- FY24 Total Revenue was $1.3 Billion and Increased 22%
Year-Over-Year
- FY24 Core Revenue was $1.1 Billion and Increased 19%
Year-Over-Year
- Q4 Total Revenue Increased 16% Year-Over-Year
- Q4 Core Revenue Increased 16% Year-Over-Year
BILL (NYSE: BILL), a leading financial operations platform for
small and midsize businesses (SMBs), today announced financial
results for the fourth quarter and fiscal year ended June 30,
2024.
“Fiscal 2024 was an important year for BILL as we fortified our
position as the essential financial operations platform for SMBs,”
said René Lacerte, BILL CEO and Founder. “We launched our
integrated platform, provided SMBs with access to capital, and
empowered businesses with additional insights and control of their
cash flow. Our steadfast commitment to raising the bar to serve
SMBs led to strong financial results and an expanding scale.”
“We strongly believe in BILL’s future and the opportunity to
drive long-term shareholder value. Our new $300 million share
repurchase program is enabled by our strong cash flow generation
and reflects our confidence in our strategy and in BILL as an
investment opportunity with significant upside,” continued Mr.
Lacerte.
“Our financial performance demonstrated the strength of our
business and the rigor of our execution in driving growth and
expanding profitability in a muted economic environment,” said John
Rettig, BILL President and CFO. “In fiscal 2025, we plan to make
targeted investments that accelerate our strategic priorities and
ability to capture the large, greenfield market opportunity that we
are serving. We believe these investments will reinforce our
industry leadership and position us to deliver significant,
sustainable revenue growth and margin expansion in future
periods.”
Financial Highlights for the Fourth Quarter of Fiscal
2024:
- Total revenue was $343.7 million, an increase of 16%
year-over-year.
- Core revenue, which consists of subscription and transaction
fees, was $301.3 million, an increase of 16% year-over-year.
Subscription fees were $65.8 million, down 2% year-over-year.
Transaction fees were $235.5 million, up 22% year-over-year.
- Float revenue, which consists of interest on funds held for
customers, was $42.4 million.
- Gross profit was $278.5 million, representing an 81.0% gross
margin, compared to $243.4 million, or an 82.2% gross margin, in
the fourth quarter of fiscal 2023. Non-GAAP gross profit was $292.0
million, representing an 85.0% non-GAAP gross margin, compared to
$257.2 million, or an 86.9% non-GAAP gross margin, in the fourth
quarter of fiscal 2023.
- Operating loss was $22.2 million, compared to an operating loss
of $41.4 million in the fourth quarter of fiscal 2023. Non-GAAP
operating income was $60.0 million, compared to $42.3 million in
the fourth quarter of fiscal 2023, an increase of 42%
year-over-year.
- Net income was $7.6 million, or $0.07 and ($0.03) per share,
basic and diluted, respectively, compared to net loss of $15.9
million, or ($0.15) per share, basic and diluted, in the fourth
quarter of fiscal 2023. Non-GAAP net income was $63.9 million, or
$0.57 per diluted share, compared to non-GAAP net income of $56.3
million, or $0.48 per diluted share in the fourth quarter of fiscal
2023.
Financial Highlights for Fiscal Year 2024:
- Total revenue was $1,290.2 million, an increase of 22%
year-over-year.
- Core revenue, which consists of subscription and transaction
fees, was $1,122.7 million, an increase of 19% year-over-year.
Subscription fees were $257.1 million, up 2% year-over-year.
Transaction fees were $865.6 million, up 25% year-over-year.
- Float revenue, which consists of interest on funds held for
customers, was $167.4 million.
- Gross profit was $1,055.6 million, representing an 81.8% gross
margin, compared to $864.5 million, or an 81.7% gross margin, in
the prior fiscal year. Non-GAAP gross profit was $1,109.9 million,
representing an 86.0% non-GAAP gross margin, compared to $916.9
million, or an 86.6% non-GAAP gross margin, in the prior fiscal
year.
- Operating loss was $174.2 million, compared to an operating
loss of $295.8 million in the prior fiscal year. Non-GAAP operating
income was $196.2 million, compared to $117.1 million in the prior
fiscal year, an increase of 68% year-over-year.
- Net loss was $28.9 million, or ($0.27) per share, basic and
diluted, compared to $223.7 million, or ($2.11) per share, basic
and diluted, in the prior fiscal year. Non-GAAP net income was
$244.0 million, or $2.30 and $2.12 per basic and diluted share,
respectively, compared to non-GAAP net income of $157.5 million, or
$1.49 and $1.34 per basic and diluted share, respectively, in the
prior fiscal year.
