AppFolio’s revenue and losses both grew in 2021
For the second consecutive year, Goleta-based property management software developer AppFolio reported a loss for the fourth quarter, though its revenue did grow during that year.
The company had a net loss of $1.3 million in the most recent quarter, or 4 cents per share. Year earlier, in the fourth quarter of 2020, the company lost less than half as much: $513,000, or 1 cent per share.
AppFolio’s stock closed at $113.14 on Feb. 28, just before the earnings release. Shares were up on March 1, trading in the $117 range by midday.
Earnings per share for the year were 3 cents in 2021, compared to $4.62 in 2020 and $1.07 in 2019.
AppFolio said its revenue grew 32% between the fourth quarter of 2020 and the fourth quarter of 2021. The company reported $95.6 million in revenue in the most recent quarter, capping off a year of 26% revenue growth, AppFolio CEO Jason Randall said during the company’s earnings call.
Randall said he was “pleased” with the fourth quarter results and said AppFolio will continue to invest in the “key foundations of our success, our customers, our innovative products and services, our employees and a revenue generating go-to-market strategy.”
For the full year of 2021, AppFolio had revenue of $359 million, a 26% increase from 2020.
Fay Sien Goon, AppFolio’s CFO, said the revenue increase was primarily attributable to growth in the company’s value-added services, which are designed to enhance, automate and streamline processes and workflows essential to AppFolio’s customers’ businesses. The company’s revenue also grew due to increasing unit counts and growth in the number of property management customers served, according to Sien Goon.
AppFolio had about 17,200 customers at the end of 2021. The company’s clients managed 6.35 million residential units on its platform at the end of the year, compared with 5.36 million a year earlier.
“The growth rate in the number of property management units is a key performance metric that drives how we manage our revenue growth,” Sien Goon said.
During the company’s Feb. 28 earnings call, Sien Goon spoke of AppFolio’s outlook for 2022.
Full year revenue is expected in the range of $447 million to $457 million.