Five9 Inc (NASDAQ:FIVN) posted results for the fourth quarter closed December 31, 2017. Revenue for Q4 2017 came at $55.4 million as against revenue of $44.2 million for Q4 2016. Barry Zwarenstein, the Interim CEO and CFO, expressed that they recorded a strong close to the year with better than projected fourth quarter results recording an exceptional year for company.
For the year, Five9 revenue grew by 24% to $200 million. The company’s revenue growth remains to be led by their Enterprise business, which recorded LTM Enterprise subscription revenue growth of 37%. Zwarenstein reported that their strong enterprise growth as well as the operating leverage in their business model led strong improvements to their bottom line, counting operating cash flow of $11.1 million for 2017.
In addition, they posted record numbers for Enterprise bookings in Q4 2017. They consider that their continued execution together with their distinguished cloud contact center software places company well in the consumer experience market that is yet in the early days of an enormous shift to the cloud.
On January 1, 2018, Five9 approved Accounting Standards Codification 606 using the changed retrospective transition process. The guidance below comprises the anticipated impact of the acceptance of this new revenue guideline, which came at place of ASC 605.
For the full year and Q1 2018, Five9 anticipate no material difference in revenue number between ASC 605 and ASC 606. Under ASC 606, they project to add around $5 million to $7 million to non-GAAP and GAAP net income for FY2018 and around $0.5 million to $1.5 million to non-GAAP and GAAP net income for Q1 2018.
For FY2018, Five9 anticipates to report revenue in between $231 million and $234 million. GAAP net loss is projected in between $(13.4) and $(10.4) million. For Q1 2018, revenue is projected to come between $54.5 and $55.5 million.