Rimini Street beats Q4 expectations, says revenue growth accelerating
Rimini Street, a leading third-party support provider for Oracle and SAP software products, delivered better-than-expected fourth quarter financial results on Wednesday.
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The company reported a diluted net loss per share of 4 cents for its fourth quarter on revenue $87.8 million, up 15.4 percent year-over-year. Analysts were expecting a loss of 8 cents per share on revenue of $83.26 million.
For the year, the company said its diluted net loss per share was 19 cents with revenue coming in at $326.8 million. Shares of Rimini Street were up nearly 4% after hours.
In Q4, Rimini said annual recurring revenue was $349 million, an increase of 15.4% compared to $302 million for the same period last year. Active clients as of December 31 totaled 2,487, compared to 2,063 active clients at the end of fiscal 2019.
The company currently expects its first quarter revenue to be in the range of $87.5 million to $88.5 million and full year 2021 revenue guidance to be in the range of $370 million to $380 million.
Rimini CEO Seth Ravin said the company is on track to achieve its goal of $1 billion in annual revenue by 2026.
"We accelerated year-over-year revenue growth for the fourth quarter from 11.7% to 15.4% and for the full year 2020 from 10.9% to 16.3%, respectively, achieved record quarterly and full year results for revenue, new sales invoicing, Calculated Billings, backlog and total gross profit and maintained a Revenue Retention rate of over 90 percent," Ravin said. "Throughout the year, we continued making investments - including key executive leadership additions - to take advantage of growing global demand for Rimini Street's support solutions, including our new application management, security, interoperability and professional services."