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Friends & Family Capital is pleased to launch “Seven Weeks in Seven Minutes.”

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

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

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

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

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Key theme for the quarter: “It Got Better Because It Got Less Worse.”

• Generative AI use cases enable new product features and price increases
• Software spend consolidation provides tailwinds to the large cloud software providers
• Signs of demand stabilization, specifically within the SMB and mid-market segments
• Efficient growth drives returns with increases in both revenue and profitability being rewarded
• 71% of companies both beat estimates and had analysts raise estimates on revenue and EPS

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Our public company universe includes 45 companies.  We selected these businesses as leading businesses-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.

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

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The market rewarded efficient growth.  Those companies where analysts maintained or grew their sales estimates while also increasing their EBITDA and EPS estimates saw the largest price movements.

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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.  We offer a few quotes below to help benchmark what you hear from account executives on your sales team.

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Also of note this earnings season, four bellwether companies increased their product or service pricing as a result of new AI use cases and product features.  An additional six companies also flagged the potential for upcoming product pricing discussions.

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The full presentation is available for download here.