SAN FRANCISCO - Amplitude, Inc. (NASDAQ:AMPL), known for its digital analytics platform, announced today that Christopher Harms has stepped down from his role as Chief Financial Officer and principal financial and accounting officer. The company clarified that Harms' departure is not due to any disagreements regarding financial statements, accounting principles, or practices.
The search for a new CFO has begun, following Harms' exit. Meanwhile, Amplitude has reaffirmed its financial outlook for the second quarter and the full year of 2024, consistent with the projections shared in its earnings release on May 9, 2024.
Amplitude provides analytics tools that aid businesses in understanding customer interactions with their digital products. The platform is used by nearly 3,000 customers, including recognizable names such as Atlassian (NASDAQ:TEAM), NBCUniversal, and Shopify (NYSE:SHOP). The company prides itself on offering insights that help drive product growth and has recently been ranked highly in G2’s Spring 2024 Report.
The company's statement on this leadership change did not elaborate on the reasons for Harms' departure beyond stating it was not related to any internal disputes or disagreements. This news comes as Amplitude continues to maintain its previously stated financial expectations for the upcoming quarters.
This report is based on a press release statement from Amplitude, Inc.
InvestingPro Insights
As Amplitude, Inc. (NASDAQ:AMPL) navigates through a leadership transition with the departure of CFO Christopher Harms, investors and stakeholders are closely monitoring the company’s financial health and future profitability. The company's commitment to its financial outlook is underpinned by several key metrics and InvestingPro Tips that shed light on its current position and future prospects.
InvestingPro Data indicates that Amplitude holds a market capitalization of $1.15 billion USD, a reflection of its standing in the market. Despite not being profitable over the last twelve months, the company has shown a solid revenue growth of 12.31% in the same period. This growth is further substantiated by a gross profit margin of 74.64%, highlighting the company's ability to retain a significant portion of its revenue after accounting for the cost of goods sold. However, it's worth noting that the company's P/E ratio stands at -14.76, which could suggest investor skepticism about future earnings.
From the perspective of financial stability, InvestingPro Tips highlight that Amplitude holds more cash than debt on its balance sheet, and its liquid assets exceed short-term obligations, providing a buffer for operational needs and potential investments. Moreover, analysts predict that the company will turn profitable this year, which could mark a significant milestone for Amplitude and its stakeholders.
It's important to note that Amplitude does not pay a dividend to shareholders, which is not uncommon for growth-focused companies that prefer to reinvest earnings back into the business. For investors seeking a deeper analysis, there are additional InvestingPro Tips available on InvestingPro that can provide further insights into Amplitude’s financial health and potential investment opportunities.
For those interested in exploring these insights, use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. With these resources at hand, investors can make more informed decisions as Amplitude moves forward with its search for a new CFO and strives to achieve its financial targets for the upcoming quarters.
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