Reported Earnings • Dec 12
Third quarter 2023 earnings released: US$1.11 loss per share (vs US$1.23 loss in 3Q 2022) Third quarter 2023 results: US$1.11 loss per share (improved from US$1.23 loss in 3Q 2022). Revenue: US$217.3m (up 17% from 3Q 2022). Net loss: US$84.7m (loss narrowed 7.2% from 3Q 2022). Revenue is forecast to grow 18% p.a. on average during the next 3 years, compared to a 9.2% growth forecast for the Software industry in the United Kingdom. Over the last 3 years on average, earnings per share has fallen by 44% per year but the company’s share price has only fallen by 19% per year, which means it has not declined as severely as earnings. Board Change • Nov 16
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 9 experienced directors. 3 highly experienced directors. Chief Customer Officer & Member of Executive Advisory Board Mark Riggs was the last director to join the board, commencing their role in 2018. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Reported Earnings • Sep 07
Second quarter 2023 earnings released: US$0.99 loss per share (vs US$1.24 loss in 2Q 2022) Second quarter 2023 results: US$0.99 loss per share (improved from US$1.24 loss in 2Q 2022). Revenue: US$211.1m (up 18% from 2Q 2022). Net loss: US$75.3m (loss narrowed 18% from 2Q 2022). Revenue is forecast to grow 20% p.a. on average during the next 3 years, compared to a 10% growth forecast for the Software industry in the United Kingdom. Over the last 3 years on average, earnings per share has fallen by 51% per year but the company’s share price has only fallen by 25% per year, which means it has not declined as severely as earnings. Reported Earnings • Jun 07
First quarter 2023 earnings released: US$1.08 loss per share (vs US$1.38 loss in 1Q 2022) First quarter 2023 results: US$1.08 loss per share (up from US$1.38 loss in 1Q 2022). Revenue: US$196.4m (up 18% from 1Q 2022). Net loss: US$81.5m (loss narrowed 19% from 1Q 2022). Over the next year, revenue is forecast to grow 17%, compared to a 26% growth forecast for the industry in the United Kingdom. Over the last 3 years on average, earnings per share has fallen by 57% per year but the company’s share price has only fallen by 15% per year, which means it has not declined as severely as earnings. Buying Opportunity • May 25
Now 24% undervalued after recent price drop Over the last 90 days, the stock is down 45%. The fair value is estimated to be US$83.76, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 33% over the last 3 years. Earnings per share has declined by 60%. For the next 3 years, revenue is forecast to grow by 17% per annum. Earnings is forecast to decline by 7.6% per annum over the same time period. Board Change • Apr 27
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 10 experienced directors. 2 highly experienced directors. Chief Customer Officer & Member of Executive Advisory Board Mark Riggs was the last director to join the board, commencing their role in 2018. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Reported Earnings • Mar 15
Full year 2022 earnings: EPS in line with analyst expectations despite revenue beat Full year 2022 results: US$5.14 loss per share (down from US$2.63 loss in FY 2021). Revenue: US$725.3m (up 34% from FY 2021). Net loss: US$379.0m (loss widened 110% from FY 2021). Revenue exceeded analyst estimates by 1.0%. Over the next year, revenue is forecast to grow 21%, compared to a 29% growth forecast for the industry in the United Kingdom. Over the last 3 years on average, earnings per share has fallen by 60% per year but the company’s share price has only fallen by 8% per year, which means it has not declined as severely as earnings. Breakeven Date Change • Mar 15
No longer forecast to breakeven The 25 analysts covering Coupa Software no longer expect the company to break even during the foreseeable future. The company was expected to make a profit of US$8.54m in 2025. New consensus forecast suggests the company will make a loss of US$365.0m in 2025. Buying Opportunity • Jan 22
Now 22% undervalued after recent price drop Over the last 90 days, the stock is down 48%. The fair value is estimated to be US$166, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 35% per annum over the last 3 years. Earnings per share has declined by 60% per annum over the last 3 years. Reported Earnings • Dec 07
Third quarter 2022 earnings: EPS in line with analyst expectations despite revenue beat Third quarter 2022 results: US$1.23 loss per share (down from US$0.88 loss in 3Q 2021). Revenue: US$185.8m (up 40% from 3Q 2021). Net loss: US$91.2m (loss widened 50% from 3Q 2021). Revenue exceeded analyst estimates by 4.5%. Over the next year, revenue is forecast to grow 19%, compared to a 29% growth forecast for the industry in the United Kingdom. Over the last 3 years on average, earnings per share has fallen by 60% per year but the company’s share price has increased by 39% per year, which means it is well ahead of earnings. Reported Earnings • Sep 08
Second quarter 2022 earnings released: US$1.24 loss per share (vs US$0.64 loss in 2Q 2021) The company reported a mediocre second quarter result with increased losses and weaker control over costs, although revenues improved. Second quarter 2022 results: Revenue: US$179.2m (up 42% from 2Q 2021). Net loss: US$91.5m (loss widened 112% from 2Q 2021). Over the last 3 years on average, earnings per share has fallen by 57% per year but the company’s share price has increased by 50% per year, which means it is well ahead of earnings. Reported Earnings • Jun 08
First quarter 2022 earnings released: US$1.38 loss per share (vs US$0.23 loss in 1Q 2021) The company reported a mediocre first quarter result with increased losses and weaker control over costs, although revenues improved. First quarter 2022 results: Revenue: US$166.9m (up 40% from 1Q 2021). Net loss: US$100.4m (loss widened US$85.5m from 1Q 2021). Over the last 3 years on average, earnings per share has fallen by 49% per year but the company’s share price has increased by 57% per year, which means it is well ahead of earnings. Reported Earnings • Mar 18
Full year 2021 earnings released: US$2.63 loss per share (vs US$1.45 loss in FY 2020) The company reported a mediocre full year result with increased losses and weaker control over costs, although revenues improved. Full year 2021 results: Revenue: US$541.6m (up 39% from FY 2020). Net loss: US$180.1m (loss widened 98% from FY 2020). Over the last 3 years on average, earnings per share has fallen by 38% per year but the company’s share price has increased by 75% per year, which means it is well ahead of earnings. Executive Departure • Feb 03
Chief Revenue Officer has left the company On the 1st of February, Steven Winter's tenure as Chief Revenue Officer ended after 4.4 years in the role. As of September 2020, Steven personally held 7.95k shares (US$2.0m worth at the time). Steven is the only executive to leave the company over the last 12 months. Recent Insider Transactions • Jan 01
Insider recently bought US$36k worth of stock On the 23rd of December, Michelle Brennan bought around 100 shares on-market at roughly US$359 per share. This was the largest purchase by an insider in the last 3 months. Despite this recent purchase, insiders have collectively sold US$87k more in shares than they bought in the last 12 months. Reported Earnings • Dec 09
Third quarter 2021 earnings released: US$0.88 loss per share The company reported a mediocre third quarter result with increased losses and weaker control over expenses, although revenues were improved. Third quarter 2021 results: Revenue: US$133.0m (up 31% from 3Q 2020). Net loss: US$60.8m (loss widened 131% from 3Q 2020). Analyst Estimate Surprise Post Earnings • Dec 09
Revenue beats expectations Revenue exceeded analyst estimates by 7.2%. Over the next year, revenue is forecast to grow 29%, compared to a 32% growth forecast for the Software industry in the United Kingdom.