APPFOLIO INC Q1 FY2025 earnings call

• Strategic partnerships: Announced partnership with Second Nature to enhance resident experience and Zillow joining the AppFolio Stack Partner ecosystem to help renters discover homes faster and property managers fill vacancies more efficiently.
• Product innovations: Introduced simplified rental application integrated with screening solution, and through alliance with Second Nature, offered transparent services to residents. Also, acquisition of LiveEasy to reduce moving stress and deliver seamless move-in experience via Folio Space.
• People and culture: Recertified as a great place to work for the eighth time. Changes in leadership roles including Matt Mazza as Chief Trust Officer, Lisa Horner as Chief Marketing Officer, and Matthew Baird as Chief Technology Officer.

In the first quarter, revenue grew 16% year over year to $218 million. Core solutions revenue was $49.5 million, a 15% year-over-year increase. Value-added services revenue grew 16% year over year to $165 million. At the end of the quarter, approximately 8.8 million units were managed from 21,105 customers, representing a 6% increase in ending units and a 6% increase in customers compared to the prior year.

• Annual revenue guidance: $920 million to $940 million for full-year growth rate of 17% based on midpoint, fueled by Plus and Max upgrades, growth in customers and new business units, and increasing adoption of products and services.
• Non-GAAP operating margin: Between 24.5% and 26.5%.
• Diluted weighted average shares outstanding: Anticipated to be approximately 37 million for the full year.
• New stock repurchase program: Board approved a new $300 million stock repurchase program on April 23.

• Forward-looking statements subject to risks and uncertainties, including those listed in SEC filings. Actual future results could differ materially from forward-looking statements due to various reasons like those in SEC filings.