Summary
Intapp reported fiscal 2022 second quarter revenue of $64.70 million, up 30.5% from the prior-year quarter. Gross profit was $41.14 million, up 27.9%, while gross margin slipped 1.3 percentage points to 63.6%. Deferred revenue stood at $119.82 million, and remaining performance obligations were $247.70 million at December 31, 2021. Cloud ARR was $135.3 million as of December 31, 2021, up 52% from $88.9 million a year earlier. Total ARR was $240.0 million, up 27% from $189.4 million. Cloud ARR was 56% of total ARR, compared with 47% at the end of the prior-year period.
Profitability moved in the opposite direction. GAAP operating loss was $24.30 million, and the loss widened from the prior-year quarter. Operating margin was -37.6%, down 27.7 percentage points. Net loss was $24.22 million, and that loss widened as well. Diluted EPS was -$0.40 for the quarter and -$0.82 for the six months. The company attributed the larger GAAP losses primarily to an increase in non-cash stock compensation expense. Non-GAAP operating loss was $0.2 million, compared with non-GAAP operating profit of $2.0 million in the prior-year quarter. Non-GAAP net loss was $0.1 million, compared with $3.4 million, and non-GAAP net loss per share was ($0.00), compared with $0.12.
For the six months ended December 31, 2021, revenue was $126.89 million, up 29.8%. Gross profit was $80.96 million, up 27.9%. GAAP operating loss was $47.93 million, and net loss was $49.36 million, with both losses widening from the prior-year period. Operating cash flow was $6.52 million for the six months, up 266.5% year over year. In the quarter alone, operating cash flow was $1.88 million, down 72.8%. Capital expenditures were $0.08 million, down 95.7%.
Intapp ended the quarter with more than 2,000 clients. Of those, 467 generated more than $100,000 of ARR. The trailing twelve months net revenue retention rate was above the expected range of 108% to 112% for the second quarter in a row. The company held its Connect21 user conference with over 1,700 registered attendees. It also launched the Intapp Collaboration Content suite in December 2021 and elected Beverly R. Allen to its board on February 3, 2022.
For the third quarter of fiscal 2022, Intapp guided SaaS and support revenue of $47.0 million to $48.0 million, a non-GAAP operating loss of $5.0 million to $6.0 million, and a non-GAAP net loss per share of $0.09 to $0.11. For the full fiscal year 2022, the company guided SaaS and support revenue of $185.0 million to $189.0 million, a non-GAAP operating loss of $11.0 million to $15.0 million, and a non-GAAP net loss per share of $0.24 to $0.28. Management said it raised its full-year guidance.
The risk list remains familiar for a newly public software company. Intapp warned that growth may not continue at historical rates, that future profitability is not assured, and that operating losses could continue. It also flagged COVID-19, data breaches, client renewals, a long sales cycle, competition, new product development, and the heavily regulated nature of its markets. Cash commitments sit on the horizon. The company expects to pay up to $10.8 million in Repstor earn-out in the third quarter of fiscal 2022 and up to $16.9 million in the first quarter of fiscal 2023, with a $2.0 million holdback payable in the second quarter of fiscal 2023. In December 2021, it committed to spend a minimum of $110.0 million on cloud services over a seven-year term. Billings are seasonal, with the second and fourth quarters substantially higher than the first and third. Professional services remain loss making after allocated overhead.
Forecast
Reported figures
GAAP, from SEC filings| Metric | Q2 FY2022 | Q1 FY2022 | QoQ | Q2 FY2021 | YoY |
|---|---|---|---|---|---|
| Revenue | $64.7M | $62.2M | +4.0% | — | — |
| Gross profit | $41.1M | $39.8M | +3.3% | — | — |
| Gross margin | 63.6% | 64.0% | -0.4 pp | — | — |
| Research & development | $17.4M | $17.0M | +2.5% | — | — |
| Sales & marketing | $26.8M | $25.6M | +4.7% | — | — |
| General & administrative | $21.2M | $20.8M | +1.9% | — | — |
| Total operating expenses | $65.4M | $63.4M | +3.1% | — | — |
| Operating income (loss) | -$24.3M | -$23.6M | -2.8% | — | — |
| Operating margin | -37.6% | -38.0% | +0.4 pp | — | — |
| Net income (loss) | -$24.2M | -$25.1M | +3.6% | — | — |
| Net margin | -37.4% | -40.4% | +3.0 pp | — | — |
Risks
A majority of research and development is conducted through facilities in Ukraine and suppliers in Belarus, Ukraine, and Russia. Escalation of political tensions, potential Russian invasion of Ukraine, armed conflict, cyber warfare, or sanctions could disrupt development, delay new product delivery, interrupt service delivery, or cause unavailability of cloud solutions.
Operating loss widened to $24.30 million in FY2022 Q2 from $4.90 million in FY2021 Q2, and net loss widened to $24.22 million from $10.33 million, as operating expenses increased 77% year over year. MD&A states it expects operating losses could continue as it invests in growth.
The company engages a significant number of independent contractors in research and development through third parties. Changes to foreign laws or judicial decisions on independent contractor classification could reclassify them as employees, requiring retroactive wages, taxes, and penalties and forcing a change to the contractor business model.
Professional services are currently loss making after allocated overhead and accounted for 13% of total revenues in the six months ended Dec 31, 2021, up from 10% in the prior-year period, while cost of professional services increased 47% in the six months.
Future growth depends on market adoption of the cloud platform. Net revenue retention has averaged over 110% in each of the twelve-month periods ended Dec 31, 2021 and 2020, but MD&A warns it could suffer if clients do not see return on investment relative to other software alternatives.
The Repstor acquisition includes contingent consideration of up to $27.7 million payable if performance measures are achieved, with up to $10.8 million expected in Q3 FY2022 and up to $16.9 million in Q1 FY2023. Failure to achieve performance measures or integrate the business could affect cash and results.
In December 2021, due to a surge in COVID-19 cases, the company reinstated more stringent travel and meeting restrictions, which could delay the expected resumption of business travel and increase in marketing-related expenses.
SaaS KPIs
All quarters →Cloud ARR
Total ARR
Cloud ARR as % of total ARR
Total clients
Clients > $100K ARR
Summary, forecast, risks and KPIs are extracted from Intapp, Inc.'s SEC filings for Q2 FY2022 (10-Q / 10-K and the 8-K earnings release); GAAP figures in the summary are checked against the reported XBRL data. They can contain errors; the filings are authoritative. Processed Oct 2, 2026.