Intapp, Inc. ((INTA)) has held its Q4 earnings call. Read on for the main highlights of the call.
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Intapp, Inc. recently held its earnings call, showcasing a generally positive sentiment with notable achievements in cloud ARR growth, SaaS revenue, and strategic partnerships. The company also highlighted the expansion of its AI capabilities, which has been met with enthusiasm from clients. However, there were some areas of concern, such as a slight decline in professional services revenue and limited immediate impact from the TermSheet acquisition.
Strong Cloud ARR Growth
Intapp reported a robust 29% year-over-year growth in cloud Annual Recurring Revenue (ARR), reaching $383 million. This growth now represents 79% of the company’s total ARR, underscoring the strategic shift towards cloud-based solutions.
Significant Increase in High-Value Clients
The company experienced a substantial 49% increase in the number of clients with ARR exceeding $1 million, bringing the total to 109 clients. This growth highlights Intapp’s ability to attract and retain high-value clients, contributing to its overall revenue expansion.
SaaS Revenue and Total Revenue Growth
SaaS revenue saw a 27% year-over-year increase, reaching $90 million, while total revenue grew by 18% to $135 million. These figures reflect the company’s strong performance in the SaaS market and its overall financial health.
AI Capabilities Expansion
Intapp expanded its AI capabilities with the release of Intapp DealCloud Activator and Intapp Assist for DealCloud. These innovations have driven client enthusiasm, indicating a positive reception and potential for future growth in AI-driven solutions.
Partnership Success with Microsoft
Microsoft played a significant role in nearly half of Intapp’s largest Q4 deals, enhancing deal execution through Azure investment dollars. This partnership underscores the strategic value of collaborations with major tech players.
Strong Free Cash Flow
The company reported a strong free cash flow of $37.5 million for the quarter, accounting for 28% of total revenue. This financial strength provides Intapp with flexibility for future investments and growth initiatives.
Decrease in Professional Services Revenue
Professional services revenue experienced a slight decline of 2% year-over-year, totaling $13 million. This decrease suggests a potential area for improvement in the company’s service offerings.
Minimal Contribution from TermSheet Acquisition
The recent acquisition of TermSheet contributed less than 5% to the incremental ARR from the cloud, indicating a minimal immediate impact. However, it may offer long-term strategic benefits.
Forward-Looking Guidance
Looking ahead, Intapp provided guidance for its fiscal first quarter and full year 2026. The company anticipates SaaS revenue between $95.7 million and $96.7 million for the first quarter, with total revenue ranging from $134.8 million to $135.8 million. For the full fiscal year 2026, SaaS revenue is expected to be between $411.4 million and $415.4 million, and total revenue is projected to range from $566.7 million to $570.7 million. Non-GAAP operating income and EPS forecasts also suggest continued financial strength.
In summary, Intapp’s earnings call reflected a positive outlook with strong growth in key areas such as cloud ARR, SaaS revenue, and strategic partnerships. While there are areas for improvement, such as professional services revenue, the company’s forward-looking guidance suggests continued momentum and financial stability.