Business Highlights and Recent Developments:
- Served 474,600 businesses using our solutions as of the end of
the fourth quarter.1
- Processed $76 billion in total payment volume in the fourth
quarter, an increase of 10% year-over-year.
- Processed 28 million transactions during the fourth quarter, an
increase of 19% year-over-year.
- As of June 30, 2024, 7.1 million BILL standalone network
members have originated or received an electronic payment using our
platform, an increase of 22% year-over-year compared to the 5.8
million network members we reported a year ago.
- Named Sarah Acton to the newly created role of Chief Customer
Officer.
- Repurchased an additional $234 million aggregate principal
amount of BILL’s outstanding 0.0% Convertible Senior Notes due 2025
and unwound the remaining capped calls, resulting in a $11.0
million net benefit to net income (loss).
___________________________
1
Businesses using more than one of our
solutions are included separately in the total for each solution
utilized.
Initiation of New Share Repurchase Program
BILL announced today that its Board of Directors has approved a
new share repurchase program, pursuant to which BILL intends to
purchase up to an aggregate of $300 million of its outstanding
common stock.
BILL may repurchase shares of its common stock from time to time
through open market purchases, in privately negotiated
transactions, or by other means, including through the use of
trading plans intended to qualify under Rule 10b5-1 under the
Securities Exchange Act of 1934, as amended, in accordance with
applicable securities laws and other restrictions. The timing and
total amount of stock repurchases will depend upon business,
economic and market conditions, corporate and regulatory
requirements, prevailing stock prices, and other considerations.
The share repurchase program may be suspended, discontinued or
modified at any time, and does not obligate the company to acquire
any amount of common stock. The company expects to fund the share
repurchase program using existing cash.
Fiscal Year 2024 Share Repurchases
During fiscal 2024, BILL repurchased 2.9 million shares for $212
million. All repurchased shares were retired, completing the
company’s previously-authorized $300 million program.
Financial Outlook
We are providing the following guidance for the fiscal first
quarter ending September 30, 2024 and the full fiscal year ending
June 30, 2025.
Q1 FY25 Guidance
FY25 Guidance
Total revenue (millions)
$346 - $351
$1,415 - $1,450
Year-over-year total revenue growth
13% - 15%
10% - 12%
Core revenue (millions)
$305 - $310
$1,270 - $1,305
Year-over-year core revenue growth
15% - 17%
13% - 16%
Non-GAAP operating income (millions)
$52 - $57
$160 - $195
Non-GAAP net income (millions)
$53 - $57
$154 - $182
Non-GAAP net income per diluted share
$0.48 - $0.51
$1.36 - $1.61
The outlook for non-GAAP net income and non-GAAP net income per
diluted share includes a non-GAAP provision for income taxes of
20%. The outlook for Non-GAAP net income takes into account the use
of corporate cash for investment and other strategic capital
allocation, including but not limited to the new share repurchase
program announced today. The outlook for Non-GAAP net income per
diluted share does not take the share repurchase program into
account, as its impact on a per diluted share basis is not
reasonably estimable.
These statements are forward-looking and actual results may
differ materially. Refer to the Forward-Looking Statements safe
harbor below for information on the factors that could cause our
actual results to differ materially from these forward-looking
statements.
BILL has not provided a reconciliation of its non-GAAP operating
income, non-GAAP net income or non-GAAP net income per share
guidance to the most directly comparable GAAP measures because
certain items excluded from GAAP cannot be reasonably calculated or
predicted at this time. Accordingly, a reconciliation is not
available without unreasonable effort.
Conference Call and Webcast Information
In conjunction with this announcement, BILL will host a
conference call for investors at 1:30 p.m. PT (4:30 p.m. ET) today
to discuss fiscal fourth quarter and fiscal year 2024 results and
our outlook for the fiscal first quarter ending September 30, 2024
and fiscal year ending June 30, 2025. The live webcast and a replay
of the webcast will be available at the Investor Relations section
of BILL’s website:
https://investor.bill.com/events-and-presentations/default.aspx.
About BILL
BILL (NYSE: BILL) is a leading financial operations platform for
small and midsize businesses (SMBs). As a champion of SMBs, we are
automating the future of finance so businesses can thrive. Our
integrated platform helps businesses to more efficiently control
their payables, receivables and spend and expense management.
Hundreds of thousands of businesses rely on BILL’s proprietary
network of millions of members to pay or get paid faster.
Headquartered in San Jose, California, BILL is a trusted partner of
leading U.S. financial institutions, accounting firms, and
accounting software providers. For more information, visit
bill.com.
