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AvidXchange Holdings, Inc. has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing reports an increase in total revenues to $112,772,000 for the quarter, up from $98,680,000 in the same period the previous year. The increase was primarily driven by a rise in payment revenue due to higher electronic payments and increased interest rates.
Cost of revenues for the quarter was $30,429,000, representing 27% of revenues, compared to 31.2% in the same quarter of the previous year. This decrease in cost ratio is attributed to reduced employee costs and consulting expenses.
The company reported a net income of $4,047,000 for the quarter, compared to a net loss of $8,091,000 in the previous year. The improvement is due to increased revenues and reduced interest expenses.
Operating expenses increased slightly to $81,088,000 from $77,542,000, driven by higher sales and marketing expenses, while research and development expenses remained relatively stable.
Interest income increased to $5,837,000, while interest expense decreased to $2,614,000, reflecting the company's repayment of its term loan during the period.
Cash provided by operating activities was $43,482,000, compared to cash used of $10,991,000 in the previous year. The improvement is attributed to increased revenues and changes in working capital.
AvidXchange had a working capital of $676,798,000 as of September 30, 2024. The company believes its current liquidity is sufficient to meet its working capital requirements for at least the next twelve months.
The filing also details a new credit agreement entered in August 2024, which includes a $150,000,000 revolving credit facility. The company repaid its previous term loan facility as part of this agreement.
During the quarter, the company repurchased and retired 3,104,312 shares of common stock for $25,062,000, as part of a $100,000,000 share repurchase program authorized by the board of directors.
AvidXchange continues to focus on expanding its electronic payment solutions and enhancing its software offerings to increase transaction volumes and revenue.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the AvidXchange Holdings Inc. quarterly 10-Q report dated November 8, 2024. To report an error, please email earnings@qz.com.