VTEX Reports Third Quarter 2024 Financial Results
VTEX reported strong Q3 2024 financial results with notable growth across key metrics. Total revenue increased 10.6% YoY to US$56.0 million, with subscription revenue representing 96.3%. GMV reached US$4.4 billion, up 9.5% YoY. The company achieved significant margin improvements, with Non-GAAP operating income margin reaching 14% and free cash flow margin at 14%. Notable customer wins included Fast Shop in Brazil and US Electrical Services in the US. The company raised its full-year 2024 guidance, targeting FX neutral revenue growth of 18.5% to 19.5%, implying US$230-232 million range.
VTEX ha riportato risultati finanziari solidi per il terzo trimestre del 2024, con una crescita notevole in metriche chiave. Il fatturato totale è aumentato del 10,6% rispetto all'anno precedente, raggiungendo 56,0 milioni di dollari USA, con le entrate da abbonamento che rappresentano il 96,3%. Il GMV ha raggiunto 4,4 miliardi di dollari USA, in aumento del 9,5% rispetto all'anno scorso. L'azienda ha registrato significativi miglioramenti nei margini, con un margine di reddito operativo Non-GAAP che ha raggiunto il 14% e un margine di flusso di cassa libero al 14%. Tra i successi notevoli ci sono stati Fast Shop in Brasile e US Electrical Services negli Stati Uniti. L'azienda ha rivisto al rialzo le previsioni per l'intero anno 2024, puntando a una crescita del fatturato neutra da FX compresa tra il 18,5% e il 19,5%, implicando un intervallo di 230-232 milioni di dollari USA.
VTEX reportó sólidos resultados financieros para el tercer trimestre de 2024, con un notable crecimiento en métricas clave. Los ingresos totales aumentaron un 10,6% interanual, alcanzando 56,0 millones de dólares estadounidenses, siendo los ingresos por suscripción el 96,3%. El GMV llegó a 4,4 mil millones de dólares estadounidenses, lo que representa un aumento del 9,5% interanual. La compañía logró mejoras significativas en los márgenes, con un margen de ingreso operativo No-GAAP alcanzando el 14% y un margen de flujo de caja libre del 14%. Los logros notables de clientes incluían a Fast Shop en Brasil y US Electrical Services en los Estados Unidos. La empresa elevó su guía para el año completo 2024, apuntando a un crecimiento de ingresos neutral en FX del 18,5% al 19,5%, implicando un rango de 230-232 millones de dólares estadounidenses.
VTEX는 2024년 3분기 재무 결과가 강력하며 주요 지표에서 두显한 성장을 보였다고 보고했습니다. 총 수익은 전년 대비 10.6% 증가하여 5600만 달러에 이르렀고, 구독 수익이 96.3%를 차지했습니다. GMV는 44억 달러에 도달했으며, 전년 대비 9.5% 증가했습니다. 회사는 비GAAP 운영 수익 마진이 14%에 도달하고 자유 현금 흐름 마진도 14%에 이르며 상당한 마진 개선을 달성했습니다. 주목할 만한 고객 성과가 브라질의 Fast Shop과 미국의 US Electrical Services를 포함했습니다. 회사는 2024년 전체 연도 가이드를 상향 조정하여 FX 중립 수익 성장을 18.5%에서 19.5%로 목표로 삼았으며, 이는 2억 3천만~2억 3천 2백만 달러 범위를 의미합니다.
VTEX a rapporté de solides résultats financiers pour le troisième trimestre 2024, avec une croissance notable dans des indicateurs clés. Le chiffre d'affaires total a augmenté de 10,6 % par rapport à l'année précédente pour atteindre 56,0 millions de dollars américains, les revenus d'abonnement représentant 96,3 %. Le GMV a atteint 4,4 milliards de dollars américains, en hausse de 9,5 % d'une année sur l'autre. L'entreprise a réalisé des améliorations significatives des marges, avec une marge de revenu opérationnel Non-GAAP atteignant 14 % et une marge de flux de trésorerie libre de 14 %. Parmi les gains notables de clients, on retrouve Fast Shop au Brésil et US Electrical Services aux États-Unis. L'entreprise a relevé ses prévisions pour l'année 2024, visant une croissance des revenus neutres en FX de 18,5 % à 19,5 %, ce qui implique une fourchette de 230-232 millions de dollars américains.
