Latest news with #YaminiRangan
Yahoo
an hour ago
- Business
- Yahoo
HUBS Q1 Earnings Call: AI Momentum, Platform Expansion, and New Monetization Models
Sales and marketing software maker HubSpot (NYSE:HUBS) beat Wall Street's revenue expectations in Q1 CY2025, with sales up 15.7% year on year to $714.1 million. Guidance for next quarter's revenue was better than expected at $739 million at the midpoint, 2% above analysts' estimates. Its non-GAAP profit of $1.78 per share was 1% above analysts' consensus estimates. Is now the time to buy HUBS? Find out in our full research report (it's free). Revenue: $714.1 million vs analyst estimates of $699.9 million (15.7% year-on-year growth, 2% beat) Adjusted EPS: $1.78 vs analyst estimates of $1.76 (1% beat) The company lifted its revenue guidance for the full year to $3.04 billion at the midpoint from $2.99 billion, a 1.7% increase Management raised its full-year Adjusted EPS guidance to $9.33 at the midpoint, a 2% increase Operating Margin: -3.8%, in line with the same quarter last year Customers: 258,258, up from 247,939 in the previous quarter Billings: $766.8 million at quarter end, up 19.6% year on year Market Capitalization: $31.96 billion HubSpot's first quarter results reflected the company's focus on platform consolidation, upmarket expansion, and customer acquisition in the small and mid-sized business segment. CEO Yamini Rangan attributed recent growth to more customers choosing HubSpot's unified platform for cost savings and AI capabilities, with over 37% of Pro+ customers now using four or more hubs. Management also highlighted strong performance in landing large enterprise deals, aided by product innovation such as journey orchestration and enhanced sandbox features. The company's ongoing shift to seat-based pricing and improvements in onboarding contributed to a notable increase in customer additions. Looking forward, HubSpot's updated guidance is underpinned by its AI-first strategy and the planned rollout of credit-based pricing for Customer Agent, a move designed to make AI adoption more predictable and accessible for customers. CFO Kate Bueker commented on the company's approach to monetizing new AI features, stating, 'Our philosophy is to deliver value, and once we see consistent repeat value, we begin to add monetization levers.' Management emphasized that while the broader macro environment remains uncertain, the company's diversified customer base and embedded AI solutions are expected to sustain momentum across multiple segments. The expansion of Customer Agent across all hubs and the development of agent-to-agent orchestration are central to HubSpot's growth outlook. Management pointed to several operational and strategic factors supporting HubSpot's performance, including rapid AI feature adoption, expansion into new customer segments, and enhancements to its core platform. AI adoption accelerates: The rapid increase in usage of HubSpot's Copilot and Customer Agent tools was a major highlight, with Copilot users more than doubling quarter-over-quarter and Customer Agent now serving over 2,500 clients. These AI features are integrated to support both marketing and sales teams, and are credited with speeding up ticket resolution and improving customer outcomes. Platform consolidation trend: Management noted that more customers are consolidating their tech stacks onto HubSpot's platform, reducing complexity and cost. This trend was particularly evident among Pro+ customers, with a growing proportion adopting four or more modules (hubs) and more new customers starting with the full platform. Upmarket and enterprise traction: The company reported strong momentum in landing larger deals, supported by new enterprise-grade features such as journey orchestration, multi-account management, and enhanced security. These capabilities have helped HubSpot win business from larger organizations seeking unified solutions. Credit-based AI monetization: HubSpot is expanding its credit-based pricing model to Customer Agent, giving customers a monthly allotment of credits included in their subscription and the option to purchase more as needed. This approach is designed to provide flexibility and predictability for customers, aligning spend with usage and value delivered. Internal AI use for efficiency: Management shared that AI is being used internally to improve support, sales, and marketing productivity. For example, up to 41% of support tickets are now resolved using AI, and AI-driven prospecting booked nearly 11,000 meetings for the sales team in Q1, contributing to operational efficiency gains. HubSpot's guidance emphasizes continued