Company: YEXT
Filing Date: 2025-12-08
Form Type: 10-Q
Source: 0001628280-25-055819
Chunk: 306

Company: Yext, Inc.
Filing Date: 2025-12-08
Form: 10-Q
Item: Part I, Item 1
Chunk 306
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 ended October 31, 2024, a decrease of $15.0 million or 45%. The decrease was primarily driven by the acquisition of Hearsay on August 1, 2024, which resulted in $9.4 million of costs associated with the incentive pool being incurred during the three months ended October 31, 2024, as well as changes in the fair value of contingent consideration of $4.9 million. See Note 6 "Fair Value of Financial Instruments" to our condensed consolidated financial statements for additional information on contingent consideration. In addition, professional related costs decreased $0.7 million largely due to acquisition-related costs related to Hearsay included in our results for the three months ended October 31, 2024. The decrease was offset by asset impairment charges of $0.8 million recognized during the three months ended October 31, 2025 in connection with subleasing a floor of our corporate headquarters.

See Note 12" Income Taxes" to our condensed consolidated financial statements for additional information on our provision for  income taxes.

Nine Months Ended October 31, 2025 Compared to Nine Months Ended October 31, 2024 

RevenueNine months ended October 31,Variance(in thousands)20252024DollarsPercent Revenue$334,575 $307,866 $26,709 9 % Cost of revenue84,368 70,086 14,282 20 % Gross profit$250,207 $237,780 $12,427 5 % Gross margin 74.8 %77.2 %

Total revenue was $334.6 million for the nine months ended October 31, 2025, compared to $307.9 million for the nine months ended October 31, 2024, an increase of $26.7 million or 9%. The increase was entirely driven by the inclusion of Hearsay’s revenue as a result of the acquisition which was completed on August 1, 2024. During the nine months ended October 31, 2025 and 2024, revenue recognized from subscription and associated support to our platform was 94%, while revenue recognized from professional services was 6%, compared to 93% and 7%, respectively.

 Revenue for the nine months ended October 31, 2025, included a positive impact from foreign currency exchange rates of approximately $2.1 million, using a constant currency basis. We calculate