VTEX berichtete über starke Finanzresultate im dritten Quartal 2024 mit bemerkenswertem Wachstum in wichtigen Kennzahlen. Der Gesamtumsatz stieg im Jahresvergleich um 10,6% auf 56,0 Millionen US-Dollar, wobei der Abo-Umsatz 96,3% ausmachte. Der GMV erreichte 4,4 Milliarden US-Dollar, was einem Anstieg von 9,5% im Vergleich zum Vorjahr entspricht. Das Unternehmen erzielte signifikante Margenverbesserungen, mit einer Non-GAAP-Betriebseinnahmemarge von 14% und einer freien Cashflow-Marge von 14%. Zu den bemerkenswerten Kundengewinnen gehörten Fast Shop in Brasilien und US Electrical Services in den USA. Das Unternehmen hat seine Prognose für das gesamte Jahr 2024 angehoben und strebt ein FX-neutrales Umsatzwachstum von 18,5% bis 19,5% an, was einen Umfang von 230-232 Millionen US-Dollar impliziert.
- Revenue increased 10.6% YoY to US$56.0 million
- GMV grew 9.5% YoY to US$4.4 billion
- Non-GAAP operating income margin improved by 10 percentage points YoY to 14%
- Free cash flow margin expanded by 8 percentage points YoY to 14%
- Subscription revenue represented 96.3% of total revenues
- Non-GAAP subscription gross margin expanded 230 bps YoY to 78.5%
- None.
Insights
VTEX delivered strong Q3 results with notable improvements across key metrics.
- Impressive margin expansion with non-GAAP operating income reaching
$7.7M , up from$1.7M YoY - Healthy subscription gross margin of
78.5% , up 230 bps YoY - Strong free cash flow of
$7.7M , nearly tripling YoY
The company's raised guidance for FY2024 targeting
VTEX's strategic expansion and customer acquisition demonstrate strong market positioning in the digital commerce sector. Key highlights include:
- Geographic diversification with new customer wins across multiple regions including Austria, Brazil, Colombia, Peru and the US
- Notable enterprise client expansions like Colgate, Hearst and Samsung show platform scalability
- GMV growth of
17.1% on FX neutral basis indicates healthy transaction volume
The company's ability to attract major retailers while expanding existing relationships suggests strong product-market fit. The platform's headless architecture and omnichannel capabilities are particularly appealing to enterprise clients seeking digital transformation solutions.
Subscription revenue growth reached
Gross profit increased by
Non-GAAP operating income margin reached
Free cash flow margin reached
Geraldo Thomaz Jr., founder and co-CEO of VTEX, commented, “Our product innovation and expanded platform capabilities continue to drive growth, evidenced by our customers’ consistent above-market performance and our strong new contract signature momentum. This fuels consistent financial improvements that bring us closer to our Rule of 40 target. We’ll remain focused on product excellence and relentlessly dedicate ourselves to meeting the evolving needs of our customers as we continue to execute our profitable growth strategy.” Mariano Gomide de Faria, founder and co-CEO of VTEX, added, “Our strong sales momentum, marked by key go-lives like Fast Shop in
Third Quarter 2024 Financial Highlights
-
GMV reached
US in the third quarter of 2024, representing a YoY increase of$4.4 billion 9.5% in USD and17.1% on an FX neutral basis. -
Total revenue increased to
US in the third quarter of 2024 from$56.0 million US in the third quarter of 2023, representing a YoY increase of$50.6 million 10.6% in USD and18.7% on an FX neutral basis. -
Subscription revenue represented
96.3% of total revenues, reachingUS in the third quarter of 2024, from$53.9 million US in the third quarter of 2023. This represents a YoY increase of$47.5 million 13.4% in USD and21.9% on an FX neutral basis. -
Non-GAAP subscription gross profit was
US in the third quarter of 2024, compared to$42.3 million US in the third quarter of 2023, representing a YoY increase of$36.2 million 16.8% in USD and26.9% on an FX neutral basis.-
Non-GAAP subscription gross margin was
78.5% in the third quarter of 2024, compared to76.2% in the same quarter of 2023. The YoY margin expansion of 230 bps was mainly attributable to the ongoing monitoring of cloud investments, migrating microservices to more efficient solutions, among other impacts.
-
Non-GAAP subscription gross margin was
-
Non-GAAP income from operations was
US during the third quarter of 2024, compared to a Non-GAAP income from operations of$7.7 million US in the same quarter of 2023.$1.7 million -
Non-GAAP free cash flow was
US during the third quarter of 2024, compared to a Non-GAAP free cash flow of$7.7 million US in the same quarter of 2023.$2.7 million -
As of September 30, 2024, our total headcount was 1,409, increasing
5.2% QoQ and10.4% YoY.
