Can BlackLine Continue The Run?

Since its public listing in 2016, BlackLine (Nasdaq: BL) has shown impressive performance and proven to be a sustainable Billion Dollar Unicorn. In its most recent results, it achieved non-GAAP profitability and its market cap has now crossed $2 billion.

BlackLine’s Financials

For the fourth quarter, BlackLine’s revenues grew 42% to $50.2 million. It ended the quarter with a GAAP net loss of $5.8 million, or $0.11 per share and a non-GAAP net income of $1.8 million, or $0.03 per share. The market was looking for revenues of $47.7 million and loss of $0.09 per share.

By segment, subscription and support revenues grew 42% to $47.8 million and professional services revenues grew 50% to $2.4 million. It ended the year with nearly 2,208 customers after adding 117 net new customers in the fourth quarter and 448 net new customers during the full year.

Among the new customers to come on board during the fourth quarter were Atlas World Group (parent of Atlas Van Lines), Cirrus Logic, Inc., Krispy Kreme, and NVIDIA in North America. It added Cancer Research UK, Pernod Ricard, Randstad Groep, SAS and Thomas Cook in EMEA; and Axiata Digital, Lindt & Sprüngli, Scoot Tigerair, and Weir Minerals in APAC.

BlackLine also expanded its user base by nearly 30,000 users in the year, ending with a user base of 196,612 users across 2,200 companies in 150 countries.

For the year, BlackLine’s revenues grew 44% to $177 million. It reported a GAAP net loss of $38.1 million, or $0.73 per share. In 2016, BlackLine’s revenues came in at $123.1 million and it recorded a net loss of $39.2 million.

BlackLine expects current quarter revenues to be in the range of $49.5 million-$50.5 million with a net loss of $1.1 million, or $0.0-$0.02 per share. It forecast the year’s revenues at $219 million-$224 million with a net income of $1 million, or $0.0-$0.02 per share income of $18.3 million-$16.3 million, or $0.35-$0.31 per share. The Street had forecast loss of $0.02 to $0.04 per share for the first quarter.