Despite maintaining gross margins above 77%, the company struggles with operational efficiency, as evidenced by operating margins that fluctuated between -6.8% and 12.3% over the last ten quarters.
| Sales/Revenue | 594.1M | 588.91M | 698.76M | 675.37M | 620.75M | 490.14M | 337.52M | 242.14M |
| Revenue Growth % | -6.3% | -15.72% | 3.46% | 8.8% | 26.65% | 45.22% | 39.39% | - |
| Cost of Goods Sold | 148.67M | 132.06M | 228.38M | 231.01M | 217.38M | 162.23M | 115.02M | 73.1M |
| COGS % of Revenue | - | 22.43% | 32.68% | 34.2% | 35.02% | 33.1% | 34.08% | 30.19% |
| Gross Profit | 445.43M | 456.84M | 470.39M | 444.36M | 403.37M | 327.91M | 222.5M | 169.04M |
| Gross Margin % | 74.97% | 77.57% | 67.32% | 65.8% | 64.98% | 66.9% | 65.92% | 69.81% |
| Gross Profit Growth % | - | -2.88% | 5.86% | 10.16% | 23.01% | 47.37% | 31.63% | - |
| Operating Expenses | 382.28M | 397.59M | 470.13M | 441.94M | 433.96M | 355.1M | 244.54M | 223.3M |
| OpEx % of Revenue | - | 67.51% | 67.28% | 65.44% | 69.91% | 72.45% | 72.45% | 92.22% |
| Selling, General & Admin | 256.96M | 251.26M | 261.93M | 255.8M | 251.54M | 204.16M | 137.31M | 144.23M |
| SG&A % of Revenue | - | 42.67% | 37.48% | 37.88% | 40.52% | 41.65% | 40.68% | 59.56% |
| Research & Development | 80.25M | 79.02M | 79.67M | 75.61M | 71.62M | 49.51M | 30.39M | 26.12M |
| R&D % of Revenue | - | 13.42% | 11.4% | 11.2% | 11.54% | 10.1% | 9% | 10.79% |
| Other Operating Expenses | 2M | 67.31M | 128.53M | 110.53M | 110.8M | 101.44M | 76.84M | 52.95M |
| Operating Income | 63.15M | 59.25M | 252K | 2.43M | -30.59M | -27.19M | -22.04M | -54.26M |
| Operating Margin % | 10.63% | 10.06% | 0.04% | 0.36% | -4.93% | -5.55% | -6.53% | -22.41% |
| Operating Income Growth % | - | 23411.9% | -89.61% | 107.93% | -12.51% | -23.38% | 59.38% | - |
| EBITDA | 127.53M | 126.48M | 89.08M | 106.63M | 80.21M | 74.25M | 54.8M | -1.31M |
| EBITDA Margin % | 21.47% | 21.48% | 12.75% | 15.79% | 12.92% | 15.15% | 16.24% | -0.54% |
| EBITDA Growth % | 22.95% | 41.99% | -16.46% | 32.94% | 8.03% | 35.47% | 4296.4% | - |
| D&A (Non-Cash Add-back) | 64.38M | 67.23M | 88.82M | 104.2M | 110.8M | 101.44M | 76.84M | 52.95M |
| EBIT | 63.15M | 59.34M | 252K | 2.43M | -30.59M | -55.91M | -22.04M | -69.77M |
| Net Interest Income | -33.11M | -38.09M | -35.56M | -46.41M | -33.9M | -36.11M | -41.55M | -40M |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 33.11M | 38.09M | 35.56M | 46.41M | 33.9M | 36.11M | 41.55M | 40M |
| Other Income/Expense | -35.63M | -38.18M | -35.56M | -46.41M | -33.9M | -64.83M | -41.55M | -55.52M |
| Pretax Income | 27.52M | 21.16M | -35.31M | -43.98M | -64.5M | -92.02M | -63.58M | -109.78M |
| Pretax Margin % | 4.63% | 3.59% | -5.05% | -6.51% | -10.39% | -18.77% | -18.84% | -45.34% |
| Income Tax | 3.08M | 2.96M | 5.78M | 1.64M | -4.68M | -10.05M | -3.63M | -16.03M |
| Effective Tax Rate % | 11.18% | 13.97% | -16.38% | -3.73% | 7.26% | 10.92% | 5.71% | 14.6% |
| Net Income | 32.48M | 17.6M | -41.09M | -45.62M | -59.82M | -81.97M | -59.95M | -93.75M |
| Net Margin % | 5.47% | 2.99% | -5.88% | -6.75% | -9.64% | -16.72% | -17.76% | -38.71% |
| Net Income Growth % | 200.02% | 142.83% | 9.93% | 23.73% | 27.02% | -36.71% | 36.05% | - |
| Net Income (Continuing) | 24.44M | 18.2M | -41.09M | -45.62M | -59.82M | -81.97M | -59.95M | -93.75M |
| Discontinued Operations | 2.34M | -605K | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.18 | 0.10 | -0.22 | -0.24 | -0.31 | -0.42 | -0.31 | -0.48 |
| EPS Growth % | 201.95% | 143.5% | 8.33% | 22.58% | 26.19% | -35.48% | 35.42% | - |
| EPS (Basic) | - | 0.10 | -0.22 | -0.24 | -0.31 | -0.42 | -0.31 | -0.48 |
| Diluted Shares Outstanding | 180.42M | 183.91M | 184.9M | 188.94M | 194.62M | 195.38M | 195.35M | 195.35M |
| Basic Shares Outstanding | 177.68M | 181.39M | 184.9M | 188.94M | 194.62M | 195.38M | 195.35M | 195.35M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - |
Inconsistent organic revenue growth