Third Quarter 2024 Commercial Highlights:
New customers who initiated their operations with us, among others:
-
Beko in
Austria ; -
Bemol, Champion Relógios, Fast Shop, Ferramentas Negrão, FQM Consumo, GrêmioMania, and Jorge Bischoff in
Brazil ; -
Comfama and Rimax in
Colombia ; -
Cálidda and Farmacia Universal in
Peru ; and - US Electrical Services in the US.
Existing customers expanding their operations with us by opening new online stores, among others:
-
Colgate launched a new store in
Switzerland , expanding its footprint acrossSwitzerland ,Brazil , and the US; - Hearst added two new stores, Harper's Bazaar and Prevention, bringing their store count to five across the US;
-
Keune Haircosmetics launched a new store in the
UK , now serving theUK ,Belgium ,France , andthe Netherlands ; -
Mazda expanded into
Belgium , now operating in three countries acrossEurope ; and -
Samsung added two new stores in
Uruguay , now operating in three countries inLatin America .
Third 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:
-
Colgate-Palmolive, the global leader in oral, skin, and pet care, continues expanding with VTEX. After successful B2B launches of PCA Skin Professional and Colgate Oral Professional in the US, Colgate recently launched Oral Professional in
Switzerland , its first European B2B site on VTEX. Powered by VTEX’s headless global architecture, the seamless rollout highlights the platform’s adaptability and scalability across diverse markets and business models. -
Grupo Arcor,
Latin America's leading food and beverage company, partnered with VTEX to launch TOKIN, a transformative B2B platform reshaping the distribution ecosystem inArgentina . Connecting retail points and active buyers, TOKIN has generated sales accounting for more than30% of the distributor's sales through the VTEX Platform. Its success lies in personalized experiences, real-time inventory, and an optimized checkout, driving high adoption and engagement. We’re excited to support Arcor as it expands TOKIN across the region and continues to enhance its capabilities to drive growth. -
Decathlon, a global leader in sporting goods retail with over 1,700 stores across 64 countries, leveraged VTEX’s Sales App in
Brazil to enhance its omnichannel strategy and create a seamless shopping experience across both physical and digital stores. By integrating their sales channels, Decathlon allows customers to purchase items not in local stock by accessing a unified inventory across all stores. The VTEX Sales App enabled personalized customer interactions, real-time stock visibility, and flexible checkout, ensuring a faster, more agile shopping experience.
-
Colgate-Palmolive, the global leader in oral, skin, and pet care, continues expanding with VTEX. After successful B2B launches of PCA Skin Professional and Colgate Oral Professional in the US, Colgate recently launched Oral Professional in
-
Single control panel for every order:
-
Bemol, one of Brazil’s largest retailers, successfully migrated its entire operation to VTEX, including its B2C franchise and headless app, seeking a scalable platform to unify operations and introduce financial solutions like Bemol Store Credit and Bemol PIX. During the rollout, conversion rates increased by
12% and average revenue per session by33% . After full migration, organic traffic rose8% , supported by an up to56% faster load time on mobile. These improvements enhance the user experience and strengthen Bemol’s expansion acrossBrazil , positioning it for further growth with VTEX. - Hearst, one of the world’s largest media companies, has integrated with Sephora using VTEX's multi-site architecture and developer cloud, VTEX IO, to launch a seamless digital marketplace. Now featured in top lifestyle publications like Women’s Health, Cosmopolitan, Harper’s Bazaar, Men’s Health and Prevention, this integration transforms the reader experience—allowing users to purchase Sephora products directly from articles. With over 8,500 products available through Sephora’s Beauty Insider loyalty program, Hearst is redefining how media connects with commerce.
-
VTEX Sales App, designed to unlock customers’ omnichannel potential and transform retail operations, now allows sales associates to sell in-store and endless aisle products in one seamless checkout. Enhanced with multi-cart management features, it empowers sales associates to serve their consumers with more personalized experiences and to offer value-added services like extended warranties. VTEX Sales App improved navigation, search, and customizable displays, boost efficiency, while new integrations with Mercado Pago and Cielo simplify payments across
Latin America .
