Overview

* Sprout Social ( SPT ) Q2 revenue rises 12% yr/yr, beating analyst expectations

* Non-GAAP net income for Q2 increases to $10.7 mln, up from $4.9 mln

* The provider of social media management tools to businesses highlights NewsWhip purchase to enhance predictive intelligence capabilities

Outlook

* Sprout Social ( SPT ) sees Q3 revenue between $114.4 mln and $115.2 mln

* Company expects full-year revenue between $452.9 mln and $455.9 mln

* Sprout Social ( SPT ) forecasts Q3 non-GAAP EPS between $0.15 and $0.16

* Company anticipates full-year non-GAAP EPS between $0.71 and $0.75

Result Drivers

* CUSTOMER ADOPTION - Co attributes revenue growth to increased customer adoption and expansion within existing accounts

* NEWSWHIP ACQUISITION - Acquisition of NewsWhip enhances predictive intelligence capabilities, per CEO Ryan Barretto

* STRATEGIC PARTNERSHIPS - Scaling growth through strategic partnerships cited as key driver

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $111.78 $110.90

Revenue mln mln (12

Analysts

)

Q2 EPS -$0.21

Q2 Net -$11.98

Income mln

Q2 Gross $86.84

Profit mln

Q2 $99.16

Operatin mln

g

Expenses

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 6 "hold" and 1 "sell" or "strong sell"

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

* Wall Street's median 12-month price target for Sprout Social Inc ( SPT ) is $27.00, about 39.9% above its August 5 closing price of $16.23

* The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 28 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.)