BELLEVUE, WA – Smartsheet Inc . (NYSE:SMAR), a leader in prepackaged software services, announced the results of its 2024 Annual Meeting of Shareholders held on Monday. Shareholders voted on three key proposals, including the election of directors, the ratification of the company's independent auditor, and an advisory vote on executive compensation.
In the election of directors, shareholders elected Katie Rooney as a Class I director, Khozema Shipchandler as a Class II director, and Alissa Abdullah, Michael Gregoire, and Rowan Trollope as Class III directors. The directors will serve until their respective annual meetings in 2025, 2026, and 2027. The votes for each director ranged from 92,229,550 to 114,325,850, with votes withheld for each candidate ranging from 441,413 to 22,537,713.
The appointment of Deloitte & Touche LLP as Smartsheet's independent registered public accounting firm for the fiscal year ending January 31, 2025, was ratified with an overwhelming majority of 125,235,731 votes in favor, against 369,361 votes, and 211,150 abstentions.
Moreover, the compensation of the company's named executive officers for the fiscal year ended January 31, 2024, received approval from shareholders with 100,190,395 votes in favor. There were 14,400,485 votes against and 176,383 abstentions on this advisory proposal.
The voting outcomes reflect shareholder confidence in the company's leadership and financial oversight as Smartsheet continues to navigate the competitive landscape of the software services industry. The results of the votes were detailed in a press release based on Smartsheet's 8-K filing with the U.S. Securities and Exchange Commission.
The company, headquartered at 500 108th Ave NE, Suite 200 in Bellevue, Washington, operates under the ticker symbol SMAR on the New York Stock Exchange. Smartsheet has been incorporated in Washington and has a fiscal year-end of January 31.
In other recent news, Smartsheet Inc. reported a robust start to its fiscal year 2025, with first-quarter revenue climbing 20% year-over-year to $263 million. The company's annualized recurring revenue (ARR) exceeded $1 billion, reaching $1.056 billion, while its user base expanded to over 14.7 million. For the second quarter, Smartsheet anticipates revenue to fall between $273 million and $275 million, and non-GAAP operating income to range from $38 million to $40 million.
For the full fiscal year, Smartsheet expects revenue to be between $1.116 billion and $1.121 billion, with non-GAAP operating income projected at $157 million to $167 million. The company also announced a $150 million share buyback program, expected to be completed by the end of Q4 FY'25.
In terms of future developments, Smartsheet is set to launch a new pricing and packaging model on June 24th, and AI tools have been adopted by nearly half of the company's enterprise customer plans. The company also expects a 16% to 17% growth for the full fiscal year '25 and has raised its ARR growth forecast to 14% to 14.5%. Smartsheet's free cash flow is projected to hit $220 million, marking a 20% margin.
InvestingPro Insights
Following the recent Annual Meeting of Shareholders, Smartsheet Inc. (NYSE:SMAR) continues to show signs that may interest investors. According to InvestingPro data, Smartsheet has a market capitalization of $5.71 billion and an impressive gross profit margin of 81.14% over the last twelve months as of Q1 2025. This high margin reflects the company's ability to manage its cost of goods sold effectively and is a positive indicator of its pricing strategy and operational efficiency.
Moreover, the company's revenue has grown by 22.35% during the same period, signaling robust business growth. Despite not being profitable over the last twelve months, analysts have revised their earnings upwards for the upcoming period, indicating a potential turnaround in profitability. This is echoed by an InvestingPro Tip that Smartsheet is expected to become profitable this year. The company holds more cash than debt on its balance sheet, providing financial flexibility and a solid foundation for future growth.
For those considering an investment in Smartsheet, it's worth noting that the company is trading at a high Price / Book multiple of 8.99, which may suggest a premium valuation. Investors looking to delve deeper into Smartsheet's financials and future outlook can find additional InvestingPro Tips, with a total of 7 more insights available at https://www.investing.com/pro/SMAR. For access to these insights, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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