compensation |
0.0 |
0.1 |
0.1 |
0.1 |
Non-GAAP subscription gross profit |
42.2 |
33.7 |
81.0 |
63.1 |
Non-GAAP subscription gross margin |
|
|
|
|
The following table presents a reconciliation of our Non-GAAP S&M expenses to S&M expenses for the following periods:
|
Three months ended
|
Six months ended
|
||
(in millions of US$, except as otherwise indicated) |
2024 |
2023 |
2024 |
2023 |
Sales & Marketing expense |
(17.3) |
(14.4) |
(34.4) |
(29.2) |
Share-based compensation expense |
0.9 |
1.1 |
2.0 |
2.4 |
Amortization of intangible related to acquisitions |
0.3 |
0.3 |
0.6 |
0.6 |
Non-GAAP Sales & Marketing expense |
(16.0) |
(13.1) |
(31.9) |
(26.3) |
The following table presents a reconciliation of our Non-GAAP R&D expenses to R&D expenses for the following periods:
|
Three months ended
|
Six months ended
|
||
(in millions of US$, except as otherwise indicated) |
2024 |
2023 |
2024 |
2023 |
Research & Development expense |
(14.2) |
(16.3) |
(27.0) |
(30.3) |
Share-based compensation expense |
1.2 |
1.8 |
1.4 |
3.7 |
Amortization of intangible related to acquisitions |
0.1 |
0.3 |
0.3 |
0.6 |
Non-GAAP Research & Development expense |
(12.9) |
(14.2) |
(25.3) |
(26.0) |
The following table presents a reconciliation of our Non-GAAP G&A expenses to G&A expenses for the following periods:
|
Three months ended
|
Six months ended
|
||
(in millions of US$, except as otherwise indicated) |
2024 |
2023 |
2024 |
2023 |
General & Administrative expense |
(8.8) |
(8.2) |
(17.9) |
(16.2) |
Share-based compensation expense |
2.0 |
1.7 |
4.6 |
3.4 |
Amortization of intangible related to acquisitions |
0.0 |
0.0 |
0.0 |
0.0 |
Non-GAAP General & Administrative expense |
(6.8) |
(6.5) |
(13.4) |
(12.7) |
The following table presents a reconciliation of our Non-GAAP income (loss) from operations to income (loss) from operations for the following periods:
|
Three months ended
|
Six months ended
|
||
(in millions of US$, except as otherwise indicated) |
2024 |
2023 |
2024 |
2023 |
Income (loss) from operations |
1.7 |
(7.1) |
0.1 |
(16.8) |
Share-based compensation expense |
4.3 |
4.7 |
8.4 |
9.8 |
Amortization of intangibles related to acquisitions |
0.4 |
0.8 |
0.9 |
1.4 |
Non-GAAP income (loss) from operations |
6.4 |
(1.5) |
9.4 |
(5.6) |
The following table presents a reconciliation of our free cash flow to net cash provided by (used in) operating activities for the following periods:
|
Three months ended
|
Six months ended
|
||
(in millions of US$, except as otherwise indicated) |
2024 |
2023 |
2024 |
2023 |
Net cash provided by (used in) operating activities |
3.8 |
(3.3) |
6.4 |
(8.2) |
Acquisitions of property and equipment |
(0.5) |
(0.0) |
(1.3) |
(0.2) |
Free cash flow |
3.2 |
(3.3) |
5.1 |
(8.4) |
The following table sets forth the FX neutral measures related to our reported results of the operations for the three months ended June 30, 2024:
|
As Reported |
FXN |
As Reported |
FXN |
||
(in millions of US$, except as otherwise indicated) |
2Q24 |
2Q23 |
% Change |
2Q24 |
2Q23 |
% Change |
Subscription revenue |
54.0 |
44.8 |
|
55.8 |
44.8 |
|
Services revenue |
2.6 |
3.1 |
(17.9)% |
2.6 |
3.1 |
(17.2)% |
Total revenue |
56.5 |
47.9 |
|
58.4 |
47.9 |
|
Gross profit |
41.6 |
32.4 |
|
43.3 |
32.4 |
|
Income (loss) from operations |
1.7 |
(7.1) |
na |
2.8 |
(7.1) |
na |
This announcement does not contain sufficient information to constitute an interim financial report as defined in International Financial Reporting Standards as issued by the International Accounting Standards Board (“IFRS Accounting Standards”) IAS 34 Interim Financial Reporting, "Interim Financial Reporting" nor a financial statement as defined by IFRS Accounting Standards 1 "Presentation of Financial Statements". The financial information in this press release has not been audited. Numbers have been calculated using whole amounts rather than rounded amounts. This might cause some figures not to total due to rounding.
About VTEX
VTEX (NYSE: VTEX) is the composable and complete commerce platform that delivers more efficiency and less maintenance to organizations seeking to make smarter IT investments and modernize their tech stack. Through our pragmatic composability approach, we empower brands, distributors, and retailers with unparalleled flexibility and comprehensive solutions, enabling them to invest solely in what provides a clear business advantage and boosts profitability.
