AvidXchange Q2 2025 Results: Growth Amid Strategic Changes

Author: Addison Perry Updated: 08-06-2025 08:15 PM

AvidXchange Reports Strong Financial Growth in Q2 2025

AvidXchange Holdings, Inc. (Nasdaq: AVDX), a leader in accounts payable (AP) automation software, has published its financial results for the second quarter ended June 30, 2025. The company showcases growth despite various strategic changes, particularly surrounding its pending acquisition.

Financial Highlights for Q2 2025

The financial results reveal a total revenue of $110.6 million, which marks a 5.2% increase compared to the same quarter in the previous year when revenue stood at $105.1 million. This growth is attributed to increased customer usage and a broader market adoption of AvidXchange's innovative solutions.

Key Financial Metrics

In terms of interest income, AvidXchange recorded $10.6 million, slightly lower than $11.8 million reported in Q2 2024.

GAAP net loss for the quarter was $(9.5) million, contrasting with a modest income of $0.4 million from the same quarter last year. However, while GAAP metrics indicate a loss, AvidXchange also reported a Non-GAAP net income of $10.7 million, showing resilience in its underlying operations.

Detailed Financial Breakdown

The company achieved a GAAP gross profit of $73.6 million, representing 66.6% of total revenue, compared to 65.3% last year. Likewise, the Non-GAAP gross profit reached $81.6 million, or 73.8% of total revenues, an increase from 72.6% year-on-year.

Adjusted EBITDA for the quarter was $17.4 million, demonstrating stability with a minor decline from $17.5 million in Q2 2024. The data reflects a continuous push toward operational efficiency and resource management.

Operational Metrics

During Q2 2025, AvidXchange processed a total of 20.1 million transactions, a 1.8% increase from 19.7 million the previous year. The total payment volume also saw growth, reaching $21.5 billion, which is a 4.1% rise versus $20.6 billion in the prior year.

Transaction yield improved to $5.50, an increase of 3.2% from $5.33 in the same period from the previous year, reflecting better income generation per transaction.

Future Financial Outlook

Looking ahead, AvidXchange has announced a suspension of its previously issued financial outlook for fiscal 2025 due to the pending acquisition by TPG in partnership with Corpay. This significant strategic move indicates the company's focus on alignment and integration, which may shape its future financial projections.

AvidXchange: Company Overview

AvidXchange is recognized as a game-changing provider of AP automation software dedicated to optimizing payment processes for middle-market businesses. With more than 8,500 clients, the company's solutions have transformed the workflow of AP departments and facilitated payments to over 1.35 million suppliers in the last five years.

Frequently Asked Questions

What are the main financial highlights for AvidXchange in Q2 2025?

AvidXchange reported revenues of $110.6 million and a Non-GAAP net income of $10.7 million for the quarter.

How does AvidXchange's revenue in Q2 2025 compare to Q2 2024?

The revenue in Q2 2025 increased by 5.2% from $105.1 million in Q2 2024 to $110.6 million in 2025.

What were the key changes to AvidXchange's financial outlook?

AvidXchange suspended its financial outlook for 2025 due to its pending acquisition by TPG and Corpay.

How many transactions did AvidXchange process in Q2 2025?

In Q2 2025, AvidXchange processed 20.1 million transactions, reflecting a growth of 1.8% year-over-year.

What is the future focus for AvidXchange?

AvidXchange aims to enhance operational efficiency and integrate into its new partnership, potentially shaping its future financial strategies.

About The Author

Hello, I'm 30-year-old financial writer and expert Addison Perry, and I love to simplify the intricacies of the financial industry. I've committed myself over the years to deciphering the subtleties of investing techniques and economic trends and converting them into doable guidance that anybody can use. My goal with writings and books is to make money interesting and approachable so that readers may take charge of their financial futures.

My enthusiasm to empowerment and education has propelled me through my career in finance. I write because I think that everyone should be able to make educated financial decisions, and I try to provide that. Regardless of experience level with investing, my work is intended to provide insightful analysis and practical advice to enable you to thrive in the always changing financial environment. I appreciate you traveling with me toward success and financial literacy.

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