-
Bemol, one of Brazil’s largest retailers, successfully migrated its entire operation to VTEX, including its B2C franchise and headless app, seeking a scalable platform to unify operations and introduce financial solutions like Bemol Store Credit and Bemol PIX. During the rollout, conversion rates increased by
-
Commerce on auto-pilot and co-pilot:
-
Hinode, a Latin American leader in beauty, fragrances, and wellness, migrated its B2B operations from a legacy platform to VTEX to modernize and boost efficiency. Already successful with its B2C operations in
Brazil andMexico on VTEX, Hinode unified both B2C and B2B under a single platform for scalability. Using VTEX’s API-first architecture, they enhanced the reseller experience with personalized checkout, point-based purchasing, and flexible delivery options. Since implementing VTEX’s SmartCheckout, Hinode’s conversion rate increased by more than 5x. We’re excited to support Hinode’s continued growth across channels. - VTEX Ad Network is expanding its media kit with new ad types for diverse formats, such as sponsored products in search auto-complete and product galleries, boosting visibility and customer engagement. Also, our ads will now effectively reach audiences on their preferred mobile devices, with upcoming features including product recommendation ads and sponsored banners aimed at engaging shoppers during the consideration phase. Lastly, we're simplifying ad performance measurement and visualization, enabling advertisers to easily export campaign data and insights with just a few clicks. VTEX Ads Network continues to partner with leading publishers such as Fast Shop, Grupo Drogarias Pacheco e São Paulo, and Zona Sul.
- VTEX Data Pipeline, the secure data-sharing service that offers our customers seamless access to all their commerce data without expensive custom integrations, now offers additional data models for catalog, promotion, and external marketplace data. Data Pipeline is now compatible with any preferred data warehouse, BI tools, and CRM systems, enabling the delivery of VTEX commerce data precisely wherever customers need it. All customers can now leverage our new data models to create a unified view of their commerce operations.
- VTEX Pick and Pack incorporated new fulfillment solutions. These improvements include the implementation of smart store selection, optimized product location, and multi-picking capabilities, all designed to enhance logistical efficiency. Our upgraded admin interface now provides real-time order tracking and instantaneous notifications, while the AI-powered returns module facilitates expedited customer feedback. These advancements position VTEX customers’ logistics as a strategic advantage, ultimately delivering a superior shopping experience that fosters consumers’ loyalty and retention.
-
Hinode, a Latin American leader in beauty, fragrances, and wellness, migrated its B2B operations from a legacy platform to VTEX to modernize and boost efficiency. Already successful with its B2C operations in
-
The development platform of choice for digital commerce:
- Fast Shop, a leading Brazilian retailer with 85 stores and 15 distribution centers, chose VTEX to replace its costly, inflexible legacy platform. With VTEX, Fast Shop has lowered its total cost of ownership, expanded into new channels like B2B, and gained access to a robust third-party ecosystem. Now, all operations—stores, online, marketplace, and B2B—are integrated into one platform. They've also developed a custom app for in-store teams, enhancing the customer journey with personalized experiences and their Fast Prime loyalty program.
Business Outlook
VTEX is well-positioned to capture an attractive market opportunity, and we remain encouraged by our sales momentum and operational leverage. We will face tougher GMV comparisons in the fourth quarter of 2024, which will ease by year-end.
In this context, we are targeting FX neutral YoY revenue growth of
For the full year 2024, as we continue executing our profitable growth strategy, we are targeting FX neutral YoY revenue growth to
We are confident in VTEX's ability to capitalize on current market opportunities. 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 nine months ended September 30, 2024 and 2023.
