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Friends & Family Capital is pleased to share the Q4 2024 edition of “Seven Weeks in Seven Minutes.”

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This resource is a summary of condensed and actionable insights on what you need to know from the last seven weeks of earnings announcements.

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It is intended for our Founders, CFOs, and friends in the community.

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See below for the overview slides from the quarter. The full presentation is available for download here.

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We welcome your feedback to help shape the relevance for your business in future quarters.

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‍Key theme for the quarter: “An Unknown Environment”

• DeepSeek's advance sparked dialogue on model commoditization and the path of LLMs

• Economic caution revived halfway through the earnings period due to changes in federal policies

• Many companies realized net revenue retention expansion in the quarterly earnings period

• AI capabilities may not be a new product SKU, but rather incorporated as part of the primary offering

• 39% of companies both beat estimates and had analysts raise estimates on revenue and EPS

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Our public company universe includes 46 companies. We selected these businesses as leading business-to-business software companies plus the technology stalwarts. The customers served by these companies are also relevant for the Founders we help as they build companies in the private markets.

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Market price moved up or down by 10% or more across several companies following their earnings.

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Below are the top ten movers and bottom ten movers in the Q4 earnings season based on one-day share price reaction following their earnings announcement.

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A timeless question of "Is it me? Or the market?" can be addressed through the commentary companies offer about their customers and go-to-market motion. We offer a few quotes below to help benchmark what you hear from account executives on your sales team.

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The announcement of DeepSeek’s advance created a new level of discussion on the path and defensibility of LLMs. Many companies across our coverage universe directly discussed DeepSeek and industry changes on their earnings call.

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The Q4 2024 earnings season began with optimism around macroeconomic stability. Dialogue then quickly turned cautious with the advent of new federal policies on trade, which shifted sentiment negative in the back-half of the earnings season.

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The full presentation is available for download here.