VTEX is trusted by 2,600 global B2C and B2B customers, including Carrefour, Colgate, Motorola, Sony, Stanley Black & Decker, and Whirlpool, having 3,500 active online stores across 43 countries (as of FY ended on December 31, 2023). For more information, visit www.vtex.com.
Forward-looking Statements
This announcement contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1993, as amended, and Section 21E of the Securities Exchange of 1934, as amended. Statements contained herein that are not clearly historical in nature, including statements about the VTEX strategies and business plans, are forward-looking, and the words “anticipate,” “believe,” “continues,” “expect,” “estimate,” “intend,” ”strategy,” “project,” “target” and similar expressions and future or conditional verbs such as “will,” “would,” “should,” “could,” “might,” “can,” “may,” or similar expressions are generally intended to identify forward-looking statements.
VTEX may also make forward-looking statements in its periodic reports filed with the
As a consequence, current plans, anticipated actions and future financial position and results of operations may differ significantly from those expressed in any forward-looking statements in this announcement. You are cautioned not to unduly rely on such forward-looking statements when evaluating the information presented as there is no guarantee that expected events, trends or results will actually occur. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information or future events or for any other reason.
This announcement may also contain estimates and other information concerning our industry that are based on industry publications, surveys and forecasts. This information involves a number of assumptions and limitations, and we have not independently verified the accuracy or completeness of the information.
VTEX Condensed consolidated interim statements of profit or loss (Unaudited)
In thousands of |
||||
|
Three months ended |
Six months ended |
||
|
June 30,
|
June 30,
|
June 30,
|
June 30,
|
|
|
|
|
|
Subscription revenue |
53,985 |
44,772 |
104,347 |
84,534 |
Services revenue |
2,556 |
3,114 |
4,842 |
5,634 |
Total revenue |
56,541 |
47,886 |
109,189 |
90,168 |
|
|
|
|
|
Subscription cost |
(11,842) |
(11,153) |
(23,381) |
(21,553) |
Services cost |
(3,080) |
(4,353) |
(6,301) |
(8,519) |
Total cost |
(14,922) |
(15,506) |
(29,682) |
(30,072) |
Gross profit |
41,619 |
32,380 |
79,507 |
60,096 |
|
|
|
|
|
Operating expenses |
|
|
|
|
General and administrative |
(8,767) |
(8,242) |
(17,939) |
(16,167) |
Sales and marketing |
(17,252) |
(14,449) |
(34,444) |
(29,231) |
Research and development |
(14,236) |
(16,305) |
(26,964) |
(30,264) |
Other income (losses) |
331 |
(511) |
(55) |
(1,265) |
Income (loss) from operations |
1,695 |
(7,127) |
105 |
(16,831) |
|
|
|
|
|
Financial income |
10,342 |
9,240 |
19,444 |
16,599 |
Financial expense |
(7,551) |
(9,126) |
(20,047) |
(15,029) |
Financial result, net |
2,791 |
114 |
(603) |
1,570 |
|
|
|
|
|
Equity results |
(16) |
367 |
2 |
708 |
|
|
|
|
|
Income (loss) before income tax |
4,470 |
(6,646) |
(496) |
(14,553) |
|
|
|
|
|
Income tax |
|
|
|
|
Current |
73 |
(1,697) |
(181) |
(2,267) |
Deferred |
386 |
1,733 |
3,152 |
2,282 |
Total income tax |
459 |
36 |
2,971 |
15 |
|
|
|
|
|
Net income (loss) for the period |
4,929 |
(6,610) |
2,475 |
(14,538) |
|
|
|
|
|
Attributable to controlling shareholders |
4,935 |
(6,611) |
2,489 |
(14,539) |
Non-controlling interest |
(6) |
1 |
(14) |
1 |
|
|
|
|
|
Earnings (loss) per share |
|
|
|
|
Basic earnings (loss) per share |
0.027 |
(0.035) |
0.013 |
(0.077) |
Diluted earnings (loss) per share |
0.026 |
(0.035) |
0.013 |
(0.077) |
|
|
|
|
|
VTEX Condensed consolidated interim balance sheets (Unaudited)
In thousands of |
||
|
June 30, 2024 |
December 31, 2023 |
ASSETS |
|
|
Current assets |
|
|
Cash and cash equivalents |
22,910 |
28,035 |
Short-term investments |
192,489 |
181,374 |
Trade receivables |
49,100 |
44,122 |
Recoverable taxes |
9,462 |
6,499 |
Deferred commissions |
1,315 |
1,005 |
Prepaid expenses |
3,716 |
5,143 |
Derivative financial instruments |
48 |
53 |
Other current assets |
249 |
22 |
Total current assets |
279,289 |
266,253 |
|
|
|
Non-current assets |
|
|
Long-term investments |
3,635 |
2,000 |
Trade receivables |
9,386 |
7,415 |
Deferred tax assets |
21,274 |
19,926 |
Prepaid expenses |
