Evercommerce, Inc. ((EVCM)) has held its Q3 earnings call. Read on for the main highlights of the call.
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EverCommerce’s recent earnings call painted a picture of robust growth and strategic advancements, despite some challenges from macroeconomic factors. The company reported solid revenue growth, a successful acquisition, and strong performance in adjusted EBITDA and payments. While macroeconomic factors and tariffs impacted rebate revenue, the overall sentiment remained positive.
Revenue and Growth
EverCommerce reported a revenue of $147.5 million, marking a 5.3% increase year-over-year. On a pro forma basis for the last 12 months, the company achieved $585.1 million in revenue, reflecting a 7.6% growth compared to the previous year.
Adjusted EBITDA Performance
The company’s adjusted EBITDA stood at $46.5 million, exceeding the top of the guidance range and representing a margin of 31.5%. This performance highlighted a 140 basis point expansion in the adjusted EBITDA margin year-over-year.
Strategic Acquisition of ZyraTalk
The acquisition of ZyraTalk, an AI Agentic platform, is a strategic move by EverCommerce to accelerate AI development. This acquisition is expected to drive long-term growth and enhance the company’s technological capabilities.
Payments Revenue and Total Payments Volume
Payments revenue for EverCommerce grew by 6% year-over-year, with the estimated annualized total payments volume reaching approximately $13 billion, showcasing a 5.2% growth compared to the previous year.
Customer Engagement and Utilization
The company saw a significant increase in customer engagement, with the number of customers enabled for more than one solution growing by 33% year-over-year. Additionally, the number of customers actively utilizing more than one solution grew by 32% year-over-year.
Impact of Tariffs on Rebates
Macroeconomic factors and tariffs led to a softness of $1.6 million in rebate revenue, particularly affecting the HVAC market within EverPro’s group purchasing programs.
Forward-Looking Guidance
Looking ahead, EverCommerce expects fourth-quarter 2025 revenue to be between $148 million and $152 million, with adjusted EBITDA projected in the range of $39.5 million to $41.5 million. For the full year 2025, the company has narrowed its revenue guidance to $584 million to $592 million and increased the top end of the adjusted EBITDA guidance to $174.5 million to $179.5 million.
In conclusion, EverCommerce’s earnings call highlighted a positive trajectory with strong revenue and strategic growth initiatives. Despite some challenges from macroeconomic conditions, the company’s strategic acquisitions and robust financial performance signal a promising outlook.