Note on Forward-Looking Statements
This press release and the accompanying conference call contain
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995, which are statements
other than statements of historical facts, and statements in the
future tense. Forward-looking statements are based on our
expectations as of the date of this press release and are subject
to a number of risks, uncertainties and assumptions, many of which
involve factors or circumstances that are beyond our control. These
statements include, but are not limited to, statements regarding
our expectations of future performance, including guidance for our
total revenue, core revenue, non-GAAP operating income, non-GAAP
net income, and non-GAAP net income per share for the fiscal first
quarter ending September 30, 2024 and full fiscal year ending June
30, 2025, our planned investments in fiscal year 2025, our revenue
growth, margin expansion and profitability profile in future years,
our share repurchase program, our expectations for the growth of
demand on our platform and the expansion of our customers’
utilization of our services. These risks and uncertainties include,
but are not limited to macroeconomic factors, including changes in
interest rates, inflation and volatile market environments, as well
as fluctuations in foreign exchange rates, our history of operating
losses, our recent rapid growth, the large sums of customer funds
that we transfer daily, the risk of loss, errors and fraudulent
activity, credit risk related to our BILL Divvy Corporate Cards,
our ability to attract new customers and convert trial customers
into paying customers, our ability to invest in our business and
develop new products and services, increased competition or new
entrants in the marketplace, potential impacts of acquisitions and
investments, including our ability to integrate acquired
businesses, incorporate their technology effectively and implement
appropriate internal controls at such businesses, our relationships
with accounting firms and financial institutions, the global
impacts of ongoing geopolitical conflicts, and other risks detailed
in the registration statements and periodic reports we file with
the SEC, including our quarterly and annual reports, which may be
obtained on the Investor Relations section of BILL’s website
(https://investor.bill.com/financials/sec-filings/default.aspx) and
on the SEC website at www.sec.gov. You should not rely on these
forward-looking statements, as actual results may differ materially
from those contemplated by these forward-looking statements as a
result of such risks and uncertainties. All forward-looking
statements in this press release are based on information available
to us as of the date hereof. We assume no obligation to update or
revise the forward-looking statements contained in this press
release or the accompanying conference call because of new
information, future events, or otherwise.
Non-GAAP Financial Measures
In addition to financial measures prepared in accordance with
U.S. generally accepted accounting principles (GAAP), this press
release and the accompanying tables contain, and the conference
call will contain, non-GAAP financial measures, including non-GAAP
gross profit, non-GAAP gross margin, non-GAAP operating expenses,
non-GAAP operating income, non-GAAP net income and non-GAAP net
income per share, basic and diluted. The non-GAAP financial
information is presented for supplemental informational purposes
only and is not intended to be considered in isolation or as a
substitute for, or superior to, financial information prepared and
presented in accordance with GAAP.
Investors are cautioned that there are material limitations
associated with the use of non-GAAP financial measures as an
analytical tool.
We exclude the following items from non-GAAP gross profit and
non-GAAP gross margin:
- stock-based compensation and related payroll taxes
- depreciation and amortization
We exclude the following items from non-GAAP operating expenses
and non-GAAP operating income:
- stock-based compensation and related payroll taxes
- depreciation and amortization
- acquisition and integration-related expenses
- restructuring
We exclude the following items from non-GAAP net income and
non-GAAP net income per share:
- stock-based compensation expense and related payroll taxes
- depreciation and amortization
- acquisition and integration-related expenses
- restructuring
- gain on debt extinguishment and change on mark to market
derivatives associated with notes repurchase and capped call
unwind
- amortization of debt issuance costs
- non-GAAP provision for income taxes
It is important to note that the particular items we exclude
from, or include in, our non-GAAP financial measures may differ
from the items excluded from, or included in, similar non-GAAP
financial measures used by other companies in the same industry. We
also periodically review our non-GAAP financial measures and may
revise these measures to reflect changes in our business or
otherwise, including our blended U.S. statutory tax rate.
We believe that these non-GAAP financial measures provide useful
information about our financial performance, enhance the overall
understanding of our past performance and future prospects, and
allow for greater transparency with respect to important metrics
used by our management for financial and operational
decision-making. We believe that these measures provide an
additional tool for investors to use in comparing our core
financial performance over multiple periods with other companies in
our industry.
We adjust the following items from one or more of our non-GAAP
financial measures:
Stock-based compensation and related payroll taxes charged to
cost of revenue and operating expenses. We exclude stock-based
compensation, which is a non-cash expense, and related payroll
taxes from certain of our non-GAAP financial measures because we
believe that excluding these items provide meaningful supplemental
information regarding operational performance. In particular,
companies calculate stock-based compensation expenses using a
variety of valuation methodologies and subjective assumptions while
the related payroll taxes are dependent on the price of our common
stock and other factors that are beyond our control and do not
correlate to the operation of our business.
