CS Disco Q3 revenue up 13%, beats estimates

Reuters11-06
<a href="https://laohu8.com/S/LAW">CS Disco</a> Q3 revenue up 13%, beats estimates

Overview

  • CS Disco Q3 2025 revenue grows 13% yr/yr, beating analyst expectations

  • GAAP net loss for Q3 2025 increases to $13.7 mln from $9.2 mln last year

  • Adjusted EBITDA improves significantly compared to Q3 2024

Outlook

  • Company expects Q4 software revenue between $33.75 mln and $34.75 mln

  • Company projects Q4 total revenue between $38.75 mln and $40.75 mln

  • DISCO forecasts FY 2025 total revenue between $154.4 mln and $156.4 mln

Result Drivers

  • LARGE CLIENTS AND MATTERS - CEO Eric Friedrichsen attributes revenue growth to increased traction with large clients and large matters

  • GENAI TOOLS ADOPTION - Growing adoption of advanced GenAI tools cited as a factor in healthy ecosystem

  • CECILIA AI PLATFORM - 300% growth in customer databases leveraging Cecilia AI Platform since September 2024

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

Beat

$40.92 mln

$38.52 mln (5 Analysts)

Q3 EPS

-$0.22

Q3 Net Income

-$13.67 mln

Q3 Gross Profit

$30.91 mln

Q3 Operating Expenses

$45.37 mln

Q3 Operating Income

-$14.46 mln

Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 2 "hold" and 1 "sell" or "strong sell"

  • The average consensus recommendation for the software peer group is "buy."

  • Wall Street's median 12-month price target for CS Disco Inc is $4.50, about 33.1% below its November 4 closing price of $5.99

Press Release: ID:nBw5vF8bva

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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