U.S. tech earnings season is upon us.

To this point, we’ve seen IBM, Alphabet, and Microsoft beat expectations, with others nonetheless ready to report. On the entire, it’s been an thrilling spherical of earnings releases from America’s huge tech corporations, with many twists, turns, and surprises.

Though they may not get as a lot fanfare as their American counterparts, Canadian tech corporations are going to be reporting their very own earnings quickly, too. On Might 2, across the time that U.S. tech earnings season will conclude, Canada’s flurry of tech earnings will start. If the outcomes from the U.S. tech giants are any indication, it will likely be epic.

On this article, I’ll discover three Canadian tech shares which can be going to report earnings subsequent week and provides my tackle what to anticipate from their releases.

Shopify

Shopify (TSX:SHOP) is a Canadian tech firm that studies its earnings on Might 4. Its most up-to-date quarterly launch was seen as a disappointment: though income grew 26%, the working loss and web loss each obtained wider in comparison with the year-before quarter.

Within the upcoming quarter, Shopify may have the prospect to point out traders that it’s righting its course. Shopify just lately accomplished mountaineering its subscription charges, which may assist progress on the highest line. The corporate additionally did some minor price reductions, which may assist with reaching income.

Shopify has one other huge benefit going into this earnings launch: its inventory holdings. Shopify holds a big place in World-E Holdings, a inventory that gained within the first quarter. When shares rise or fall, their positive factors/losses are calculated as a part of revenue on the earnings assertion, whether or not they have been offered or not. In previous quarters, this issue labored towards Shopify, however on this quarter it should work in its favour.

Kinaxis

Kinaxis (TSX:KXS) is a Canadian tech firm that studies its earnings on Might 2. Kinaxis is finest recognized for being one in every of Canada’s synthetic intelligence (AI) leaders. It makes use of AI to assist corporations handle their provide chains. Utilizing KXS’s planning one app, companies can maintain monitor of each merchandise of their provide chain: stock, uncooked inputs, buyer buying habits, and extra. KXS makes use of AI to investigate all of this advanced info and switch it into usable knowledge.

It appears to be understanding fairly properly for Kinaxis. In its most up-to-date quarter, it delivered the next:

• $98.4 million in income, up 44%
• $8.5 million in revenue, up from a loss
• $0.30 in earnings per share (EPS), up from a loss
• $21.1 million in adjusted earnings earlier than curiosity, taxes, depreciation, and amortization (EBITDA), up 87%
• $79.4 million in full 12 months EBITDA, up 99%

Total, it was a fairly good quarter, with robust progress and respectable profitability. I’d desire KXS inventory to SHOP inventory, as a result of it scores higher on each progress and revenue.

Open Textual content

Open Textual content (TSX:OTEX) is a Canadian tech firm that studies earnings on Might 4. Like Kinaxis, it’s making huge investments in AI. OTEX will not be an amazing historic performer: it has barely any progress in income or revenue over the past 5 years.

What’s distinctive concerning the firm is that it has the chance to get into the chatbot enterprise that’s producing a lot buzz for U.S. tech corporations. OTEX is a phrase urgent and textual content analytics firm, so it has a logical entry level into that enterprise. We might hear some particulars about that within the upcoming earnings launch, so it will likely be one to look at.