Amplitude, Inc. Q3 FY2025 earnings call

• Q3 results: Delivered strong quarter with revenue growth, ARR increase, and growth in high-ARR customers.
• AI impact: AI is transforming software development, with Amplitude's platform enabling better use and learn through behavioral insights.
• Product innovations: Launched MCP server, expanded AI agents open beta, introduced AI Visibility and AI Feedback, with multi-product adoption at 71% of ARR.
• Customer examples: FanDuel, Granola, and Bentley Systems using Amplitude for analytics and product improvement.

Third quarter revenue was $88.6 million, up 18% year-over-year. Annual recurring revenue (ARR) was $347 million, up 16% year-over-year and up $12 million from last quarter. Non-GAAP operating income was $0.6 million. Customers with more than $100,000 in ARR grew to 653, an increase of 15% year-over-year. Multi-product adoption represents 71% of ARR.

• Q4 2025: Expect revenue between $89 million and $91 million (15% growth midpoint), non-GAAP operating income $3.5M - $5.5M, non-GAAP net income per share $0.04 - $0.05.
• Full year 2025: Raised revenue to $340.8M - $342.8M (14% growth midpoint), non-GAAP operating income $0.5M - $2.5M, non-GAAP net income per share $0.06 - $0.08.

Risks related to actual results differing from forward-looking statements, market uncertainties, and competition in the AI analytics space.

Q: On RPO, break down by enterprise, etc.

A: Andrew Casey talks about enterprise focus, contract duration, and how multi-year deals drive RPO.

Q: Where are enterprises investing in product circle of life?

A: Spenser Skates mentions use and learn is earlier stage, with enterprises needing better ways to understand user actions.

Q: Q4 guidance and balancing growth/profits?

A: Andrew Casey and Spenser Skates discuss guidance based on execution, balancing investments in growth while maintaining efficiency.

Q: Impact of AI functionality on nontechnical users?

A: Spenser Skates explains MCP and agents enable nontechnical users by handling query construction and interface learning.

Q: Lapping multi-year contracts and sales productivity?

A: Andrew Casey discusses sales productivity and expansion, noting enterprise focus drives growth.

Q: AI Agents adoption and monetization?

A: Spenser Skates talks about adoption focus, with pricing centered on familiar SaaS metrics like events.

Q: Building vs buying for innovation?

A: Spenser Skates discusses building vs buying, focusing on shortest path to market and leveraging acquired talent.