HubSpot (HUBS) Q3 Earnings: How Key Metrics Compare to Wall Street Estimates
HubSpot (HUBS) reported $557.56 million in revenue for the quarter ended September 2023, representing a year-over-year increase of 25.6%. EPS of $1.59 for the same period compares to $0.69 a year ago.
The reported revenue represents a surprise of +4.47% over the Zacks Consensus Estimate of $533.7 million. With the consensus EPS estimate being $1.23, the EPS surprise was +29.27%.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how HubSpot performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Total Customers: 194,098 versus the five-analyst average estimate of 192,983.
Average Subscription Revenue per Customer: $11,520 versus the four-analyst average estimate of $11,262.92.
Revenues- Subscription: $545.83 million versus the 10-analyst average estimate of $523.06 million. The reported number represents a year-over-year change of +25.5%.
Revenues- Professional services and other: $11.73 million versus $10.74 million estimated by 10 analysts on average. Compared to the year-ago quarter, this number represents a +31.3% change.
Gross margin (Non-GAAP)- Subscription: $475.62 million versus $449.33 million estimated by 11 analysts on average.
View all Key Company Metrics for HubSpot here>>>
Shares of HubSpot have returned -6.4% over the past month versus the Zacks S&P 500 composite's +1.7% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
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HubSpot, Inc. (HUBS) : Free Stock Analysis Report
