Intapp (NASDAQ:INTA) Issues Quarterly Earnings Results

Intapp (NASDAQ:INTA) released its quarterly earnings results on Tuesday. The company reported $0.44 earnings per share for the quarter, beating the consensus estimate of $0.40 by $0.04, FiscalAI reports. Intapp had a negative return on equity of 3.30% and a negative net margin of 7.15%.

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 Trading Down 8.9%

NASDAQ:INTA traded down $4.20 during midday trading on Tuesday, hitting $42.95. 1,271,390 shares of the company traded hands, compared to its average volume of 959,434. The firm’s fifty day moving average is $39.92 and its 200-day moving average is $30.28. Intapp has a 12-month low of $19.01 and a 12-month high of $48.19. The firm has a market capitalization of $3.29 billion, a P/E ratio of -82.60, a P/E/G ratio of 18.53 and a beta of 0.34.

Insider Activity

In other news, insider David Harrison sold 40,284 shares of the stock in a transaction on Tuesday, October 20th. The shares were sold at an average price of $45.26, for a total value of $1,823,253.84. Following the sale, the insider owned 15,599 shares of the company’s stock, valued at approximately $706,010.74. This represents a 72.09% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. 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 dated Tuesday, October 13th. The stock was sold at an average price of $40.39, for a total transaction of $193,872.00. Following the completion of the sale, the insider owned 928,585 shares of the company’s stock, valued at $37,505,548.15. This trade represents a 0.51% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 146,184 shares of company stock valued at $6,126,106 over the last ninety days. 11.87% of the stock is owned by corporate insiders.

Wall Street Analysts Forecast Growth

A number of research firms have recently commented on INTA. Zacks Research upgraded Intapp from a “strong sell” rating to a “hold” rating in a research report on Friday, August 28th. Barclays boosted their price target on shares of Intapp from $29.00 to $38.00 and gave the stock an “underweight” rating in a research report on Monday, October 12th. Piper Sandler upped their price target on shares of Intapp from $25.00 to $34.00 and gave the company a “neutral” rating in a research note on Wednesday, August 5th. Wall Street Zen upgraded shares of Intapp from a “hold” rating to a “buy” rating in a research report on Saturday, August 15th. Finally, Weiss Ratings reiterated a “sell (e+)” rating on shares of Intapp in a research report on Wednesday, September 2nd. Four analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, Intapp has an average rating of “Hold” and an average target price of $39.14.

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.