Alkami Technology Q2 revenue slightly beats estimates amid client, product expansion

Overview

• U.S. digital banking platform's Q2 revenue rose 16% yr/yr, slightly beating analyst expectations

• Adjusted EBITDA for Q2 rose to $19.4 mln from $11.9 mln a year ago

• Company ended Q2 with 23.6 mln digital banking users, annual recurring revenue up 21% yr/yr

Outlook

• Alkami sees Q3 revenue between $132.7 mln and $134.2 mln

• Company expects Q3 adjusted EBITDA between $23.5 mln and $24.3 mln

• Alkami forecasts 2026 full-year revenue between $528.0 mln and $531.0 mln

Result Drivers

• CLIENT AND PRODUCT EXPANSION - Co said results reflected continued client and product expansion, with 37 new digital banking clients added over the last 12 months and five new clients going live on its platform in Q2

• USER GROWTH - Co added 2.7 mln registered users to its digital banking platform in the past 12 months, ending Q2 with 23.6 mln users

• HIGHER RECURRING REVENUE - Annual recurring revenue rose 21% yr/yr and revenue per registered user increased 7% yr/yr, indicating deeper client engagement

Company press release: ID:nPn8FZtWTa

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the it services consulting peer group is "buy"

• Wall Street's median 12-month price target for Alkami Technology Inc is $21.50, about 18.3% above its July 28 closing price of $18.17

• The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 18 three months ago

Reuters Recommended Reads

• July 29 - PSQ Holdings Q2 revenue jumps on Fintech growth

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• July 28 - TransUnion beats Q2 revenue estimates, raises 2026 revenue growth outlook

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(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.)