Ibotta, Inc.(IBTA) - 2024 Q1 - Quarterly Report

Financial Performance - Revenue for Q1 2024 was $82.3 million, a 42.7$57.7 million in Q1 2023[11] - Gross profit for Q1 2024 reached $71.8 million, compared to$46.4 million in Q1 2023, reflecting a gross margin improvement[11] - Net income for Q1 2024 was $9.3 million, a significant turnaround from a net loss of$4.3 million in Q1 2023[11] - Adjusted EBITDA for the three months ended March 31, 2024, was $22.7 million, with an adjusted EBITDA margin of 28$9.3 million for the three months ended March 31, 2024, compared to a net loss of $4.3 million for the same period in 2023[106] Assets and Liabilities - Total current assets increased to$300.1 million as of March 31, 2024, up from $298.3 million at the end of 2023[10] - Cash and cash equivalents rose to$79.5 million, compared to $62.6 million at the end of 2023, indicating improved liquidity[10] - Total liabilities decreased to$278.0 million as of March 31, 2024, down from $291.9 million at the end of 2023[10] - Long-term debt remained stable at$75.099 million as of March 31, 2024, consistent with the amount reported on December 31, 2023[42] Cash Flow - The company reported net cash provided by operating activities of $19,366 thousand for the three months ended March 31, 2024, significantly up from$2,692 thousand in the same period last year[18] - Net cash provided by operating activities increased by $16.7 million to$19.4 million for the three months ended March 31, 2024, compared to $2.7 million for the same period in 2023[199] - The net change in cash and cash equivalents for the three months ended March 31, 2024, was$16.9 million, compared to $12.4 million for the same period in 2023[198] Stock and Equity - The number of shares outstanding increased to 9.4 million as of March 31, 2024, compared to 9.2 million at the end of 2023[10] - The company closed its initial public offering (IPO) on April 22, 2024, raising net proceeds of$197.5 million from the sale of 2,500,000 shares of Class A common stock at $88.00 per share[21] - As of March 31, 2024, Ibotta, Inc. was authorized to issue 40,000,000 shares of common stock, with 25,544,539 shares reserved for future issuances[79] - The company has 17,245,954 shares of redeemable convertible preferred stock outstanding, with various series having different liquidation preferences and dividend rates[79] Redemption and User Engagement - The company reported 71,466 redemptions in the first quarter of 2024, with redemption revenue per redemption at$0.95, slightly down from $0.96 in the prior year[136] - For the three months ended March 31, 2024, total redemptions were approximately 71.5 million, up from 43.3 million in the same period in 2023, representing a year-over-year increase of 65$55.9 million, up from $47.4 million in Q1 2023, driven by increased sales and marketing efforts[11] - Sales and marketing expenses increased by$6.5 million, or 30%, during the three months ended March 31, 2024, driven by increases in stock-based compensation, B2B marketing, and media spend[186] - Research and development expenses increased by $1.9 million, or 17$2.0 million increase in personnel-related expenses[187] Future Outlook - The company anticipates continued growth in user engagement and revenue generation through its Ibotta Performance Network[3] - Future strategies include expanding partnerships with major retailers and enhancing platform capabilities to capture a larger market share[3] - The company expects redemption revenue to continue increasing as a percentage of total revenue as it grows its platform[168] Tax and Interest - The effective income tax rate for the three months ended March 31, 2024, was 25.0%, compared to (4.0)% for the same period in 2023[105] - The company recorded interest expense of $2.8 million for the three months ended March 31, 2024, an increase from$2.0 million in the same period of 2023[44]