Earnings Season Summary Q1 2025

Research & Frameworks
Earnings Season Summary

Friends & Family Capital is pleased to share the Q1 2025 edition of “Seven Weeks in Seven Minutes.”

This resource is a summary of condensed and actionable insights on what you need to know from the last seven weeks of earnings announcements.

It is intended for our Founders, CFOs, and friends in the community.

See below for the overview slides from the quarter. The full presentation is available for download here.

We welcome your feedback to help shape the relevance for your business in future quarters.

Key theme for the quarter: “Resilience In The Middle of a Macro Storm”

  • Tariff policy oscillation created mixed dialogue and uncertainty in business outlook
  • Yet, 70% of companies both beat estimates and had analysts raise estimates on revenue and EPS
  • Thematic AI tailwinds remain intact despite trade talk uncertainty

Our public company universe includes 46 companies. We selected these businesses as leading business-to-business software companies plus the technology stalwarts. The customers served by these companies are also relevant for the Founders we help as they build companies in the private markets.

Market price moved up or down by 10% or more across several companies following their earnings.

Below are the top ten movers and bottom ten movers in the Q1 earnings season based on one-day share price reaction following their earnings announcement.

A timeless question of "Is it me? Or the market?" can be addressed through the commentary companies offer about their customers and go-to-market motion. Q1 2025 saw an increase in macro uncertainty due to tariff policy and the downstream potential business impacts.

Companies in the F&FC coverage universe were roughly split this quarter in forward topline guidance. About half of the companies lowered or maintained topline guidance, with the other half of companies raising topline guidance.

The full presentation is available for download here.