Clearwater Analytics Reports Record Q4 Growth, Targets 20% Revenue Increase by 2025

Clearwater Analytics reported impressive financial results for Q4 2024, achieving a record revenue of $126.5 million, which is a 28% increase year-over-year, and surpassing analysts' expectations. The company's net income was notably inflated to $420.3 million due to a one-time income tax benefit. Clearwater's annualized recurring revenue (ARR) also rose to $474.9 million, reflecting a strong demand for its SaaS-based investment management solutions. The firm has expanded its client base to 1,462, including 100 clients each contributing over $1 million in ARR. Additionally, Clearwater announced the acquisition of Enfusion, Inc. for $1.5 billion, which is expected to enhance its capabilities and market reach. Analysts are optimistic about the company's potential for over 20% revenue growth in 2025, driven by strategic initiatives and innovations in Generative AI.