Depreciation and amortization. We exclude depreciation and
amortization from certain of our non-GAAP financial measures
because we believe that excluding this non-cash charge provides
meaningful supplemental information regarding operational
performance. Depreciation and amortization do not include
amortization of capitalized internal-use software costs paid in
cash.
Acquisition and integration-related expenses. We exclude
acquisition and integration-related expenses from certain of our
non-GAAP financial measures because these costs would have not
otherwise been incurred in the normal course of our business
operations. In addition, we believe that acquisition and
integration-related expenses are non-recurring charges unique to a
specific acquisition. Although we may engage in future
acquisitions, such acquisitions and the associated acquisition and
integration-related expenses are considered unique and not
comparable to other acquisitions.
Restructuring. We exclude costs incurred in connection with
formal restructuring plans from certain of our non-GAAP financial
measures because these costs are exceptional and would have not
otherwise been incurred in the normal course of our business
operations.
Gain on debt extinguishment and change on mark to market
derivatives associated with notes repurchase and capped call
unwind. We exclude gain on debt extinguishment and change on mark
to market derivatives associated with our March 2024 repurchase of
certain of our outstanding 0.0% Convertible Senior Notes due 2025
and the unwind of the capped calls from certain of our non-GAAP
financial measures because we believe that excluding this non-cash
gain provides better insight regarding our operational
performance.
Amortization of debt issuance costs. We exclude amortization of
debt issuance costs associated with our issuance of our convertible
senior notes and credit arrangement from certain of our non-GAAP
financial measures because we believe that excluding this non-cash
interest expense provides meaningful supplemental information
regarding our operational performance.
Non-GAAP provision for income taxes. Consists of assumed
provision for income taxes based on the statutory tax rate taking
into consideration the nature of the taxed item and the relevant
taxing jurisdiction.
There are material limitations associated with the use of
non-GAAP financial measures since they exclude significant expenses
and income that are required by GAAP to be recorded in our
financial statements. Please see the reconciliation tables at the
end of this release for the reconciliation of GAAP and non-GAAP
results.
Free Cash Flow
Free cash flow is a non-GAAP measure defined as net cash
provided by (used in) operating activities, adjusted by purchases
of property and equipment and capitalization of internal-use
software costs. We believe free cash flow is an important liquidity
measure of the cash that is generated, after incurring operating
expenses, purchases of property and equipment and capitalization of
internal-use software costs, for future operational expenses and
investment in our business. Free cash flow is useful to investors
as a liquidity measure because it measures our ability to generate
or use cash in the ordinary course of business. One limitation of
free cash flow is that it does not reflect our future contractual
commitments. Additionally, free cash flow does not represent the
total increase or decrease in our cash balance for a given period.
Once our business needs and obligations are met, cash can be used
to maintain a strong balance sheet and invest in future growth.
BILL HOLDINGS, INC.
CONDENSED CONSOLIDATED BALANCE
SHEETS
(Unaudited, in thousands)
June 30,
2024
2023
ASSETS
Current assets:
Cash and cash equivalents
$
985,941
$
1,617,151
Short-term investments
601,535
1,043,110
Accounts receivable, net
28,049
28,233
Acquired card receivables, net
697,216
458,650
Prepaid expenses and other current
assets
297,169
170,111
Funds held for customers
3,704,907
3,355,909
Total current assets
6,314,817
6,673,164
Non-current assets:
Operating lease right-of-use assets,
net
59,414
68,988
Property and equipment, net
88,034
81,564
Intangible assets, net
281,471
361,427
Goodwill
2,396,509
2,396,509
Other assets
38,568
54,366
Total assets
$
9,178,813
$
9,636,018
LIABILITIES AND STOCKHOLDERS'
EQUITY
Current liabilities:
Accounts payable
$
7,447
$
8,519
Accrued compensation and benefits
34,158
32,901
Deferred revenue
17,006
26,328
Other accruals and current liabilities
299,506
194,733
Borrowings from credit facilities, net
—
135,046
Customer fund deposits
3,704,907
3,355,909
Total current liabilities
4,063,024
3,753,436
Non-current liabilities:
Deferred revenue
4,167
410
Operating lease liabilities
62,847
72,477
Borrowings from credit facilities, net
180,009
—
Convertible senior notes, net
733,991
1,704,782
Other long-term liabilities
574
18,944
Total liabilities
5,044,612
5,550,049
Commitments and contingencies
Stockholders' equity:
Common stock
2
2
Additional paid-in capital
5,233,037
4,946,623
Accumulated other comprehensive loss
(1,890
)
(4,488
)
Accumulated deficit
(1,096,948
)
(856,168
)
Total stockholders' equity
4,134,201
4,085,969
Total liabilities and stockholders'
equity
$
9,178,813
$
9,636,018
BILL HOLDINGS, INC.
