Overview

* Semrush ( SEMR ) Q2 revenue rises 20% yr/yr, beating analyst expectations

* Company announces $150 mln share repurchase program

Outlook

* Semrush ( SEMR ) expects Q3 revenue between $111.1 mln and $112.1 mln

* Company anticipates full-year revenue of $443.0 mln to $446.0 mln

* Company expects full-year free cash flow margin of 12%

Result Drivers

* AI AND ENTERPRISE PRODUCTS - Accelerated adoption of AI and Enterprise products contributed to revenue growth, per CEO Bill Wagner

* HIGH-VALUE CUSTOMERS - Customers paying more than $50,000 annually increased by 83% yr/yr

* SEO LEADERSHIP - Named leader in SEO Solutions by Forrester, enhancing market position

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 In-line $108.89 $108.80

Revenue mln mln (5

Analysts

)

Q2 Net -$6.78

Income mln

Q2 Gross $87.78

Profit mln

Q2 -$4.34

Income mln

From

Operatio

ns

Q2 $92.13

Operatin mln

g

Expenses

Q2 -$2.06

Pretax mln

Profit

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

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

* Wall Street's median 12-month price target for SEMrush Holdings Inc ( SEMR ) is $16.00, about 46.9% above its August 1 closing price of $8.49

* The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 26 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.)