investment in AI capabilities, further adoption of its credit-based pricing model, and sustained customer acquisition across segments. AI feature expansion: Management plans to further embed AI into every hub, with Customer Agent set to be available across all Pro and Enterprise customers. This expansion is expected to drive additional customer engagement and provide new avenues for monetization, though significant revenue impact is anticipated over a longer time horizon. Platform and pricing model evolution: The shift to a seat-based and credit-based pricing structure is expected to support net revenue retention, as existing customers migrate and adopt more features. Management highlighted that these changes are designed to make adoption easier and better match customer needs, with seat upgrades and credit pack purchases contributing to predictable revenue streams. Macroeconomic uncertainty: While HubSpot has not seen significant demand changes across industries or regions, management acknowledged a continued focus on value among customers and higher economic uncertainty. The company's broad customer base and recurring revenue model are cited as sources of resilience, but management remains cautious in its outlook given the external environment. Over the coming quarters, the StockStory team will be monitoring (1) adoption rates of Customer Agent and other AI-driven features across various customer segments, (2) the impact of credit-based pricing on customer expansion and retention, and (3) the pace of migration to seat-based models. Continued progress in multi-agent orchestration and execution on product innovation will also be key indicators of HubSpot's ability to sustain growth. HubSpot currently trades at a forward price-to-sales ratio of 10×. Should you double down or take your chips? The answer lies in our full research report (it's free). Donald Trump's victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs. While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today.
Yahoo
18-05-2025
- Business
- Yahoo
'I'm Not Scared Of Sundays,' Says HubSpot CEO, Who Beats The Sunday Scaries By Simply Working Through The Weekend
Turns out, a lot of people feel anxious on Sundays. According to a 2023 survey by HR software provider Ciphr, nearly half of senior managers in the UK report experiencing the 'Sunday scaries' multiple times a year. On the other hand, HubSpot (NYSE:HUBS) CEO Yamini Rangan says she doesn't get the Sunday scaries. In fact, she skips right over them by turning Sundays into a full workday. "I'm not scared of Sundays,' Rangan said on the recent episode of the 'Grit' podcast. 'I enjoy it because it's my time. I get to decide what I'm learning, what I'm doing, what I'm thinking, what I'm writing. It is completely my schedule.' Don't Miss: Hasbro, MGM, and Skechers trust this AI marketing firm — 'Scrolling To UBI' — Deloitte's #1 fastest-growing software company allows users to earn money on their phones. Her version of a day off? Saturday. She completely disconnects from work after Friday night and doesn't pick it back up until Sunday morning. No emails, no messages, not even from the board. That one-day break is non-negotiable. Then comes Sunday, which for her is anything but restful. She turns it into a dedicated workday: reading, thinking, planning, and writing. It's her time to prepare for the week ahead with focus and intention, without interruptions. "It is completely my schedule," she said. By the time most people are still winding down their weekend, she's already scheduled a full set of Monday morning emails, often timed to hit inboxes at 5 a.m. This rhythm, she says, keeps her balanced. It's her way of eliminating the dread many feel about Mondays—by turning Sunday into a day of action instead of anxiety. Trending: Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing — Rangan's approach may sound intense, but she's not alone in working this way. A recent survey by HR software firm Ciphr shows that stress and anxiety about the workweek are widespread among senior managers. Nearly half – 47% – of the 265 UK senior managers polled said they felt the Sunday scaries multiple times over the past year. About 13% felt them multiple times a month, and 5% said they felt them every week. Only 8% of respondents said they had never experienced the Sunday scaries. The top three causes of stress among senior leaders were high inflation and rising prices (34%), the cost-of-living crisis (33%) and burnout (27%). Workload and to-do lists (24%), economic downturn (23%) and unfinished work tasks (21%) are also some of the reasons. Rangan, who leads a company with more than 9,000 employees and billions in revenue, says the key to avoiding burnout is to find a rhythm that works and stick to it. 