Semrush Q2 revenue up 20%, meets estimates

Semrush Holdings

04/08/2025 21:42

Overview

Semrush Q2 revenue rises 20% yr/yr, beating analyst expectations

Company announces $150 mln share repurchase program

Outlook

Semrush expects Q3 revenue between $111.1 mln and $112.1 mln

Company anticipates full-year revenue of $443.0 mln to $446.0 mln

Company expects full-year free cash flow margin of 12%

Result Drivers

AI AND ENTERPRISE PRODUCTS - Accelerated adoption of AI and Enterprise products contributed to revenue growth, per CEO Bill Wagner

HIGH-VALUE CUSTOMERS - Customers paying more than $50,000 annually increased by 83% yr/yr

SEO LEADERSHIP - Named leader in SEO Solutions by Forrester, enhancing market position

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
In-line
$108.89 mln
$108.80 mln (5 Analysts)
Q2 Net Income
-$6.78 mln
Q2 Gross Profit
$87.78 mln
Q2 Income From Operations
-$4.34 mln
Q2 Operating Expenses
$92.13 mln
Q2 Pretax Profit
-$2.06 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the software peer group is "buy"

Wall Street's median 12-month price target for SEMrush Holdings Inc is $16.00, about 46.9% above its August 1 closing price of $8.49

The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 26 three months ago

Press Release: ID:nBw2CKFNza

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)