|
|
Three months ended
|
|
Nine months ended
|
||||||||
(in millions of US$, except as otherwise indicated) |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||
GMV |
|
4,380.2 |
|
3,999.3 |
|
12,854.7 |
|
11,141.5 |
|
|||
GMV growth YoY FXN (1) |
|
17.1 |
% |
27.8 |
% |
18.8 |
% |
23.2 |
% |
|||
Revenue |
|
56.0 |
|
50.6 |
|
165.2 |
|
140.8 |
|
|||
Revenue growth YoY FXN (1) |
|
18.7 |
% |
24.5 |
% |
20.6 |
% |
23.2 |
% |
|||
Non-GAAP subscription gross profit (2)(4) |
|
42.3 |
|
36.2 |
|
123.4 |
|
99.3 |
|
|||
Non-GAAP subscription gross profit margin (3)(4) |
|
78.5 |
% |
76.2 |
% |
78.0 |
% |
75.2 |
% |
|||
Non-GAAP income (loss) from operations (4) |
|
7.7 |
|
1.7 |
|
17.1 |
|
(3.9 |
) |
|||
Total number of employees |
|
1,409 |
|
1,276 |
|
1,409 |
|
1,276 |
|
(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 +1-646-307-1951 (Conference ID – 18526 –) 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
|
Nine months ended
|
|||||||||
(in millions of US$, except as otherwise indicated) |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||
Subscription revenue |
|
53.9 |
|
47.5 |
|
158.2 |
|
132.1 |
|
|||
Subscription cost |
|
(11.6 |
) |
(11.4 |
) |
(35.0 |
) |
(32.9 |
) |
|||
Subscription gross profit |
|
42.3 |
|
36.1 |
|
123.2 |
|
99.1 |
|
|||
Share-based compensation |
|
0.1 |
|
0.1 |
|
0.1 |
|
0.2 |
|
|||
Non-GAAP subscription gross profit |
|
42.3 |
|
36.2 |
|
123.4 |
|
99.3 |
|
|||
Non-GAAP subscription gross margin |
|
78.5 |
% |
76.2 |
% |
78.0 |
% |
75.2 |
% |
The following table presents a reconciliation of our Non-GAAP S&M expenses to S&M expenses for the following periods:
|
|
Three months ended
|
Nine months ended
|
|||||||||
(in millions of US$, except as otherwise indicated) |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||
Sales & Marketing expense |
|
(16.4 |
) |
(15.1 |
) |
(50.9 |
) |
(44.3 |
) |
|||
Share-based compensation expense |
|
1.1 |
|
1.0 |
|
3.1 |
|
3.3 |
|
|||
Amortization related to acquisitions |
|
0.3 |
|
0.3 |
|
0.9 |
|
0.9 |
|
|||
Earn out expenses related to acquisitions |
|
0.1 |
|
- |
|
0.1 |
|
- |
|
|||
Non-GAAP Sales & Marketing expense |
|
(14.9 |
) |
(13.8 |
) |
(46.8 |
) |
(40.1 |
) |
The following table presents a reconciliation of our Non-GAAP R&D expenses to R&D expenses for the following periods:
|
|
Three months ended
|
Nine months ended
|
|||||||||
(in millions of US$, except as otherwise indicated) |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||
Research & Development expense |
|
(13.4 |
) |
(15.5 |
) |
(40.3 |
) |
(45.8 |
) |
|||
Share-based compensation expense |
|
1.2 |
|
1.9 |
|
2.7 |
|
5.6 |
|
|||
Amortization related to acquisitions |
|
0.1 |
|
0.3 |
|
0.4 |
|
0.9 |
|
|||
Earn out expenses related to acquisitions |
|
0.1 |
|
- |
|
0.1 |
|
- |
|
|||
Non-GAAP Research & Development expense |
|
(11.9 |
) |
(13.3 |
) |
(37.2 |
) |
(39.3 |
) |
The following table presents a reconciliation of our Non-GAAP G&A expenses to G&A expenses for the following periods:
|
|
Three months ended
|
|
Nine months ended
|
||||||||
(in millions of US$, except as otherwise indicated) |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||
General & Administrative expense |
|
(8.4 |
) |
(8.4 |
) |
(26.3 |
) |
(24.5 |
) |
|||
Share-based compensation expense |
|
1.7 |
|
1.5 |
|
6.3 |
|
4.9 |
|
|||
Amortization related to acquisitions |
|
0.0 |
|
0.0 |
|
0.0 |
|
0.0 |
|
|||
Non-GAAP General & Administrative expense |
|
(6.7 |
) |
