Benzinga | May 5, 2021 03:53PM EDT

Blucora Stock Is Trading Higher On Q1 Earnings Beat, Better Than Expected Q2 Guidance

* Blucora Inc (NASDAQ: BCOR) reported first-quarter FY21 revenue growth of 6% year-on-year to $278.4 million, missing the analyst consensus of $279.56 million.

* Wealth Management revenue rose 7% Y/Y to $154.5 million, while Tax Software revenue rose 5% to $123.9 million.

* Total client assets rose 39% to $84.8 billion, with $36.8 billion in advisory assets. Advisory assets rose 56%, including the addition of $5 billion in Avantax Planning Partners (APP) assets.

* Adjusted EBITDA rose 21% to $64.6 million.

* Adjusted net income rose 17% to $51 million with adjusted EPS of $1.04, beating the analyst consensus of $0.96.

* The company held $191.8 million in cash and equivalents and generated $53.7 million in operating cash flow.

* Guidance: Q2 revenue guidance lies between $238 million to $249 million, above the analyst consensus of $208.01 million.

* Blucora sees Wealth Management Revenue of $155.5 million to $161.5 million, TaxAct Revenue of $82.5 million to $87.5 million, and adjusted EPS of $0.94 to $1.11, above the analyst consensus of $0.61.

* CEO Chris Walters continued to see growth in total client assets and advisory assets, setting the company up for a strong year.

* Price action: BCOR shares traded higher by 5.44% at $15.30 on the last check Wednesday.