Overview

* Yext ( YEXT ) fiscal Q2 rev grows 16% yr/yr, beating analyst expectations, per LSEG data

* Adjusted net income for fiscal Q2 beats consensus, per LSEG data

* CEO had proposed acquisition of outstanding shares of co at $9.00 per share in cash

Outlook

* Yext ( YEXT ) declines to provide guidance due to pending acquisition proposal

Result Drivers

* HEARSAY INTEGRATION - Revenue growth driven by integration of Hearsay Systems, contributing to 16% yr/yr increase

* EXPENSE MANAGEMENT - Operating expenses reduced to 49% of revenue from 85% in prior yr, aiding profitability

* ARR GROWTH - Annual recurring revenue rose 15% yr/yr, aided by direct customer growth and favorable currency effects

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $113.10 $111.20

Revenue mln mln (4

Analysts

)

Q2 EPS $0.22

Q2 Beat $16.30 $15.70

Adjusted mln mln (4

Net Analysts

Income )

Q2 Net $26.80

Income mln

Q2 Gross 75.2%

Margin

Q2 $444.40

Annual mln

Recurrin

g

Revenue

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the online services peer group is "buy"

* Wall Street's median 12-month price target for Yext Inc ( YEXT ) is $9.75, about 8.2% above its September 5 closing price of $8.95

* The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 13 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)