CONDENSED CONSOLIDATED
STATEMENTS OF OPERATIONS
(Unaudited, in thousands except
per share amounts)
Three months ended June
30,
Year ended June 30,
2024
2023
2024
2023
Revenue
Subscription and transaction fees (1)
$
301,306
$
259,510
$
1,122,733
$
944,710
Interest on funds held for customers
42,359
36,473
167,439
113,758
Total revenue
343,665
295,983
1,290,172
1,058,468
Cost of revenue
Service costs (1)
53,905
41,327
189,894
151,010
Depreciation and amortization (2)
11,295
11,225
44,722
42,967
Total cost of revenue
65,200
52,552
234,616
193,977
Gross profit
278,465
243,431
1,055,556
864,491
Operating expenses
Research and development (1)
79,609
81,841
336,754
314,632
Sales and marketing (1)
123,732
117,199
478,540
515,858
General and administrative (1) (3)
70,500
64,954
277,662
249,054
Provision for expected credit losses
(3)
14,785
8,487
60,105
32,224
Depreciation and amortization (2)
11,670
12,348
49,072
48,496
Restructuring
392
—
27,587
—
Total operating expenses
300,688
284,829
1,229,720
1,160,264
Operating loss
(22,223
)
(41,398
)
(174,164
)
(295,773
)
Other income, net
29,819
26,264
147,845
72,856
Income (loss) before provision for income
taxes
7,596
(15,134
)
(26,319
)
(222,917
)
Provision for income taxes
—
737
2,559
808
Net income (loss)
$
7,596
$
(15,871
)
$
(28,878
)
$
(223,725
)
Net income (loss) per share attributable
to common stockholders:
Basic
$
0.07
$
(0.15
)
$
(0.27
)
$
(2.11
)
Diluted
$
(0.03
)
$
(0.15
)
$
(0.27
)
$
(2.11
)
Weighted-average number of common shares
used to compute net income (loss) per share attributable to common
stockholders:
Basic
106,289
106,414
106,102
105,976
Diluted
107,326
106,414
106,102
105,976
______________________________________
(1) Includes stock-based compensation
charged to revenue and expenses as follows (in thousands):
Three months ended June
30,
Year ended June 30,
2024
2023
2024
2023
Revenue - subscription and transaction
fees
$
528
$
188
$
1,831
$
188
Cost of revenue - service costs
2,185
2,391
9,309
9,111
Research and development
24,674
23,213
103,382
93,364
Sales and marketing
11,427
13,480
49,070
130,421
General and administrative
19,525
18,579
81,209
80,619
Restructuring
—
—
3,574
—
Total stock-based compensation *
$
58,339
$
57,851
$
248,375
$
313,703
* Consists of acquisition-related equity awards (Acquisition
Related Awards), which include equity awards assumed and retention
equity awards granted to certain employees of acquired companies in
connection with acquisitions, and modified equity awards in
connection with the Restructuring Plan (Restructuring Awards), and
non-acquisition related equity awards (Non-Acquisition Related
Awards), which include all other equity awards granted to existing
employees and non-employees in the ordinary course of business. The
following table presents stock-based compensation recorded for the
periods presented and as a percentage of total revenue (in
thousands):
As a % of total
revenue
Three months ended June
30,
Year ended June 30,
Three months ended June
30,
Year ended June 30,
2024
2023
2024
2023
2024
2023
2024
2023
Acquisition Related Awards
$
2,512
$
4,088
$
15,474
$
107,815
1
%
1
%
1
%
10
%
Restructuring Awards
—
—
3,574
—
—
%
—
%
0
%
—
%
Non-Acquisition Related Awards
55,827
53,763
229,327
205,888
16
%
18
%
18
%
19
%
Total stock-based compensation
$
58,339
$
57,851
$
248,375
$
313,703
17
%
20
%
19
%
29
%
(2) Depreciation and amortization do not
include amortization of capitalized internal-use software costs
paid in cash.
(3) Provision for expected credit losses
was included in general and administrative expenses in fiscal
2023.
BILL HOLDINGS, INC.
