The earnings report for Blackbaud released this week showed revenue gains but a net loss for the year. Still, company officials projected to shareholders a positive outlook for 2025 and beyond. The firm generated $1.2 billion for the year, up 4.5% and an organic revenue increase of 5.2%.
The generally accepted accounting principles (GAAP) net loss for the year was $283.2 million, due mostly to charges from disposition charges of $405.4 million on the sale of EVERFI to a private investment firm that is unaffiliated with Blackbaud.
Blackbaud last year announced it was changing the length of contracts with users and that appears to have bolstered the bottom line. GAAP recurring revenue for the year was $1.1 billion, up 5.4% and represented 98% of total revenue. Non-GAAP organic recurring revenue increased 5.4% for the year.
Non-GAAP organic recurring revenue increased 3.1% for the fourth quarter, according to data released by the firm. Non-GAAP free cash flow was a reported $228.8 million for the year, an increase $93.3 million, with non-GAAP free cash flow margin of 19.8%. Non-GAAP adjusted free cash flow was $244.7 million for the year, an increase of $31.2 million, with non-GAAP adjusted free cash flow margin of 21.2%.
GAAP recurring revenue for the fourth quarter was $296.2 million, up 3.1% and represented 98% of total revenue. Non-GAAP organic recurring revenue increased 3.1%, according to data released by the firm. Non-GAAP free cash flow for the year was a reported $228.8 million, an increase $93.3 million, with non-GAAP free cash flow margin of 19.8%. Non-GAAP adjusted free cash flow was $244.7 million, an increase of $31.2 million, with non-GAAP adjusted free cash flow margin of 21.2%.
“During 2024 we achieved several significant milestones, including the divestment of EVERFI and the finalization of nearly all of our outstanding security litigation efforts,” Tony Boor, executive vice president and CFO at Blackbaud, said via a statement. “By putting these items behind us, the company is 100% focused on providing our customers and prospects powerful solutions to allow them to spend more time on what matters to them: making a concrete difference through their vital social impact work and easing their administrative burdens.”
Blackbaud has been involved in litigation since a 2020 data breach. Executives called the appointment of Bradley Pyburn, former chief of staff of U.S. Cyber Command, to the board of directors one of the 2024 highlights.
Shares of Blackbaud are traded on the NASDAQ exchange and closed yesterday at $68.52 per share, down $2.44 and near its 52-week low of $66.47. Its 52-week high was $88.95.
More information regarding the quarterly and year-end financial data can be found at www.blackbaud.com/newsroom
