#United States #Plano #Alkami Technology #MANTL #Bryan Hill

Alkami Technology Reports Strong Q1 2025 Results

Alkami Technology, Inc. (Nasdaq: ALKT), a prominent provider of cloud-based digital banking solutions for financial institutions, has announced significant financial results for the first quarter ending March 31, 2025. The company reported a total GAAP revenue of $97.8 million, marking an impressive 28.5% increase compared to the same period last year. Additionally, Alkami's GAAP gross margin improved to 59% from 57.8% year-over-year, highlighting the efficiency of its operations.

Financial Highlights

• - Revenue Growth: The company showed robust growth with first-quarter revenues hitting $97.8 million.
• - Profitability Boost: The adjusted EBITDA reached $12.1 million, representing a substantial rise from $3.8 million in Q1 2024.
• - User Expansion: At the end of Q1 2025, Alkami boasted 20.5 million users, gaining 2.3 million users compared to the same quarter last year.
• - Recurring Revenue: Alkami noted an annual recurring revenue of $404 million, a 33% increase.

CEO Alex Shootman expressed enthusiasm for the company's performance, attributing the growth to strategic efforts in bolstering its presence in the banking sector and enhancing its platform capabilities through recent acquisitions, specifically mentioning MANTL, which was integrated into Alkami's operations earlier in March 2025. Shootman stated, “This momentum is indicative of our commitment to becoming the leading digital banking provider.”

Strategic Acquisition of MANTL

With an eye on growth, Alkami completed the acquisition of MANTL, expected to significantly impact revenue and gross margin positively in the coming years. The integration of MANTL aims to enhance Alkami’s service offerings, further solidifying its competitive edge in the digital banking landscape. For the fiscal year 2025, MANTL is projected to contribute approximately $31.4 million in revenue, with planned improvements to EBITDA by 2026.

Leadership Changes

In a related announcement, Alkami confirmed the planned retirement of its Chief Financial Officer, Bryan Hill, who has been with the company since 2019. Hill's leadership saw Alkami through significant transformations, including its IPO and four successful acquisitions. His transition will ensure a smooth succession, supporting the company during this critical phase. Hill highlighted his gratitude for the team’s support during his tenure, stating, “Together, we’ve driven remarkable growth and achieved key milestones.”

Future Outlook

The company has also provided guidance for Q2 2025, forecasting revenues between $109 million and $110.5 million alongside EBITDA between $9 million and $10 million. For the full fiscal year, Alkami anticipates revenues in the range of $443 million to $447 million, aiming for continuous growth as it adapts to evolving market trends.

Conclusion

Alkami Technology's impressive first quarter results underscore its strong market position and strategic initiatives. The company continues to aim for an expansive future as it seeks to enhance its digital banking platform and address the needs of modern financial institutions. As Alkami transitions into this new chapter, all eyes will be on its performance metrics and the successful implementation of its strategic goals for sustained growth in a competitive market.

For more detailed information about Alkami and its product offerings, please visit Alkami’s official website.