96 |
155 |
Recoverable taxes |
4,373 |
4,454 |
Deferred commissions |
3,842 |
2,924 |
Other non-current assets |
792 |
902 |
Right-of-use assets |
2,464 |
3,277 |
Property and equipment, net |
2,950 |
2,697 |
Intangible assets, net |
27,331 |
30,024 |
Investments in joint venture |
- |
1,118 |
Total non-current assets |
76,143 |
74,892 |
Total assets |
355,432 |
341,145 |
|
June 30, 2024 |
December 31, 2023 |
LIABILITIES |
|
|
Current liabilities |
|
|
Accounts payable and accrued expenses |
39,332 |
39,728 |
Taxes payable |
6,778 |
8,219 |
Lease liabilities |
1,607 |
1,863 |
Deferred revenue |
28,575 |
25,948 |
Other current liabilities |
1,046 |
1,486 |
Total current liabilities |
77,338 |
77,244 |
|
|
|
Non-current liabilities |
|
|
Accounts payable and accrued expenses |
2,305 |
1,632 |
Taxes payable |
83 |
- |
Lease liabilities |
1,470 |
2,233 |
Deferred revenue |
19,449 |
16,584 |
Deferred tax liabilities |
3,422 |
2,668 |
Other non-current liabilities |
408 |
452 |
Total non-current liabilities |
27,137 |
23,569 |
|
|
|
EQUITY |
|
|
Issued capital |
18 |
18 |
Capital reserve |
377,857 |
370,821 |
Other reserves |
609 |
(486) |
Accumulated losses |
(127,571) |
(130,060) |
Equity attributable to VTEX’s shareholders |
250,913 |
240,293 |
Non-controlling interests |
44 |
39 |
Total shareholders’ equity |
250,957 |
240,332 |
Total liabilities and equity |
355,432 |
341,145 |
VTEX Condensed consolidated interim statements of cash flows (Unaudited)
In thousands of |
||
|
Six months ended |
|
|
June 30,
|
June 30,
|
|
|
|
Net income (loss) for the period |
2,475 |
(14,538) |
Adjustments for: |
|
|
Depreciation and amortization |
2,228 |
2,494 |
Deferred income tax |
(3,152) |
(2,282) |
Loss on disposal of rights of use, property, equipment, and intangible assets |
128 |
612 |
Expected credit losses from trade receivables |
479 |
737 |
Share-based compensation |
6,970 |
7,621 |
Provision for payroll taxes (share-based compensation) |
1,426 |
1,320 |
Adjustment of hyperinflation |
5,785 |
4,860 |
Equity results |
(2) |
(708) |
Accrued interest |
(10,510) |
(5,055) |
Fair value gains |
(524) |
(5,450) |
Others and foreign exchange, net |
5,762 |
2,439 |
Change in operating assets and liabilities |
|
|
Trade receivables |
(12,987) |
(6,609) |
Recoverable taxes |
(4,673) |
(119) |
Prepaid expenses |
1,141 |
488 |
Other assets |
(1,074) |
(64) |
Accounts payable and accrued expenses |
1,836 |
(1,388) |
Taxes payable |
627 |
1,108 |
Deferred revenue |
10,255 |
6,170 |
Other liabilities |
841 |
227 |
Cash provided by (used in) operating activities |
7,031 |
(8,137) |
Income tax paid |
(632) |
(37) |
Net cash provided by (used in) operating activities |
6,399 |
(8,174) |
Cash flows from investing activities |
|
|
Dividends received from joint venture |
- |
1,138 |
Proceeds from disposal of Joint Venture |
1,026 |
- |
Purchase of short and long-term investment |
(67,538) |
(21,273) |
Redemption of short-term investment |
60,593 |
118,311 |
Interest and dividends received from short-term investments |
463 |
1,233 |
Acquisitions of property and equipment |
(1,259) |
(178) |
Derivative financial instruments |
(2,201) |
(45) |
Net cash provided by (used in) investing activities |
(8,916) |
99,186 |
Cash flows from financing activities |
|
|
Changes in restricted cash |
- |
1,660 |
Proceeds from the exercise of stock options |
1,399 |
88 |
Net-settlement of share-based payment |
(1,624) |
(932) |
Buyback of shares |
- |
(13,841) |
Payment of loans and financing |
- |
(1,238) |
Interest paid |
- |
(5) |
Principal elements of lease payments |
(870) |
(751) |
Lease interest paid |
(200) |
(302) |
Net cash used in financing activities |
(1,295) |
(15,321) |
Net increase (decrease) in cash and cash equivalents |
(3,812) |
75,691 |
Cash and cash equivalents, beginning of the period |
28,035 |
24,394 |
Effect of exchange rate changes |
(1,313) |
419 |
Cash and cash equivalents, end of the period |
22,910 |
100,504 |
|
|
|
Non-cash transactions: |
|
|
Lease liabilities arising from obtaining right-of-use assets and remeasurement |
287 |
85 |
Transactions with non-controlling interests |
19 |
43 |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240806483344/en/
Julia Vater Fernández
Investor Relations Director
investors@vtex.com
Source: VTEX Commerce Cloud Solutions LLC
FAQ
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