Multiples for SaaS companies growing above the median of 21% are stronger: 8.08x on median and 9.47x on average. Only 26% of companies are trading at 10x revenue or greater, whereas the peak was 60% in Q4 2020. Three companies trade above 20xm whereas 35 traded above 20x in Q4 2020. The data is below.
The stats. The median SaaS business had trailing twelve month revenue of $614mm, EBITDA of -$49mm, but positive operating cash flow of $54mm thanks to up-front collections on annual contracts. YOY growth is 21% and 22% on median and average. The median EBITDA margin is -11%. Debt is negligible. While 74 of the companies have negative EBITDA, only 33 have negative cash flow.
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