According to a recent Tech Navio report, the global online survey software market is projected to grow at 9% CAGR during 2020-2024 driven by the adoption of online survey tools by the SMB segment. SurveyMonkey (Nasdaq: SVMK) recently reported its first quarter results that surpassed all market expectations. The company is expanding its AI and machine learning solutions to drive growth.

Photo Credit: SurveyMonkey/ Flickr

SurveyMonkey’s Financials

SurveyMonkey’s first quarter revenue grew 16% to $102.3 million. GAAP net loss was $29.6 million. Non GAAP net loss was $3.3 million or $0.02 per share. The market had forecast revenues of $100.89 million and a loss per share of $0.02.

Enterprise sales revenues accounted for 30% of Q1 revenues and grew 24%. It ended the quarter with over 8,800 enterprise sales customers, up 29%. Deferred revenue grew 23% to $187.5 million and remaining performance obligation grew 21% to $204.9 million.

Paying users grew 13% to 845,000. It ended the quarter with almost 89% of its paying users on annual plans, up 85%. Average revenue per user grew 3% to $498 for the quarter.

For the second quarter, SurveyMonkey expects to report revenues of $106-$108 million. For the year, it expects to report revenues of $440-$447 million. The market forecast revenues of $105.63 million and an EPS of $0.00 for the quarter and revenues of $440.28 million and an EPS of $0.02 for the year.

SurveyMonkey’s Product Upgrades

During the quarter, SurveyMonkey announced the availability of two new solutions, SurveyMonkey Brand Tracker and SurveyMonkey Industry Tracker. These solutions will provide brands and financial service firms the ability to continuously monitor shifts in market perception and react quickly to stimulate growth.

SurveyMonkey already has a Market Research Solution that allows researchers and finance professionals to gather proprietary data on-demand from over 144 million respondents globally. Brand Tracker and Industry Tracker will use AI and machine learning capabilities to help launch trackers, monitor industry and brand performance, and uncover business insights at a faster rate. When integrated with SurveyMonkey’s Expert Services team, the solutions will help deliver a flexible delivery model to provide the right level of service customized to the organization’s unique needs.

SurveyMonkey Brand Tracker will focus on helping companies continuously measure brand performance, tracking behavior trends and consumer habits across multiple markets, assessing campaign effectiveness, and conducting competitive analysis. SurveyMonkey Industry Tracker will help investment and finance research professionals to understand changing market dynamics by providing an agile approach to monitor industries and surface timely insights. Researchers will be able to measure consumer and buyer sentiment shifts, assess the competitive landscape and make better informed strategic investment decisions.

Its stock is trading at $18.07 with a market capitalization of $2.6 billion. It was trading at a year high of $28.12 in February. The stock had fallen to a year low of $16.35 in March this year.