UiPath Inc. (NYSE:PATH) Barclays 22nd Annual Global Technology Conference December 11, 2024 11:40 AM ET Company Participants Ashim Gupta - Chief Financial Officer Conference Call Participants Raimo Lenschow - Barclays Operator Hey, welcome to our next session. Hi, [Evan] (ph). Hey, really happy to have Ashim from UiPath here. Your role's expanding like crazy. You know, like -- do you still have time to sleep? Ashim Gupta I still have time to sleep and hug my kids. Those are the two most important things. Ra ...

UiPath (PATH) appears an attractive pick given a noticeable improvement in the company's earnings outlook. The stock has been a strong performer lately, and the momentum might continue with analysts still raising their earnings estimates for the company.The rising trend in estimate revisions, which is a result of growing analyst optimism on the earnings prospects of this enterprise automation software developer, should get reflected in its stock price. After all, empirical research shows a strong correlatio ...

Michael Wiggins De Oliveira is an inflection investor. This means buying into cheap companies at the moment when their narrative is changing and the business is on a path toward becoming significantly more profitable over the next year.With a focus on tech and “the Great Energy Transition (including uranium)”, Michael runs a concentrated portfolio with approximately 15 to 20 stocks and an average holding period of 18 months. Through his 10+ years analyzing countless companies, Michael has accumulated outsta ...

UiPath TodayPATHUiPath$14.72 -0.78 (-5.03%) 52-Week Range$10.37▼$27.87Price Target$17.71Add to WatchlistUiPath NYSE: PATH is well-positioned to benefit from AI and workflow automation now and over the long term. Its own results and results from other AI automation names like SoundHound NASDAQ: SOUN reveal increasing interest and use-case applications that are revolutionizing how businesses operate. UiPath’s latest advancement is focused on Agentic AI solutions.  Agentic AI incorporates UiPath robots into a ...

Revenue Performance - Revenue for the quarter ended October 31, 2024, was $354.7 million, representing a 9% increase year-over-year[146] - Year-to-date revenue reached $1,006.0 million, reflecting an 11% increase year-over-year[146] - Annualized renewal run-rate (ARR) as of October 31, 2024, was $1,606.6 million, up 17% year-over-year[146] - Total revenue for the three months ended October 31, 2024, increased by $28.7 million, or 9%, compared to the same period in 2023, primarily driven by a $39.4 million increase in subscription services revenue[184] - Total revenue increased by $103.2 million, or 11%, for the nine months ended October 31, 2024, compared to the same period in 2023, driven by a $112.8 million increase in subscription services revenue[197] Subscription Services - Subscription services revenue for the three months ended October 31, 2024, was $206.9 million, representing a 24% increase from $167.5 million in the same period of 2023[184] - Subscription services revenue increased by $14.8 million, or 52%, for the three months ended October 31, 2024, compared to the same period in 2023[185] Cost and Margin Analysis - Gross margin for the three months ended October 31, 2024, was 82%, down from 85% in the same period last year[147] - Total cost of revenue for the three months ended October 31, 2024, was $63.8 million, up from $49.9 million in the same period of 2023, reflecting an increase in subscription services costs[179] - Gross profit for the three months ended October 31, 2024, was $290.9 million, compared to $276.0 million for the same period in 2023, resulting in a gross margin of 82%[179] - Total cost of revenue increased by $39.8 million, or 28%, for the nine months ended October 31, 2024, primarily due to a $45.3 million increase in cost of subscription services revenue[198] - Gross margin decreased to 82% for the three months ended October 31, 2024, compared to 85% for the same period in 2023[186] Operating Expenses - Total operating expenses for the three months ended October 31, 2024, were $334.3 million, slightly up from $331.8 million in the same period of 2023[179] - The company expects operating expenses to increase in absolute dollars as it continues to invest in research and development[172] - Research and development expense increased by $12.5 million, or 15%, for the three months ended October 31, 2024, compared to the same period in 2023[190] - Sales and marketing expense decreased by $4.1 million, or 2%, for the three months ended October 31, 2024, compared to the same period in 2023[187] - General and administrative expense decreased by $5.9 million, or 11%, for the three months ended October 31, 2024, compared to the same period in 2023[191] - General and administrative expenses rose by $4.9 million, or 3%, for the nine months ended October 31, 2024, amounting to $177.1 million, compared to $172.2 million in the prior year[204] Profit and Loss - Operating loss for the three months ended October 31, 2024, was $(43.4) million, an improvement from $(55.8) million in the same period of 2023[179] - Net loss for the three months ended October 31, 2024, was $(10.7) million, compared to $(31.5) million in the same period of 2023[179] - The provision for income taxes decreased by $18.8 million for the three months ended October 31, 2024, compared to the same period in 2023[196] - The provision for income taxes decreased by $18.6 million for the nine months ended October 31, 2024, resulting in a benefit of $(7.2) million compared to a provision of $11.4 million in the same period of 2023[208] Cash Flow and Financial Position - Cash flow from operations for the nine months ended October 31, 2024, was $174.5 million, compared to $153.5 million for the same period in 2023[147] - Cash and cash equivalents, restricted cash, and marketable securities totaled $1,603.9 million as of October 31, 2024, down from $1,880.3 million as of January 31, 2024[147] - As of October 31, 2024, the company had cash, cash equivalents, and marketable securities totaling $1,603.4 million, with an accumulated deficit of $2,039.7 million[209] - Net cash provided by operating activities for the nine months ended October 31, 2024, was $174.5 million, a 13.7% increase from $153.5 million in the same period of 2023[216] - Net cash used in investing activities for the nine months ended October 31, 2024, was $28.8 million, significantly lower than $430.9 million in the prior year[219] - Net cash used in financing activities for the nine months ended October 31, 2024, was $433.5 million, compared to $115.0 million in the same period of 2023[221] Strategic Actions - Restructuring actions approved on July 8, 2024, aim to streamline operations and focus on AI and innovation[154] - The company authorized a stock repurchase program of up to $1 billion, with $500 million authorized on September 1, 2023, and an additional $500 million on August 30, 2024[213] Foreign Currency Impact - Approximately 53% of the company's revenues and 37% of its expenses were denominated in non-U.S. dollar currencies for the nine months ended October 31, 2024[230] - The estimated translation impact of a hypothetical 10% change in foreign currency exchange rates would amount to $26.3 million for the nine months ended October 31, 2024[230] - The company recognized net foreign currency transaction gains of $1.9 million for the nine months ended October 31, 2024[230] - A hypothetical 10% change in interest rates would not have materially impacted the company's financial statements for the nine months ended October 31, 2024[229]