'Peak performance requires peak rest,' she said. So she made a rule: 'I've said to people that I will not respond on Saturday.' Even when board members send emails, Rangan says she holds firm to her Saturday boundary and doesn't Rangan took over as CEO in 2021, it wasn't under normal circumstances. HubSpot co-founder and then-CEO Brian Halligan was injured in a snowmobile accident and suddenly out of commission. Rangan, who joined as chief customer officer in 2020, stepped in.'He said, 'Remember I told you if I ever got hit by a bus, you'd have to run it? I need you to run it.'' Rangan accepted the interim CEO role, thinking Halligan would eventually return. He didn't. Six months later, the board made her appointment permanent. Since then, she's guided the customer relationship management and marketing automation platform through pandemic growth, a sudden market slowdown, and the rise of AI. Each year, she says, requires reinvention. "Every year I've been CEO, I've had to reinvent what I'm doing and my mental constructs," she said. 'Every year, there's something completely different we're trying to drive.' Rangan's no stranger to pressure. She grew up in a 350-square-foot home in a small Indian town. She came to the U.S. with $300 and worked her way up through engineering and sales. Even now, she says, she often feels 'behind.' 'I've embraced that discomfort," she said. "If I'm not learning, I'm behind.' Read Next: Invest where it hurts — and help millions heal:. Inspired by Uber and Airbnb – Deloitte's fastest-growing software company is transforming 7 billion smartphones into income-generating assets – UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets. Get the latest stock analysis from Benzinga? HUBSPOT (HUBS): Free Stock Analysis Report This article 'I'm Not Scared Of Sundays,' Says HubSpot CEO, Who Beats The Sunday Scaries By Simply Working Through The Weekend originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved.
News18
14-05-2025
- Business
- News18
350 Sq Ft Flat To $34 Billion Worth, HubSpot CEO Yamini Rangan On Humble Start
Last Updated: The Indian-American CEO of HubSpot talked candidly about her 'middle-class' Indian upbringing and how her life in the US differs greatly from hers Yamini Rangan, CEO of HubSpot, a Software company, was born and raised in South India but has since lived in the US for decades. To ensure that her adolescent sons have a connection to their heritage, Rangan nevertheless makes it a point to travel to India regularly. In a recent interview with Kleiner Perkins for his Grit Podcast, the Indian-American CEO of HubSpot talked candidly about her 'middle-class" Indian upbringing and how her life in the US differs greatly from hers. Based in San Francisco today, Yamini Rangan oversees a $34 billion software company and draws an incredible compensation of around $26 million. However, her life wasn't always this comfortable. The executive of Indian descent said in an interview with the Grit Podcast that she grew up in a 350-square-foot home that was 'extremely small." When asked if her family was wealthy when she was growing up, she responded categorically, 'Not at all." 'Our home, which we spent most of our childhood in, was about 350 square feet. Now I can go back and say 'Oh, that was pretty modest' and we were squarely middle class," she said on the Grit Podcast. Rangan further revealed that her mother was a stay-at-home mom and her father owned a little business. She said, 'They did everything possible for us, and we had no desires beyond what we got, but it was a small house." Rangan and her husband have lived in the United States for decades, yet they still make time to travel to India regularly. 'Do you ever go back to India?" Perkins asked the CEO, who responded: 'Yeah, maybe once every couple of years." Her family also supports an orphanage in the place where she was raised, the CEO of HubSpot disclosed. 'I make them [my sons] go and spend days there, because you know it gives them a sense of 'Look where you are and what your responsibility is in society'. It is not just for you to make money and live in the Bay Area," she stated. Rangan grew up in South India, where he was born. At the age of 21, she relocated to the United States to pursue an MBA at the Haas School of Business at the University of California, Berkeley, after completing her studies in computer engineering at Bharathiar University. Her remuneration of $26 million places her among the highest-paid CEOs of Indian descent in the United States.
