Alkami Technology (ALKT) Q1 2025 Earnings
How Did ALKT Stock React to Q1 2025 Earnings?
S&P 500 over the same 30 days: +6.74%.
Did ALKT Beat Earnings? Q1 2025 Results
No. Alkami Technology reported Q1 2025 earnings of $-0.08 a share on Apr 30, 2025, missing the $0.09 consensus estimate by 192.1%. Revenue was $97.8M against a $94.4M estimate.
Alkami Technology posted a mixed first quarter for 2025, delivering a revenue beat but a notable earnings miss as acquisition activity reshaped the company's financial profile. Revenue climbed 28.5% year-over-year to $97.83 million, topping the $94.38 million consensus estimate by 3.66%, while the company reported a loss per share of $0.08, falling well short of the $0.09 consensus by 192.06%. The gap was largely driven by $2.38 million in acquisition-related expenses tied to the closing of the MANTL deal on March 17, 2025, which added omnichannel account-opening capabilities to Alkami's digital banking platform and contributed $1.40 million in first-quarter revenue. Annual recurring revenue grew 33% year-over-year to $403.88 million, underscoring durable demand from the company's 278 platform clients. Looking ahead, management guided full-year 2025 revenue of $443.00 million to $447.00 million and Adjusted EBITDA of $49.50 million to $52.50 million, with MANTL expected to become Adjusted EBITDA accretive in 2026.
- 28.5% revenue growth driven by new clients, existing client user growth, and ARPU growth
- ARR grew 33% to $404 million
- Registered users grew 13% to 20.5 million
- RPU increased 18% to $19.74
- Non-GAAP gross margin expanded to 64.3% from 61.7%
- Adjusted EBITDA more than tripled to $12.1 million from $3.8 million
- Net dollar retention of 113%
- LTM churn less than 1%
- 95% subscription revenue mix
- Remaining performance obligation of $1.6 billion, up 31% year-over-year
“In the first quarter, we delivered another outstanding quarter of strong revenue growth and profitability, with revenue growth of 28.5% and Adjusted EBITDA of $12.1 million. We exited Q1 with 20.5 million users on the Alkami platform, up 2.3 million compared to the year-ago quarter, and we continued to lead the industry in market share gains.”
Alkami Technology CEO, on the earnings call
What Was Alkami Technology's Outlook in Q1 2025?
For Q2 2025, Alkami guides GAAP total revenue of $109.0 million to $110.5 million and Adjusted EBITDA of $9.0 million to $10.0 million. For full-year 2025, the company expects GAAP total revenue of $443.0 million to $447.0 million and Adjusted EBITDA of $49.5 million to $52.5 million. Full-year guidance includes approximately $31.4 million of MANTL revenue and a $5.0 million MANTL Adjusted EBITDA loss; management expects MANTL to be accretive to Adjusted EBITDA in 2026. MANTL's ARR under contract at year-end 2025 is expected to be approximately $60 million, representing over 30% growth. Guidance also includes the impact of Alkami's India expansion. The company targets gross margin improvement of 200-300 basis points per year through 2026 and a long-term Adjusted EBITDA margin target of 20% by 2026.
ALKT YoY Financials
| Metric | Q1 2025 | Q1 2024 | Year over year |
|---|---|---|---|
| Revenue | $97.8M | $76.1M | +28.5% |
| Gross Profit | $57.8M | $44.0M | +31.2% |
| Operating Income | −$15.4M | −$20.4M | −24.5% |
| Net Income | −$7.8M | −$5.9M | +31.6% |
Figures from SEC filings and company reports. Not investment advice.