(6.9 |
) |
(20.0 |
) |
(19.6 |
) |
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
|
|
Nine months ended
|
||||||||
(in millions of US$, except as otherwise indicated) |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||
Income (loss) from operations |
|
2.9 |
(3.5 |
) |
3.0 |
(20.3 |
) |
|||||
Share-based compensation expense |
|
4.2 |
|
4.6 |
|
12.6 |
|
14.4 |
|
|||
Amortization related to acquisitions |
|
0.4 |
|
0.6 |
|
1.3 |
|
2.0 |
|
|||
Earn out expenses related to acquisitions |
|
0.2 |
|
- |
|
0.2 |
|
- |
|
|||
Non-GAAP income (loss) from operations |
|
7.7 |
|
1.7 |
|
17.1 |
|
(3.9 |
) |
The following table presents a reconciliation of our free cash flow to net cash provided by (used in) operating activities for the following periods:
|
|
Three months ended
|
|
Nine months ended
|
||||||||
(in millions of US$, except as otherwise indicated) |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||
Net cash provided by (used in) operating activities |
|
8.1 |
|
2.8 |
|
14.5 |
|
(5.4 |
) |
|||
Acquisitions of property and equipment |
|
(0.4 |
) |
(0.1 |
) |
(1.7 |
) |
(0.3 |
) |
|||
Free Cash Flow |
|
7.7 |
|
2.7 |
|
12.8 |
|
(5.7 |
) |
The following table sets forth the FX neutral measures related to our reported results of the operations for the three months ended September 30, 2024:
|
|
As Reported |
FXN |
As Reported |
FXN |
|||||||||||||
(in millions of US$, except as otherwise indicated) |
|
3Q24 |
|
3Q23 |
|
% Change |
|
3Q24 |
|
3Q23 |
|
% Change |
||||||
Subscription revenue |
|
53.9 |
47.5 |
|
13.4 |
% |
57.9 |
47.5 |
|
21.9 |
% |
|||||||
Services revenue |
|
2.1 |
|
3.1 |
|
(31.9 |
%) |
2.2 |
|
3.1 |
|
(29.6 |
%) |
|||||
Total revenue |
|
56.0 |
|
50.6 |
|
10.6 |
% |
60.1 |
|
50.6 |
|
18.7 |
% |
|||||
Gross profit |
|
41.7 |
|
35.6 |
|
17.2 |
% |
45.4 |
|
35.6 |
|
27.6 |
% |
|||||
Income (loss) from operations |
|
2.9 |
|
(3.5 |
) |
N/A |
|
3.7 |
|
(3.5 |
) |
N/A |
|
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 |
|
Nine months ended |
||||||||
|
|
September 30, 2024 |
|
September 30, 2023 |
|
September 30, 2024 |
|
September 30, 2023 |
||||
Subscription revenue |
|
53,897 |
|
|
47,544 |
|
|
158,244 |
|
|
132,078 |
|
Services revenue |
|
2,099 |
|
|
3,084 |
|
|
6,941 |
|
|
8,718 |
|
Total revenue |
|
55,996 |
|
|
50,628 |
|
|
165,185 |
|
|
140,796 |
|
Subscription cost |
|
(11,642 |
) |
|
(11,395 |
) |
|
(35,023 |
) |
|
(32,948 |
) |
Services cost |
|
(2,636 |
) |
|
(3,625 |
) |
|
(8,937 |
) |
|
(12,144 |
) |
Total cost |
|
(14,278 |
) |
|
(15,020 |
) |
|
(43,960 |
) |
|
(45,092 |
) |
Gross profit |
|
41,718 |
|
|
35,608 |
|
|
121,225 |
|
|
95,704 |
|
Operating expenses |
|
|
|
|
|
|
|
|
||||
General and administrative |
|
(8,402 |
) |
|
(8,374 |
) |
|
(26,341 |
) |
|
(24,541 |
) |
Sales and marketing |
|
(16,410 |
) |
|
(15,101 |
) |
|
(50,854 |
) |
|
(44,332 |
) |
Research and development |
|
(13,366 |
) |
|
(15,508 |
) |
|
(40,330 |
) |
|
(45,772 |
) |
Other losses |
|
(668 |
) |
|
(99 |
) |
|
(723 |
) |
|
(1,364 |
) |
Income (loss) from operations |
|
2,872 |
|
|
(3,474 |
) |
|
2,977 |
|
|
(20,305 |
) |
Financial income |
|
7,359 |
|
|
8,974 |
|
|
26,803 |
|
|
25,573 |
|
Financial expense |
|
(7,959 |
) |
|
(7,896 |
) |
|
(28,006 |
) |
|
(22,925 |
) |
Financial result, net |
|
(600 |
) |
|
1,078 |
|
|
(1,203 |
) |
|
2,648 |
|
Equity results |
|
— |
|
|
281 |
|
|
2 |
|
|
989 |
|
Income (loss) before income tax |
|
2,272 |
|
|
(2,115 |
) |
|
1,776 |
|
|
