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According to a recent report, the global customer experience management market is projected to grow at 16% CAGR to reach $32.5 billion by 2029 from $11.34 billion in 2022. Qualtrics (XM) continues to grow strong in the market and recently announced an acquisition within the healthcare vertical.

Qualtrics’ Financials

For the fourth quarter of fiscal 2021, Qualtrics’ revenue grew 48% to $316 million. GAAP net loss was $309.8 million, compared to GAAP net loss of $14.5 million a year ago. Non-GAAP net loss per share was $0.07, compared to non-GAAP net loss per share of $0.02 a year ago. The market was looking for revenues of $297.64 million and non GAAP loss of $0.02 per share.

By segment, Q4 Subscription revenues grew 61% to $259 million, and professional services revenues grew 7.4% to $57.09 million.

For the fiscal year, Qualtrics’ revenues grew 41% to $1.075 billion, and net loss was $0.01 per share.

For the first quarter of fiscal 2022, the company expects revenues of $324-$326 million. Non-GAAP net loss per share is expected to be $0.02 to $0.00. It expects to end the year with revenues of $1.402-$1.406 billion and a net loss per share between $0.02 and $0.00.

Qualtrics’ Acquisition

Recently, Qualtrics announced the acquisition of SurveyVitals, a healthcare experience and analytics services provider, for an undisclosed sum. SurveyVitals is approved to administer 11 Consumer Assessment of Healthcare Providers and Systems (CAHPS) programs that govern how organizations can collect information about patient experiences. It has a portfolio of over 350 healthcare organizations and 16,000 clinicians around the world to gather and manage patient experiences.

The acquisition will allow Qualtrics to expand its healthcare offerings including omnichannel listening. Qualtrics already had more than 600 hospitals and health systems using its services. The addition of SurveyVitals will help it grow into this vertical. Post the acquisition, Healthcare systems will have a single, cloud-based platform that will meet regulatory requirements and deliver superior performance. With real-time feedback and automated action, organizations will be able to improve friction points throughout the healthcare experience across all settings and channels. Prior to the acquisition, SurveyVitals was privately held and did not disclose its funding or financial details.

Qualtrics also continued to grow its partner network and recently announced a tie-up with NASCAR that will allow it to use Qualtrics to ask attendees about their experiences at each event and focus on the experiences that keep the fans coming back. It also provides NASCAR the ability to act on feedback from fans in real-time. Representatives are flagged as feedback comes in and are able to take immediate action to improve an experience or make a memorable experience better.

Qualtrics’s stock is currently trading at $28.55 with a market cap of $16.6 billion. It had touched a 52-week high of $49.03 in August last year and fallen to a low of $22.72 in January.