Intapp (NASDAQ:INTA) Announces Quarterly Earnings Results

Intapp (NASDAQ:INTA) released its quarterly earnings results on Tuesday. The company reported $0.44 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.40 by $0.04, FiscalAI reports. The business had revenue of $161.26 million for the quarter, compared to analyst estimates of $159.63 million. Intapp had a negative net margin of 7.15% and a negative return on equity of 3.30%. The business’s revenue for the quarter was up 16.0% on a year-over-year basis. During the same period in the previous year, the company earned $0.24 earnings per share.

Here are the key takeaways from Intapp’s conference call:

• Celeste adoption is accelerating: Intapp said its qualified Celeste pipeline increased approximately 2.5 times sequentially, with Firm AI representing more than 40% of net new bookings in Q1. Demand is reportedly coming from senior firm leaders, existing-client expansions, and new logos across legal, accounting, consulting, financial services, and real assets.
• Cloud momentum and financial performance remained strong, with subscription revenue up 29% year over year to $125.5 million, cloud ARR up 28% to $515.3 million, 123% cloud net revenue retention, and free cash flow more than doubling to $28.1 million. Non-GAAP operating margin expanded to 22% from 15% a year ago.
• Intapp is expanding its AI ecosystem and monetization opportunities through integrations with OpenAI, Anthropic, Harvey, Legora, Microsoft, and other partners. The company expects to monetize Firm AI through existing-customer upgrades, Celeste-led new sales, and governance of third-party AI tools via Walls for AI.
• The transition from on-premises licensing to cloud is pressuring near-term reported results, with license revenue down 21% year over year and second-quarter total revenue guidance implying a sequential decline. Management also acknowledged that Celeste deployment demand is currently exceeding its implementation capacity, creating a potential near-term execution constraint.

Intapp Stock Down 2.1%

Shares of INTA traded down $0.85 during trading hours on Thursday, reaching $39.49. 507,390 shares of the company traded hands, compared to its average volume of 961,704. The stock has a market capitalization of $3.03 billion, a P/E ratio of -75.85, a P/E/G ratio of 18.53 and a beta of 0.34. Intapp has a 12-month low of $19.01 and a 12-month high of $48.19. The business has a fifty day moving average price of $40.03 and a 200-day moving average price of $30.24.

Analyst Ratings Changes

A number of analysts have recently weighed in on the company. Weiss Ratings reissued a “sell (e+)” rating on shares of Intapp in a research report on Wednesday, September 2nd. Zacks Research raised Intapp from a “strong sell” rating to a “hold” rating in a research report on Friday, August 28th. Citigroup upped their target price on Intapp from $36.00 to $40.00 and gave the company a “neutral” rating in a research report on Wednesday. Oppenheimer reiterated a “market perform” rating on shares of Intapp in a research note on Wednesday. Finally, Piper Sandler raised their price target on Intapp from $25.00 to $34.00 and gave the stock a “neutral” rating in a report on Wednesday, August 5th. Three investment analysts have rated the stock with a Buy rating, four have given a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $40.71.

Insider Transactions at Intapp

In other news, insider David Harrison sold 40,284 shares of the firm’s stock in a transaction dated Tuesday, October 20th. The stock was sold at an average price of $45.26, for a total value of $1,823,253.84. Following the completion of the transaction, the insider directly owned 15,599 shares in the company, valued at $706,010.74. This trade represents a 72.09% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Thad Jampol sold 4,800 shares of the firm’s stock in a transaction that occurred on Tuesday, October 13th. The stock was sold at an average price of $40.39, for a total transaction of $193,872.00. Following the transaction, the insider directly owned 928,585 shares of the company’s stock, valued at $37,505,548.15. This represents a 0.51% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 149,184 shares of company stock worth $6,268,066. Insiders own 11.87% of the company’s stock.

About Intapp

Intapp, Inc develops cloud-based software for professional and financial services firms. Its platform is designed to help organizations manage client and relationship data, business development, risk and compliance processes, collaboration, time tracking, billing, and operational workflows.

The company’s product portfolio includes solutions for relationship management and deal management, professional-services time and billing, conflicts and compliance, document and information management, secure collaboration, and workflow automation.