(16,668 |
) |
Income tax |
|
|
|
|
|
|
|
|
||||
Current |
|
98 |
|
|
(50 |
) |
|
(83 |
) |
|
(2,317 |
) |
Deferred |
|
874 |
|
|
(214 |
) |
|
4,026 |
|
|
2,068 |
|
Total income tax |
|
972 |
|
|
(264 |
) |
|
3,943 |
|
|
(249 |
) |
Net income (loss) for the period |
|
3,244 |
|
|
(2,379 |
) |
|
5,719 |
|
|
(16,917 |
) |
Attributable to controlling shareholders |
|
3,245 |
|
|
(2,374 |
) |
|
5,734 |
|
|
(16,913 |
) |
Non-controlling interest |
|
(1 |
) |
|
(5 |
) |
|
(15 |
) |
|
(4 |
) |
Earnings (loss) per share |
|
|
|
|
|
|
|
|
||||
Basic earnings (loss) per share |
|
0.018 |
|
|
(0.013 |
) |
|
0.031 |
|
|
(0.090 |
) |
Diluted earnings (loss) per share |
|
0.017 |
|
|
(0.013 |
) |
|
0.030 |
|
|
(0.090 |
) |
VTEX Condensed consolidated interim balance sheets (Unaudited)
In thousands of
|
||||||
|
|
September 30, 2024 |
|
December 31, 2023 |
||
ASSETS |
|
|
|
|
|
|
Current assets |
|
|
|
|
|
|
Cash and cash equivalents |
|
22,525 |
|
|
28,035 |
|
Short-term investments |
|
194,514 |
|
|
181,374 |
|
Trade receivables |
|
53,820 |
|
|
44,122 |
|
Recoverable taxes |
|
5,898 |
|
|
6,499 |
|
Deferred commissions |
|
1,449 |
|
|
1,005 |
|
Prepaid expenses |
|
4,313 |
|
|
5,143 |
|
Derivative financial instruments |
|
— |
|
|
53 |
|
Other current assets |
|
124 |
|
|
22 |
|
Total current assets |
|
282,643 |
|
|
266,253 |
|
|
|
|
|
|
|
|
Non-current assets |
|
|
|
|
|
|
Long-term investments |
|
9,649 |
|
|
2,000 |
|
Trade receivables |
|
12,639 |
|
|
7,415 |
|
Deferred tax assets |
|
21,424 |
|
|
19,926 |
|
Prepaid expenses |
|
95 |
|
|
155 |
|
Recoverable taxes |
|
4,715 |
|
|
4,454 |
|
Deferred commissions |
|
4,169 |
|
|
2,924 |
|
Other non-current assets |
|
1,114 |
|
|
902 |
|
Right-of-use assets |
|
2,204 |
|
|
3,277 |
|
Property and equipment, net |
|
3,198 |
|
|
2,697 |
|
Intangible assets, net |
|
31,309 |
|
|
30,024 |
|
Investments in joint venture |
|
— |
|
|
1,118 |
|
Total non-current assets |
|
90,516 |
|
|
74,892 |
|
Total assets |
|
373,159 |
|
|
341,145 |
|
|
|
September 30, 2024 |
|
December 31, 2023 |
||
LIABILITIES |
|
|
|
|
||
Current liabilities |
|
|
|
|
||
Accounts payable and accrued expenses |
|
37,726 |
|
|
39,728 |
|
Taxes payable |
|
6,305 |
|
|
8,219 |
|
Lease liabilities |
|
1,534 |
|
|
1,863 |
|
Deferred revenue |
|
31,553 |
|
|
25,948 |
|
Derivative financial instruments |
|
102 |
|
|
— |
|
Accounts payable from acquisition of subsidiaries |
|
33 |
|
|
— |
|
Other current liabilities |
|
1,243 |
|
|
1,486 |
|
Total current liabilities |
|
78,496 |
|
|
77,244 |
|
|
|
|
|
|
||
Non-current liabilities |
|
|
|
|
||
Accounts payable and accrued expenses |
|
2,165 |
|
|
1,632 |
|
Taxes payable |
|
206 |
|
|
— |
|
Lease liabilities |
|
1,284 |
|
|
2,233 |
|
Accounts payable from acquisition of subsidiaries |
|
893 |
|
|
— |
|
Deferred revenue |
|
24,810 |
|
|
16,584 |
|
Deferred tax liabilities |
|
2,653 |
|
|
2,668 |
|
Other non-current liabilities |
|
439 |
|
|
452 |
|
Total non-current liabilities |
|
32,450 |
|
|
23,569 |
|
EQUITY |
|
|
|
|
||
Issued capital |
|
19 |
|
|
18 |
|
Capital reserve |
|
383,371 |
|
|
370,821 |
|
Other reserves |
|
3,104 |
|
|
(486 |
) |
Accumulated losses |
|
(124,326 |
) |
|
(130,060 |
) |
Equity attributable to VTEX’s shareholders |
|
262,168 |
|
|
240,293 |
|
Non-controlling interests |
|
45 |
|
|
39 |
|
Total shareholders’ equity |
|
262,213 |
|
|
240,332 |
|
Total liabilities and equity |
|
373,159 |
|
|
341,145 |
|
