Company: APPN
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001441683-25-000053
Chunk: 135

Company: APPIAN CORP
Filing Date: 2025-08-07
Form: 10-Q
Item: Item 2
Chunk 135
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 30, 2025 as compared to the corresponding period in 2024 primarily due to a lower effective interest rate and lower outstanding principal compared to the prior year period.

Income Tax Expense (Benefit)

36

Three Months Ended June 30,20252024$ Change% Change(dollars in thousands)Income tax expense (benefit)$1,573$(164)$1,737 ***% of revenue0.9 %(0.1)%

*** Indicates a percentage that is not meaningful.

Income tax expense increased by $1.7 million in the three months ended June 30, 2025 as compared to the corresponding period in 2024. This change was primarily driven by increased pre-tax book income in certain international subsidiaries for the three months ended June 30, 2025. The change in pre-tax book income was primarily attributable to increases in unrealized foreign exchange gains.

Comparison of the Six Months Ended June 30, 2025 and 2024

Revenue

Six Months Ended June 30,20252024$ Change% Change(dollars in thousands)RevenueSubscriptions$267,009 $230,668 $36,341 15.8 %Professional services70,057 65,617 4,440 6.8 Total revenue$337,066 $296,285 $40,781 13.8 %

Total revenue increased $40.8 million, or 14%, in the six months ended June 30, 2025 compared to the same period in 2024 due to an increase in our subscriptions revenue of $36.3 million as well as an increase in our professional services revenue of $4.4 million. The increase in subscriptions revenue was driven by a $31.7 million increase in cloud subscriptions revenue, a $3.6 million increase in term license subscriptions revenue, and a $1.0 million increase in maintenance and support revenue. With respect to new versus existing customers, there was an $18.5 million increase in subscriptions revenue from sales to new customers, while the remaining $17.8 million of the increase was attributable to expanded deployments, price increases on renewals, and corresponding sales of additional subscriptions to existing customers. The increase in professional services revenue was due primarily to a $10.7 million increase in revenue from sales to new customers, which was partially offset by a $6.3 million decrease in sales to existing customers.

Cost of Revenue

Six Months Ended June