CONDENSED CONSOLIDATED
STATEMENTS OF CASH FLOWS
(Unaudited, in thousands)
Three Months Ended
June 30,
Year Ended
June 30,
2024
2023
2024
2023
Cash flows from operating
activities:
Net income (loss)
$
7,595
$
(15,871
)
$
(28,878
)
$
(223,725
)
Adjustments to reconcile net income (loss)
to net cash provided by operating activities:
Stock-based compensation
58,339
57,850
248,375
313,567
Amortization of intangible assets
19,293
20,221
79,956
80,205
Depreciation of property and equipment
3,671
3,351
13,838
11,258
Amortization of capitalized internal-use
software costs
3,037
1,206
9,369
4,215
Amortization of debt issuance costs
1,064
1,747
6,238
6,964
Amortization of premium (accretion of
discount) on investments in marketable debt securities
(15,777
)
(13,484
)
(55,062
)
(37,194
)
Accretion of discount on loans held for
investment
(3,678
)
(118
)
(9,209
)
(127
)
Provision for expected credit losses on
acquired card receivables and other financial assets
12,826
8,504
60,105
32,189
Gain on debt extinguishment
(10,939
)
—
(46,654
)
—
Non-cash operating lease expense
2,052
2,379
8,642
9,493
Deferred income taxes
(235
)
(192
)
(361
)
(1,361
)
Other
(32
)
(103
)
1,756
1,254
Changes in assets and liabilities:
Accounts receivable
3,864
5,487
69
(4,482
)
Prepaid expenses and other current
assets
(12,238
)
(9,367
)
(6,825
)
(16,844
)
Other assets
9,596
2,360
7,528
320
Accounts payable
773
(421
)
(1,125
)
(1,686
)
Other accruals and current liabilities
14,180
24,826
20,992
34,465
Operating lease liabilities
(2,280
)
(2,592
)
(9,839
)
(10,303
)
Other long-term liabilities
(11,963
)
(2,825
)
(14,580
)
(3,097
)
Deferred revenue
(529
)
(2,603
)
(5,564
)
(7,343
)
Net cash provided by operating
activities
78,619
80,355
278,771
187,768
Cash flows from investing
activities:
Cash paid for acquisition, net of acquired
cash and cash equivalents
—
—
—
(28,902
)
Purchases of corporate and customer fund
short-term investments
(639,810
)
(349,245
)
(2,682,659
)
(2,743,763
)
Proceeds from maturities of corporate and
customer fund short-term investments
654,887
773,132
2,512,107
3,283,961
Proceeds from sale of corporate and
customer fund short-term investments
—
—
1,539
11,607
Purchases of loans held for investment
(140,711
)
(5,341
)
(359,654
)
(5,878
)
Principal repayments of loans held for
investment
134,311
4,147
326,172
4,472
Acquired card receivables, net
(45,636
)
(36,012
)
(185,486
)
(234,256
)
Purchases of property and equipment
(205
)
(1,090
)
(976
)
(7,589
)
Capitalization of internal-use software
costs
(5,322
)
(6,383
)
(19,917
)
(23,614
)
Proceeds from beneficial interest
—
—
—
2,080
Other
(500
)
—
(500
)
1,167
Net cash provided by (used in) investing
activities
(42,986
)
379,208
(409,374
)
259,285
Cash flows from financing
activities:
Payments for repurchase of convertible
senior notes
(222,256
)
—
(933,187
)
—
Proceeds from unwind of capped calls
1,190
—
11,442
—
Customer fund deposits liability and
other
198,588
250,482
353,964
204,390
Repurchase of common stock
—
(63,614
)
(211,902
)
(87,615
)
Prepaid card deposits
2,875
5,520
(17,901
)
26,584
Proceeds from line of credit
borrowings
—
—
45,000
60,000
Proceeds from exercise of stock
options
1,589
3,012
8,114
13,872
Tax withholdings related to net share
settlements of equity awards
(2,181
)
—
(3,862
)
—
Proceeds from issuance of common stock
under the employee stock purchase plan
—
—
16,495
17,879
Contingent consideration payout
—
—
(10,762
)
—
Net cash provided by (used in) financing
activities
(20,195
)
195,400
(742,599
)
235,110
Effect of exchange rate changes on
cash, cash equivalents, restricted cash and restricted cash
equivalents
157
(50
)
(240
)
(38
)
Net increase (decrease) in cash, cash
equivalents, restricted cash, and restricted cash
equivalents
15,595
654,913
(873,442
)
682,125
Cash, cash equivalents, restricted
cash, and restricted cash equivalents, beginning of period
3,335,803
3,569,927
4,224,840
3,542,715
Cash, cash equivalents, restricted
cash, and restricted cash equivalents, end of period
$
3,351,398
$
4,224,840
$
3,351,398
$
4,224,840
Reconciliation of cash, cash
equivalents, restricted cash, and restricted cash equivalents
within the consolidated balance sheets to the amounts shown in the
consolidated statements of cash flows above:
Cash and cash equivalents
$
985,941
$
1,617,151
Restricted cash included in other current
assets
174,101
87,322
Restricted cash included in other
assets
5,297
13,810
Restricted cash and restricted cash
equivalents included in funds held for customers
2,186,059
2,506,557
Total cash, cash equivalents, restricted
cash, and restricted cash equivalents, end of year
$
3,351,398
$
4,224,840
Supplemental disclosure of cash flow
information:
Cash paid for interest during the
period
$
12,611
$
7,440
Cash paid for income taxes during the
period
$
5,628
$
1,266
Noncash investing and financing
activities:
Payable on purchases of acquired card
receivables
$
105,406
$
—
Fair value of shares issued as
consideration for acquisition
$
—
$
3,375
Fair value of earn-out consideration for
acquisition
$
—
$
10,762
BILL HOLDINGS, INC.