UiPath Inc. (NYSE:PATH) Q3 2025 Results Conference Call December 5, 2024 5:00 PM ET Company Participants Monica Gould - Investor Relations Daniel Dines - Chief Executive Officer Ashim Gupta - Chief Financial Officer Conference Call Participants Mark Murphy - JPMorgan Raimo Lenschow - Barclays Jake Roberge - William Blair Bryan Bergin - TD Cowen Michael Richards - RBC Capital Markets Sanjit Singh - Morgan Stanley Terry Tillman - Truist Securities Chirag Ved - Evercore Kingsley Crane - Canaccord Genuity Brian ...

For the quarter ended October 2024, UiPath (PATH) reported revenue of $354.65 million, up 8.8% over the same period last year. EPS came in at $0.11, compared to $0.12 in the year-ago quarter.The reported revenue represents a surprise of +2.03% over the Zacks Consensus Estimate of $347.61 million. With the consensus EPS estimate being $0.07, the EPS surprise was +57.14%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their ...

Earnings Performance - UiPath reported quarterly earnings of $0.11 per share, beating the Zacks Consensus Estimate of $0.07 per share, representing a 57.14% earnings surprise [1] - The company's earnings were $0.12 per share a year ago, adjusted for non-recurring items [1] - In the previous quarter, UiPath posted earnings of $0.04 per share, surpassing the expected $0.03 per share, with a 33.33% surprise [1] - Over the last four quarters, the company has consistently surpassed consensus EPS estimates [2] Revenue Performance - UiPath posted revenues of $354.65 million for the quarter ended October 2024, exceeding the Zacks Consensus Estimate by 2.03% [2] - This compares to year-ago revenues of $325.92 million [2] - The company has topped consensus revenue estimates in each of the last four quarters [2] Stock Performance and Market Comparison - UiPath shares have declined approximately 38.3% since the beginning of the year, while the S&P 500 has gained 27.6% [4] - The stock's immediate price movement will depend on management's commentary during the earnings call [3] Future Outlook and Earnings Estimates - The current consensus EPS estimate for the coming quarter is $0.17 on $423.36 million in revenues [8] - For the current fiscal year, the consensus EPS estimate is $0.40 on $1.42 billion in revenues [8] - The estimate revisions trend for UiPath is mixed, resulting in a Zacks Rank 3 (Hold) [7] Industry Context - UiPath belongs to the Zacks Technology Services industry, which is currently in the top 28% of over 250 Zacks industries [9] - The top 50% of Zacks-ranked industries outperform the bottom 50% by more than 2 to 1 [9] Peer Comparison - Skillsoft Corp (SKIL), another company in the same industry, is expected to report a quarterly loss of $3.01 per share for the quarter ended October 2024, representing a year-over-year improvement of 12.8% [10] - Skillsoft Corp's revenues are expected to be $129.76 million, down 6.6% from the year-ago quarter [11]