As reported in recent financial filings, EverCommerce's revenue trajectory remains highly volatile, evidenced by a -13.6% year-over-year decline in 2025Q4, which highlights the difficulty in maintaining organic growth across its fragmented portfolio of vertical software assets compared to the more consistent performance of industry peers.
The erratic revenue shifts suggest that the company's reliance on a roll-up strategy may be masking underlying churn or cyclical weakness in specific verticals like home services. Investors should monitor whether the recent revenue fluctuations are a result of strategic divestitures or a broader erosion of the competitive moat within its core SMB customer base.
Based on the provided income statement data, EverCommerce maintains a robust gross margin profile, frequently exceeding 77%, yet this structural advantage is consistently undermined by elevated operating expenses that prevent the realization of meaningful net profitability for shareholders across most of the observed ten-quarter period.
The high gross margin indicates that the core software infrastructure is inherently scalable, but the failure to translate this into consistent net income suggests that the cost of supporting a multi-brand portfolio is disproportionately high. This divergence warrants further investigation into whether the company can achieve operating leverage without sacrificing its market position.
According to the historical income statement, EverCommerce has struggled to demonstrate meaningful operating leverage, as SG&A expenses frequently track closely with gross profit, resulting in operating margins that have fluctuated between -6.8% and 12.3% over the last ten quarters, indicating a lack of scalable cost efficiency.
The inability to consistently expand operating margins despite high gross margins suggests that the company's administrative and sales overhead is not scaling efficiently with revenue. This may imply that the integration of disparate software assets is more resource-intensive than management initially anticipated, potentially limiting future margin expansion.
As indicated by the provided financial data, EverCommerce's net income is frequently impacted by significant stock-based compensation expenses, which averaged over $6M per quarter, complicating the assessment of true operational profitability and suggesting that reported EPS may not fully reflect the underlying cash-generative capacity of the business.
The frequent swings between net losses and modest profits suggest that non-operating items and compensation structures are heavily influencing the bottom line. Investors should be cautious of relying on GAAP net income as a proxy for performance, as the persistent use of equity-based incentives may be diluting the value of operational improvements.
While management emphasizes the platform nature of its software suites, the -15.72% revenue growth trend observed in recent periods suggests that the disparate business lines may lack the cross-selling synergies required to justify the company's current valuation relative to more focused vertical SaaS competitors.
The market appears to be pricing in a conglomerate discount, reflecting skepticism that a plumber-focused tool and a therapist-focused tool can share a meaningful operational backbone. If the company cannot prove that its aggregated data provides a unique competitive advantage, the current valuation may remain under pressure from investors seeking pure-play exposure.
Quick answers to the most common questions about buying EVCM stock.
For fiscal year 2025, EverCommerce Inc. (EVCM) reported total revenue of $588.9M. This represents a 143.2% increase compared to $242.1M in 2019.
EverCommerce Inc. (EVCM) is profitable, generating $17.6M in net income for the fiscal year ending 2025 with a net profit margin of 3.0%.
EverCommerce Inc. (EVCM) reported an operating income of $59.3M, resulting in an operating profit margin of 10.1%. This margin reflects the operational efficiency of the business before interest and taxes.
EverCommerce Inc. (EVCM) generated $456.8M in gross profit for the year, representing a gross profit margin of 77.6%. This demonstrates the company's core pricing power and production efficiency.