RECONCILIATION OF GAAP TO
NON-GAAP FINANCIAL MEASURES
(Unaudited, in thousands except
percentages and per share amounts)
Three Months Ended
June 30,
Year Ended
June 30,
2024
2023
2024
2023
Reconciliation of gross profit:
GAAP gross profit
$
278,463
$
243,431
$
1,055,556
$
864,491
Add:
Depreciation and amortization (1)
11,295
11,225
44,722
42,967
Stock-based compensation and related
payroll taxes charged to cost of revenue
2,243
2,495
9,594
9,428
Non-GAAP gross profit
$
292,001
$
257,151
$
1,109,872
$
916,886
GAAP gross margin
81.0
%
82.2
%
81.8
%
81.7
%
Non-GAAP gross margin
85.0
%
86.9
%
86.0
%
86.6
%
_____________________________
(1) Consists of depreciation of property
and equipment and amortization of developed technology, excluding
amortization of capitalized internal-use software costs paid in
cash.
Three Months Ended
June 30,
Year Ended
June 30,
2024
2023
2024
2023
Reconciliation of operating
expenses:
GAAP research and development expenses
$
79,609
$
81,841
$
336,754
$
314,632
Less - stock-based compensation and
related payroll taxes
(25,261
)
(23,935
)
(105,760
)
(95,876
)
Non-GAAP research and development
expenses
$
54,348
$
57,906
$
230,994
$
218,756
GAAP sales and marketing expenses
$
123,732
$
117,199
$
478,540
$
515,858
Less - stock-based compensation and
related payroll taxes
(11,565
)
(13,802
)
(50,073
)
(132,414
)
Non-GAAP sales and marketing expenses
$
112,167
$
103,397
$
428,467
$
383,444
GAAP general and administrative expenses
(1)
$
70,500
$
64,954
$
277,662
$
249,054
Less:
Stock-based compensation and related
payroll taxes
(19,768
)
(18,937
)
(82,565
)
(82,178
)
Acquisition and integration-related
expenses
—
(1,004
)
(972
)
(1,506
)
Non-GAAP general and administrative
expenses
$
50,732
$
45,013
$
194,125
$
165,370
_____________________________
(1) Provision for expected credit losses
was included in general and administrative expenses in fiscal
2023.
Three Months Ended
June 30,
Year Ended
June 30,
2024
2023
2024
2023
Reconciliation of operating
loss:
GAAP operating loss
$
(22,223
)
$
(41,398
)
$
(174,164
)
$
(295,773
)
Add:
Depreciation and amortization (1)
22,965
23,573
93,794
91,463
Stock-based compensation and related
payroll taxes charged to cost of revenue and operating expenses
(2)
58,837
59,169
247,992
319,896
Acquisition and integration-related
expenses
—
1,004
972
1,506
Restructuring
392
—
27,587
—
Non-GAAP operating income
$
59,971
$
42,348
$
196,181
$
117,092
_____________________________
(1) Excludes amortization of capitalized
internal-use software costs paid in cash.
(2) Excludes stock-based compensation
charged to Restructuring.