VTEX Condensed consolidated interim statements of cash flows (Unaudited)
In thousands of
|
||||||
|
|
Nine months ended |
||||
|
|
September 30, 2024 |
|
September 30, 2023 |
||
Net income (loss) for the period |
|
5,719 |
|
|
(16,917 |
) |
Adjustments for: |
|
|
|
|
||
Depreciation and amortization |
|
3,329 |
|
|
3,799 |
|
Deferred income tax |
|
(4,026 |
) |
|
(2,068 |
) |
Loss on disposal of rights of use, property, equipment, and intangible assets |
|
114 |
|
|
614 |
|
Expected credit losses from trade receivables |
|
775 |
|
|
1,093 |
|
Share-based compensation |
|
11,111 |
|
|
12,280 |
|
Provision for payroll taxes (share-based compensation) |
|
1,520 |
|
|
2,117 |
|
Adjustment of hyperinflation |
|
6,428 |
|
|
10,221 |
|
Equity results |
|
(2 |
) |
|
(989 |
) |
Accrued interest |
|
(12,605 |
) |
|
(9,875 |
) |
Fair value gains |
|
(2,166 |
) |
|
(7,863 |
) |
Others and foreign exchange, net |
|
9,508 |
|
|
2,559 |
|
Change in operating assets and liabilities |
|
|
|
|
||
Trade receivables |
|
(19,143 |
) |
|
(6,781 |
) |
Recoverable taxes |
|
(1,611 |
) |
|
(108 |
) |
Prepaid expenses |
|
668 |
|
|
206 |
|
Other assets |
|
(462 |
) |
|
(25 |
) |
Accounts payable and accrued expenses |
|
(2,275 |
) |
|
(958 |
) |
Taxes payable |
|
1,056 |
|
|
415 |
|
Deferred revenue |
|
17,931 |
|
|
5,450 |
|
Other liabilities |
|
110 |
|
|
1,175 |
|
Cash provided by (used in) operating activities |
|
15,979 |
|
|
(5,655 |
) |
Income tax paid |
|
(1,482 |
) |
|
233 |
|
Net cash provided by (used in) operating activities |
|
14,497 |
|
|
(5,422 |
) |
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 |
|
(116,802 |
) |
|
(112,350 |
) |
Redemption of short-term investment |
|
105,377 |
|
|
139,458 |
|
Interest and dividends received from short-term investments |
|
591 |
|
|
1,941 |
|
Acquisition of subsidiaries net of cash acquired |
|
(2,920 |
) |
|
- |
|
Acquisitions of property and equipment |
|
(1,691 |
) |
|
(252 |
) |
Derivative financial instruments |
|
(3,558 |
) |
|
359 |
|
Net cash provided by (used in) investing activities |
|
(17,977 |
) |
|
30,294 |
|
Cash flows from financing activities |
|
|
|
|
||
Changes in restricted cash |
|
— |
|
|
1,660 |
|
Proceeds from the exercise of stock options |
|
3,725 |
|
|
632 |
|
Net-settlement of share-based payment |
|
(2,806 |
) |
|
(1,618 |
) |
Buyback of shares |
|
— |
|
|
(25,053 |
) |
Payment of loans and financing |
|
(71 |
) |
|
(1,238 |
) |
Interest paid |
|
— |
|
|
(5 |
) |
Principal elements of lease payments |
|
(1,249 |
) |
|
(1,152 |
) |
Lease interest paid |
|
(284 |
) |
|
(440 |
) |
Net cash used in financing activities |
|
(685 |
) |
|
(27,214 |
) |
Net decrease in cash and cash equivalents |
|
(4,165 |
) |
|
(2,342 |
) |
Cash and cash equivalents, beginning of the period |
|
28,035 |
|
|
24,394 |
|
Effect of exchange rate changes |
|
(1,345 |
) |
|
(751 |
) |
Cash and cash equivalents, end of the period |
|
22,525 |
|
|
21,301 |
|
Non-cash transactions: |
|
|
|
|
||
Lease liabilities arising from obtaining right-of-use assets and remeasurement |
|
344 |
|
|
85 |
|
Unpaid amount related to business combinations |
|
926 |
|
|
- |
|
Transactions with non-controlling interests |
|
21 |
|
|
42 |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20241105947185/en/
Julia Vater Fernández
VP of Investor Relations
investors@vtex.com
Source: VTEX Commerce Cloud Solutions LLC
FAQ
What was VTEX's revenue growth in Q3 2024?
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