AvidXchange Holdings, Inc. (NASDAQ:AVDX) Q4 2023 Earnings Conference Call February 28, 2024 10:00 AM ET

Company Participants

Michael Praeger – Co-Founder and Chief Executive Officer

Joel Wilhite – Chief Financial Officer

Conference Call Participants

Craig Maurer – FT Partners

Dave Koning – Baird

Andrew Bauch – Wells Fargo

Darrin Peller – Wolfe Research

Jamie Friedman – Susquehanna

Bryan Keane – Deutsche Bank

James Faucette – Morgan Stanley

Tien-Tsin Huang – JPMorgan

Alex Markgraff – KeyBanc Capital Markets

Operator

Good morning, everyone, and thank you for joining us for the AvidXchange Holdings, Inc. Fourth Quarter 2023 Earnings Call. All participants will be in listen-only mode. [Operator Instructions] After today's presentation, there will be an opportunity to ask questions. [Operator Instructions] Please note, this event is being recorded. Joining us on the call today is: Michael Praeger, AvidXchange's Co-Founder and Chief Executive Officer; Joel Wilhite, AvidXchange's Chief Financial Officer; and Subhaash Kumar, AvidXchange's Head of Investor Relations.

Before we begin today's call, management has asked me to relay the forward-looking statements disclaimer that is included at the end of today's press release. This disclaimer emphasizes the major uncertainties and risks inherent in the forward-looking statements the company will make today. Please keep these uncertainties and risks in mind as the company discusses future strategic initiatives, potential market opportunities, operational outlook and financial guidance during today's call. Also, please note that the company undertakes no duty to update or revise forward-looking statements.

Today's call will also include a discussion of non-GAAP financial measures, as that term is defined in Regulation G. Non-GAAP financial measures should not be considered in isolation from or as a substitute for financial information presented in compliance with GAAP. Accordingly, at the end of today's press release, the company has provided a reconciliation of these non-GAAP financial measures to financial results prepared in accordance with GAAP.

I would now like to turn the conference over to Michael Praeger. Please go ahead.

Michael Praeger

Thank you, everyone, for joining us today. Joel Wilhite and I are excited to discuss AvidXchange's fourth quarter 2023 results. This is now marks our 10th consecutive quarter of exceeding our revenue and adjusted EBITDA expectations. This past quarter was also a great reflection of executing the strategies we articulated during our Investor Day this past June, in terms of balancing our growth and profitability objectives. Consistent with that, I am proud to announce that we delivered our first ever $100 million plus revenue quarter, along with a $15 million plus adjusted EBITDA profit quarter, thereby posting a 36 on our Rule of 40 construct, which combines our revenue growth rate of 21%, along with our adjusted EBITDA margin of 15% for the quarter.