Three Months Ended
June 30,
Year Ended
June 30,
2024
2023
2024
2023
Reconciliation of net income
(loss):
GAAP net income (loss)
$
7,596
$
(15,871
)
$
(28,878
)
$
(223,725
)
Add - GAAP provision for income taxes
—
737
2,559
808
Income (loss) before taxes
7,596
(15,134
)
(26,319
)
(222,917
)
Add (less):
Depreciation and amortization (1)
22,965
23,573
93,794
91,463
Stock-based compensation and related
payroll taxes charged to cost of revenue and operating expenses
58,837
59,169
247,992
319,896
Acquisition and integration-related
expenses
—
1,004
972
1,506
Restructuring
392
—
27,587
—
Amortization of debt issuance costs
1,064
1,747
6,238
6,964
Gain on debt extinguishment and change on
mark to market derivatives associated with notes repurchase and
capped call unwind
(10,974
)
—
(45,271
)
—
Non-GAAP net income before non-GAAP tax
adjustments
$
79,880
$
70,359
$
304,993
$
196,912
Non-GAAP provision for income taxes
(2)
(15,976
)
(14,072
)
(60,999
)
(39,382
)
Non-GAAP net income
$
63,904
$
56,287
$
243,994
$
157,530
_____________________________
(1) Excludes amortization of capitalized
internal-use software costs paid in cash.
(2) The non-GAAP provision for income
taxes is calculated using a blended tax rate of 20%, taking into
consideration the nature of the taxed item and the applicable
statutory tax rate in each relevant taxing jurisdiction.
Three Months Ended
June 30,
Year Ended
June 30,
2024
2023
2024
2023
Reconciliation of net income (loss) per
share attributable to common stockholders, basic and
diluted:
GAAP net income (loss) per share
attributable to common stockholders, basic and diluted
$
0.07
$
(0.15
)
$
(0.27
)
$
(2.11
)
Add - GAAP provision for income taxes
—
0.01
0.02
0.01
Income (loss) before taxes
0.07
(0.14
)
(0.25
)
(2.10
)
Add (less):
Depreciation and amortization (1)
0.22
0.22
0.88
0.86
Stock-based compensation and related
payroll taxes charged to cost of revenue and operating expenses
0.55
0.56
2.34
3.02
Acquisition and integration-related
expenses
—
0.01
0.01
0.01
Restructuring
0.00
—
0.26
—
Amortization of debt issuance costs
0.01
0.02
0.06
0.07
Gain on debt extinguishment and change on
mark to market derivatives associated with notes repurchase and
capped call unwind
(0.10
)
—
(0.43
)
—
Non-GAAP net income before non-GAAP tax
adjustments per share attributable to common stockholders,
basic
$
0.75
$
0.66
$
2.87
$
1.86
Non-GAAP net income before non-GAAP tax
adjustments per share attributable to common stockholders,
diluted
$
0.72
$
0.60
$
2.64
$
1.67
Less - Non-GAAP provision for income
taxes
(0.15
)
(0.13
)
(0.57
)
(0.37
)
Non-GAAP net income per share attributable
to common stockholders, basic
$
0.60
$
0.53
$
2.30
$
1.49
Non-GAAP net income per share attributable
to common stockholders, diluted
$
0.57
$
0.48
$
2.12
$
1.34
___________________
(1) Excludes amortization of capitalized
internal-use software costs paid in cash.
Three Months Ended
June 30,
Year Ended
June 30,
2024
2023
2024
2023
Shares used to compute GAAP and non-GAAP
net income (loss) per share attributable to common stockholders,
basic
106,289
106,414
106,102
105,976
Shares used to compute GAAP net income
(loss) per share attributable to common stockholders, diluted
107,326
106,414
106,102
105,976
Shares used to compute non-GAAP net income
per share attributable to common stockholders, diluted
111,399
117,022
115,345
117,827
BILL HOLDINGS, INC.
FREE CASH FLOW
(Unaudited, in thousands)
Three months ended June
30,
Year ended June 30,
2024
2023
2024
2023
Net cash provided by operating
activities
$
78,619
$
80,355
$
278,771
$
187,768
Purchases of property and equipment
(205
)
(1,090
)
(976
)
(7,589
)
Capitalization of internal-use software
costs
(5,322
)
(6,383
)
(19,917
)
(23,614
)
Free cash flow
$
73,092
$
72,882
$
257,878
$
156,565
BILL HOLDINGS, INC.
REMAINING PERFORMANCE
OBLIGATIONS
(Unaudited, in thousands)
June 30, 2024
Remaining performance obligations to be
recognized as revenue:
Over the next 1 year
$
30,225
Between 1 to 2 years
16,887
Thereafter
39,733
Total
$
86,845
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240822905622/en/
IR Contact:
Karen Sansot ksansot@hq.bill.com
Press Contact:
John Welton john.welton@hq.bill.com
BILL (NYSE:BILL)
Historical Stock Chart
From Dec 2024 to Jan 2025
BILL (NYSE:BILL)
Historical Stock Chart
From Jan 2024 to Jan 2025
