Coupa Software Inc (NASDAQ:COUP) stock fell 3.46% (As on Sep 8, 11:16:00 AM UTC-4, Source: Google Finance) though the company posted 49% year-over-year rise in the calculated billings for Q2 to $195 million. For the second quarter in a row and on the back of stellar sales execution, the company has more than doubled new business compared to the prior period. The company also has seasonally strong calculated billings contribution from Supply Chain Design & Planning, formerly LLamasoft, coming in at $25 million. Subscription revenue was $156 million, up 40% year-over-year. Strong new bookings and favorable linearity and the timing of deal closure contributed to the Q2 subscription revenue performance. Overall, the company has reported Non-GAAP net income was $20 million, mainly due to strong outperformance on the top line and faster-than-expected realization of synergies from the Supply Chain Design & Planning integration. The company has generated Q2 operating cash flows of a record $41 million and adjusted free cash flows of $37 million. Cash at quarter end was $634 million, up from $600 million a quarter ago.
COUP in the second quarter of FY 22 has reported the adjusted earnings per share of 26 cents, beating the analysts’ estimates for the adjusted loss per share of 7 cents, according to Zacks Investment Research. The company had reported the adjusted revenue growth of 42 percent to $179.2 million in the second quarter of FY 22, beating the analysts’ estimates for revenue of $162.5 million. The company has delivered Q2 non-GAAP gross margin of approximately 71.5%, while non-GAAP operating income was $27 million or 15% of total revenue.
For the third quarter ending in November, Coupa Software expects its per-share earnings to range from 1 cent to 3 cents. The company expects revenue to be in the range of $177 million to $178 million for the fiscal third quarter. Third quarter subscription revenue is expected to be in the range of $158 million to $159 million and professional services and other revenue to be of approximately $19 million. Q3 non-GAAP gross margin is expected to be of approximately 69%. The company expects Q3 non-GAAP operating income to be in the range of $6 million to $7 million and non-GAAP net income to range between $1 million to $2 million.
Coupa Software expects full-year earnings to be in the range of 27 cents to 29 cents per share, with revenue ranging from $706 million to $708 million.