Billcom Holdings Inc
BILL
$53.45 1.48%
Exchange: NYSE | Sector: Technology | Industry: Software Application
Q3 2025
Published: May 9, 2025

Earnings Highlights

  • Revenue of $358.22M up 10.9% year-over-year
  • EPS of $-0.11 decreased by 136.7% from previous year
  • Gross margin of 81.2%
  • Net income of -11.59M
  • ""Core revenue grew 14% year-over-year. Non-GAAP operating income margin was 15% and was well ahead of the expectation we set at the beginning of the quarter as we continue to drive efficiency across the business."" - Rene Lacerte
BILL
Company BILL

Executive Summary

Billcom Holdings delivered a resilient Q3 2025 demonstrating disciplined execution of a broad platform strategy that combines an expanding product suite, ecosystem reach, and a disciplined go-to-market approach. Core revenue grew 14% year-over-year to $320.0 million, while total revenue reached $358.2 million, up 11% YoY. Non-GAAP operating income reached $53.0 million (15% margin), aided by a one-time $5.7 million reserve-credits adjustment, with non-GAAP net income of $59.0 million ($0.50 non-GAAP diluted EPS). GAAP results remained negative at the bottom line due to ongoing investment and integration costs, with GAAP net income of -$11.6 million and GAAP operating income of -$6.1 million. Free cash flow totaled $91.0 million (FCF margin 25%), underscoring robust cash generation as BILL scales. The quarter featured notable monetization acceleration via ad valorem payment offerings (instant transfer, card, and invoice financing) and continued gains from the BILL spend & expense and procurement modules. Billcom also highlighted strong adoption across its ecosystem, including more than 7 million supplier connections, 9,000 accounting firms, and a GA-enabled Embed platform with Xero, signaling meaningful network effects and stickiness. The company remains laser-focused on AI-driven automation, expanding its supplier experience, procurement capabilities, and API-enabled integrations to lay the groundwork for long-term growth. Management guided for Q4 core revenue of $335–$345 million and full-year 2025 core revenue of $1.29–$1.30 billion, while signaling that 2026 planning and the pace of monetization expansion will be outlined in the August earnings call. Investors should monitor (i) the trajectory of monetization through ad valorem offerings and API-enabled cross-sell, (ii) the pace of AI-enabled automation adoption and its impact on long-run take rates and margins, (iii) FX dynamics and cross-border payments exposure, and (iv) the evolution of pricing and packaging, including the potential emphasis on subscription-based revenue alongside transaction revenue.

Key Performance Indicators

Revenue
Increasing
358.22M
QoQ: -1.20% | YoY: 10.89%
Gross Profit
Increasing
291.01M
81.24% margin
QoQ: -1.67% | YoY: 14.95%
Operating Income
Increasing
-6.14M
QoQ: -181.84% | YoY: 75.92%
Net Income
Decreasing
-11.59M
QoQ: -134.54% | YoY: -136.43%
EPS
Decreasing
-0.11
QoQ: -78.57% | YoY: -136.67%

Revenue Trend

Margin Analysis

Historical Earnings Comparison

PeriodRevenue ($M)EPS ($)YoY GrowthReport
Q1 2026 395.74 -0.03 +15.2% View
Q3 2025 358.22 -0.11 +10.9% View
Q2 2025 362.55 -0.06 +13.8% View
Q1 2025 358.45 0.08 +17.5% View
Q4 2024 343.67 0.07 +16.1% View