Overview

• Online visibility management platform's Q4 revenue grew 15% yr/yr, slightly missing analyst expectations

• Q4 net new ARR rose 48%, driven by AI products and Enterprise platform

• Company's acquisition by Adobe expected to close in H1 2026

Outlook

• Semrush will not provide guidance for Q1 or full-year 2026 due to Adobe acquisition

Result Drivers

• AI PRODUCT GROWTH - AI products ARR increased from $4 million to $38 million, contributing significantly to overall ARR growth

• ENTERPRISE PLATFORM EXPANSION - Enterprise platform ARR grew from $9 million to $37 million, with 579 customers, enhancing total ARR

• HIGH-VALUE CUSTOMERS - Customers paying over $50,000 annually increased by over 74% year-over-year, boosting revenue

Company press release: ID:nBwbBwMdya

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q4 Revenue	Slight Miss*	$117.66 mln	$118.63 mln (5 Analysts)
Q4 Net Income		-$10.98 mln
Q4 Gross Profit		$94.55 mln
Q4 Income From Operations		-$13.90 mln
Q4 Operating Expenses		$108.46 mln
Q4 Pretax Profit		-$9.81 mln

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

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

• Wall Street's median 12-month price target for SEMrush Holdings Inc is $12.00, about 1.5% above its February 27 closing price of $11.82

• The stock recently traded at 29 times the next 12-month earnings vs. a P/E of 29 three months ago

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