BURLINGTON, Mass.—Avid has released its fourth quarter and full-year 2018 financial results, which show that the company saw solid growth from its performance in 2017.
In the fourth quarter, revenue saw a 5 percent increase from the same period last year, totaling $112.7 million, while its non-GAAP gross margin also saw a near 5 percentage point growth to 59 percent. Key areas that helped this was a 77 percent increase year-over-year with Avid’s subscriptions, surpassing $10 million in the fourth quarter, and with a growth of 50 percent year-over-year in revenue for e-commerce activities.
For the year in total, software revenue from subscriptions increased 78 percent as the company now has 125,000 cloud-enabled software subscriptions; and e-commerce revenue surpassed $50 million, an increase of 52 percent.
“Our return to revenue growth and the improvement in our key financial metrics … demonstrate an improving business profile for our company,” said Jeff Rosica, president and CEO of Avid. “Additionally, the management team is focused on continuing to build upon a scalable recurring revenue model as evidenced by our double-digit growth in subscriptions and e-commerce revenue. We intend to continue to drive R&D investments in key product areas in 2019, which are expected to set the foundation for future growth for the company.”
Avid projects for growth to continue in the first quarter of 2019, estimating a first-quarter revenue between $96 and $104 million, and a full-year estimated revenue of $420-$430 million.