AvidXchange Holdings, Inc. reported significant financial developments in its latest 10-Q filing for the quarter ending September 30, 2024. The company achieved total revenues of $112.8 million for the third quarter, marking a 14.3% increase from $98.7 million in the same period of 2023. For the nine months ended September 30, 2024, revenues reached $323.5 million, up 16.9% from $276.7 million in the prior year. This growth was primarily driven by a 20.5% increase in payment revenue, attributed to higher electronic payments processed through the AvidPay Network and increased payment yields due to rising interest rates.

Operating expenses for the third quarter totaled $81.1 million, an increase from $77.5 million in Q3 2023. For the nine-month period, operating expenses rose to $237.3 million from $233.4 million. Despite the rise in expenses, AvidXchange reported a turnaround in profitability, with income from operations of $1.3 million for Q3 2024, compared to a loss of $9.6 million in Q3 2023. The company recorded a net income of $4.0 million for the third quarter, a significant improvement from a net loss of $8.1 million in the same quarter of the previous year. For the nine months, net income was $3.5 million, contrasting with a net loss of $42.9 million in 2023.

The company’s total current assets decreased to $1.6 billion as of September 30, 2024, from $2.1 billion at the end of 2023. Total liabilities also fell to $1.3 billion from $1.8 billion, while stockholders' equity increased to $676.8 million from $656.4 million. AvidXchange's cash and cash equivalents stood at $60.5 million, down from $226.7 million at the end of 2023.

Strategically, AvidXchange has transitioned to a money transmitter license model, obtaining necessary licenses to provide commercial payment services. The company also initiated a share repurchase program in August 2024, authorizing the repurchase of up to $100 million in common stock, with $75 million remaining available as of September 30, 2024. Additionally, restructuring costs of $1.2 million were recorded during the nine months, reflecting one-time severance charges.

Overall, AvidXchange's financial performance in Q3 2024 demonstrates a positive trajectory, with increased revenues and a return to profitability, alongside strategic initiatives aimed at enhancing operational efficiency and shareholder value.