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Yext Inc. (YEXT-2.85%) has submitted its 10-Q filing for the quarterly period ended October 31, 2024.
The filing reports total revenue of $113,989,000 for the quarter, an increase from $101,164,000 in the same quarter the previous year. This growth is attributed to the acquisition of Hearsay Social, Inc.
Cost of revenue for the quarter was $26,247,000, representing 23% of sales, compared to 22% in the same quarter of the previous year. The increase is primarily due to amortization expenses related to acquired intangible assets.
Yext reported a gross profit of $87,742,000 for the quarter, compared to $79,098,000 in the previous year. The gross margin decreased slightly to 77.0% from 78.2% in the previous year.
Sales and marketing expenses decreased to $43,667,000 from $45,355,000, reflecting a reduction in personnel-related costs, despite additional costs from the acquisition of Hearsay.
Research and development expenses increased to $21,070,000 from $18,291,000, primarily due to personnel-related costs associated with the acquisition.
General and administrative expenses rose significantly to $33,373,000 from $17,233,000, driven by acquisition-related costs and increased stock-based compensation.
Net loss for the quarter was $12,799,000, compared to a net loss of $468,000 in the previous year. The increase in net loss is attributed to acquisition-related costs and increased operating expenses.
Cash provided by operating activities was $11,865,000, while cash used in investing and financing activities was $91,176,000 and $13,213,000, respectively.
Yext's acquisition of Hearsay Social, Inc. was completed on August 1, 2024, for a total consideration of $180,342,000, including contingent consideration and assumed employee awards.
The filing also discusses the impact of macroeconomic conditions on Yext's business, including foreign currency fluctuations and inflation, and outlines the company's strategic focus on integrating Hearsay and expanding its platform capabilities.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Yext Inc. quarterly 10-Q report dated December 9, 2024. To report an error, please email earnings@qz.com.