HubSpot, Inc. ( (HUBS) ) released its third quarter results. Here’s a look at the information HubSpot, Inc. presented to its investors.
HubSpot, Inc., a leading provider of customer relationship management software, announced its financial results for the third quarter of 2024, demonstrating significant growth and a strong focus on innovation in the SaaS industry.
In the third quarter, HubSpot reported total revenue of $669.7 million, an increase of 20% compared to the same period last year. The company’s subscription revenue also increased 20% to $654.7 million, while professional services and other revenue saw a 28% increase. Notably, HubSpot reported GAAP net income of $8.1 million, recovering from a net loss from the prior year, and its non-GAAP net income improved to $116.6 million.
The company also reported improvements in its operating margins, with a non-GAAP operating margin of 18.7%, up from 16.5% the year before. HubSpot’s customer base grew to 238,128, an increase of 23% from the previous year. However, average subscription revenue per customer decreased slightly by 2%. The company demonstrated strong cash flow generation, with $159.5 million in operating cash flow and an improved balance sheet with $2.1 billion in cash and investments.
Looking ahead, HubSpot remains optimistic about its growth trajectory, with projected Q4 and full-year 2024 revenue expected to continue their upward trend. The company’s commitment to integrating artificial intelligence into its platforms is expected to further drive innovation and growth, as highlighted at its recent INBOUND conference. Management’s confidence in sustainable growth reflects HubSpot’s strategic focus and operational resilience.