Hindustan Times
14-05-2025
- Business
- Hindustan Times
Hotshot Silicon Valley CEO with $26 million salary still visits India regularly because…
HubSpot CEO Yamini Rangan, born and raised in South India, has now spent decades in the United States. However, Rangan still makes it a point to visit India regularly so her teenaged sons can stay in touch with their roots. The Indian-American CEO of HubSpot recently sat down for a chat with Kleiner Perkins for his Grit Podcast, where she opened up about her 'middle class' upbringing in India and her vastly different life in the US. San Francisco-based Yamini Rangan today sits at the helm of a $34 billion software company and draws a staggering salary of nearly $26 million. But her life was not always this cushy. Speaking on the Grit Podcast, the Indian-origin executive revealed that she grew up in a 350 square foot house, which she described as 'super small.' Asked if her family had money growing up, her answer was an emphatic 'Not at all.' 'Our home that we spent most of our childhood in was about 350 square feet. Now I can go back and say 'Oh, that was pretty modest' and we were squarely middle class,' she said. Rangan revealed that her father ran a small business and her mother was a homemaker - 'they did everything possible for us, and we had no desires beyond what we got, but it was a small house,' she revealed. Having spent decades in the United States, Rangan and her husband still make it a point to visit India regularly. 'Do you ever go back to India?' Perkins asked the CEO, who replied: 'Yeah, maybe once every couple of years.' Rangan said that one of the reasons she visits India is so that her three sons can acknowledge and understand their privilege. 'I now have teen boys and the only way to get them to understand where we came from and have a sense of grounding in the world is to take them back and make them experience what I experienced,' she explained. 'It's always tough because they can't relate - they've only seen everything here. And then I'm like, 'You know what, you've got it good'. They don't get what that is like unless I take them to go visit,' said Rangan. The CEO of HubSpot revealed that her family also sponsors an orphanage in the place where she grew up. 'I make them [my sons] go and spend days there, because you know it actually gives them a sense of 'Look where you are and what your responsibility is in society'. It is not just for you to make money and live in the Bay Area,' she added.
Time of India
13-05-2025
- Business
- Time of India
Why one of the world's highest-paid Indian-origin CEO 'prefers' working on Sundays
Yamini Rangan , one of the highest-paid Indian-origin CEO recently revealed her unique approach to balancing work and personal life. Rangan also shared that why she likes to work on Sundays. Tired of too many ads? go ad free now The HubSpot CEO , revealed that she found a unique way to make Sundays more productive and less scary. As reported by Fortune, in a recent episode of The Grit podcast, Rangan explained that her Sundays are dedicated to work. Instead of dreading the end of the weekend, she embraces Sundays as an opportunity to focus on deep thinking, reading, and writing, free from the usual weekday distractions. Yamini Rangan one of world's highest-paid CEO prefers to work on Sundays 'I'm not scared of Sundays. I enjoy it because it's my time,' said Rangan.' 'I get to decide what I'm learning, what I'm doing, what I'm thinking, what I'm writing. It is completely my schedule.' Rangan, who heads the $34 billion marketing software company , explained that she disconnects from work on Friday nights and Saturdays and spend time with her husband, meditating and reading. She the mentions that she resumes work on Sundays. 'Saturdays are precious to me. When I didn't take breaks, I got burned out pretty quickly,' said Rangan. This approach allows her to start the week feeling refreshed and prepared. While she works on Sundays, she makes sure not to disturb her employees' downtime, scheduling emails to be sent early Monday morning. Rangan's weekdays typically begin around 6:30 am and can extend until 11 pm, highlighting the importance of her structured weekend to prevent burnout. Tired of too many ads? go ad free now Despite working on Sundays, Rangan clarified that she does not expect her employees to respond to emails over the weekend. Instead, she schedules emails to be sent on Monday mornings, ensuring that her team maintains a healthy work-life balance . Rangan emphasised the importance of taking breaks, admitting that she burned out quickly when she didn't allow herself time to rest. 'Peak performance requires peak rest,' she noted, reinforcing the idea that structured downtime is essential for long-term success. The 48-year-old Rangan earned a disclosed compensation of $25.88 million in the fiscal year 2024, as per the Business Journal's list. She has a career spanning over 24 years in the technology industry. She studied at Bharathiar University in Coimbatore, earning a Bachelor's degree in Electronics Engineering, and did a Master's in Computer Engineering and an MBA from the University of California, Berkeley.
