Santa Barbara cloud software firm AppFolio is edging closer to profitability.
Third quarter results from the business-to-business software firm released Nov. 7 show an increase in revenue to $28.2 million or 39 percent above the previous year’s quarter.
The company lost $1.1 million on GAAP-based accounting but AppFolio’s non-GAAP numbers showed a $200,000 profit and the company said it generated $2.3 million in cash from operating activities during the quarter.
The net loss per share of 3 cents on a GAAP basis easily beat analyst estimates of an 8 cent per share loss. The non GAAP loss per share was less than a penny. At $28.2 million, third quarter revenue was about $1 million above consensus estimates.
AppFolio said its property management software customers increased 27 percent to 9,612 and its law firm customers increased 40 percent to 7,799.
“We are pleased with our results in the quarter, achieving strong revenue, increasing units under management and continuing to realize operating leverage,” said AppFolio CEO Brian Donahoo in a statement.
At the end of the quarter, the company had slightly below $50 million in cash on hand. Appfolio said that it expects revenue in the $104 million to $105 million range for the full year. Analysts are expecting revenue in the $104 million range this year and $134 million in 2017.
• Contact Henry Dubroff at [email protected]