Revenue and Growth - Revenue for Q3 fiscal 2025 was $355 million, representing a 9% increase year-over-year[3] - Annualized Renewal Run-rate (ARR) reached $1.607 billion, up 17% year-over-year[3] - Net new ARR for the quarter was $56 million[3] - For Q4 fiscal 2025, revenue is expected to be between $422 million and $427 million[5] - ARR is projected to be between $1.669 billion and $1.674 billion as of January 31, 2025[5] - Total revenue for the three months ended October 31, 2023, was $354.7 million, a 8.1% increase from $325.9 million in the same period last year[24] - Subscription services revenue increased by 23.5% year-over-year to $206.9 million, compared to $167.5 million in the prior year[24] Profitability and Margins - GAAP gross margin was 82%, while non-GAAP gross margin was 85%[3] - Non-GAAP operating income for Q3 was $50 million, with a GAAP operating loss of $(43) million[3] - Gross profit for the nine months ended October 31, 2023, was $823.6 million, up from $760.2 million, reflecting a gross margin improvement[24] - GAAP gross profit for the three months ended October 31, 2023, was $290.890 million, with a gross margin of 82%, down from 85% in the previous year[30] - Non-GAAP gross profit for the same period was $300.364 million, with a non-GAAP gross margin of 85%, compared to 87% in the previous year[30] Losses and Expenses - Operating loss for the three months ended October 31, 2023, was $(43.4) million, an improvement from $(55.8) million in the same quarter last year[24] - Net loss for the three months ended October 31, 2023, was $(10.7) million, compared to $(31.5) million in the same period last year[24] - Net loss for the nine months ended October 31, 2023, was $125.488 million, compared to a loss of $123.799 million in the previous period[28] - GAAP net loss for the three months ended October 31, 2024, was $(10,655), an improvement from $(31,537) in the same period in 2023[34] - GAAP operating loss for the three months ended October 31, 2024, was $(43,364), compared to $(55,819) in the same period in 2023[32] Cash and Assets - Cash, cash equivalents, and marketable securities totaled $1.6 billion as of October 31, 2024[3] - Cash and cash equivalents decreased to $773.6 million as of October 31, 2024, down from $1,061.7 million as of January 31, 2024[26] - Total current assets decreased to $2.18 billion from $2.58 billion in the previous quarter[26] - Total cash, cash equivalents, and restricted cash at the end of the period was $774.068 million, down from $1.003 billion at the end of the previous period[28] Deferred Revenue and Liabilities - Deferred revenue increased to $494.4 million as of October 31, 2024, compared to $486.8 million in the previous quarter[26] - Total liabilities as of October 31, 2024, were $931.4 million, slightly down from $938.6 million as of January 31, 2024[26] Shareholder Information - The company reported a weighted-average share count of 551,036 for the three months ended October 31, 2023[24] - GAAP weighted average common shares outstanding, diluted, for the three months ended October 31, 2024, were 553,942, compared to 577,499 in the same period in 2023[34] Operating Activities - Net cash provided by operating activities increased to $174.483 million from $153.480 million year-over-year[28] - The company experienced a net cash used in investing activities of $28.807 million, a significant improvement from $430.930 million in the previous period[28] Stock and Compensation - The company reported stock-based compensation expense of $270.520 million for the nine months ended October 31, 2023, slightly down from $283.025 million[28] - The company repurchased $381.403 million of Class A common stock during the period, compared to $52.649 million in the previous period[28] Guidance and Future Projections - Non-GAAP operating income guidance for Q4 is approximately $100 million[5] - Non-GAAP net income for the nine months ended October 31, 2024, was $156,788, compared to $181,866 for the same period in 2023, indicating a decrease of 13.8%[34] - Non-GAAP adjusted free cash flow for the nine months ended October 31, 2024, was $182,868, compared to $162,965 for the same period in 2023, representing an increase of 12.2%[35] - Non-GAAP operating income for the three months ended October 31, 2024, was $49,721, an increase from $43,679 in the same period in 2023[32] - Non-GAAP net income per share, diluted, for the three months ended October 31, 2024, was $0.11, unchanged from the same period in 2023[34]

UiPath Inc. (PATH) will report its third-quarter fiscal 2025 results on Thursday, after the bell.The Zacks Consensus Estimate for earnings in the to-be-reported quarter stands at 7 cents, indicating a 41.7% decline from the year-ago reported quarter. The consensus estimate for revenues stands at $347.6 million, implying 6.7% year-over-year growth. There has been no change in analyst estimates or revisions lately.Image Source: Zacks Investment ResearchThe company has an impressive earnings surprise history. ...