Q2 Holdings, Inc. (QTWO) is a leading provider of secure, cloud-based digital solutions that empower financial institutions and innovative brands to enhance customer engagement, streamline operations, and integrate financial services. The company offers a diverse range of products, including digital banking platforms, lending solutions, and Banking as a Service (BaaS) capabilities, tailored to meet the needs of retail, small business, and commercial segments. Q2's solutions are designed to be highly configurable, scalable, and secure, enabling customers to personalize their digital experiences and comply with stringent industry regulations.
- Subscription Solutions - Provides access to Q2's hosted digital banking platforms, offering a range of solutions for retail, small business, and commercial banking, with pricing based on the number of solutions purchased, end users, and usage levels.
- Transactional Services - Delivers usage-based services such as bill-pay solutions and remote deposit products, enabling financial institutions to offer seamless transaction capabilities to their customers.
- Professional Services and Other Offerings - Includes implementation services, consulting, and third-party pass-through fees, supporting customers in deploying and optimizing Q2's solutions.
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| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
Matthew P. Flake ExecutiveBoard | CEO and Chairman | None | CEO since 2011, joined QTWO in 2005 as VP of Sales. Instrumental in Q2's growth and innovation in fintech. Holds a B.A. in Business from Baylor University. | View Report → |
David J. Mehok Executive | CFO and Principal Accounting Officer | None | CFO since November 2020. Previously CFO at Epicor Software and CLEAResult. Holds a B.S. in Accounting from Villanova University and an M.B.A. in Finance from the University of Texas at Austin. | |
John E. Breeden Executive | Chief Delivery Officer | None | Chief Delivery Officer since November 2024. Joined QTWO in 2011 and held various leadership roles, including COO. Holds a B.B.A. in Finance from The University of Texas at Austin. | |
Jonathan A. Price Executive | CFO | None | CFO since November 2024. Joined QTWO in 2018 and held various leadership roles, including EVP of Strategy & Emerging Businesses. Holds an H.B.A. from the Richard Ivey School of Business. | |
Kimberly A. Rutledge Executive | Chief People Officer | None | Chief People Officer since June 2023. Joined QTWO in January 2017 as SVP, Human Resources. Holds a B.S. in Restaurant, Hotel, and Institutional Management from Texas Tech University. | |
Kirk L. Coleman Executive | President | None | President since May 2023. Joined QTWO in December 2021 as Chief Banking Officer. Former EVP at Texas Capital Bank and Partner at Accenture. Holds a B.A. in Economics from Baylor University. | |
M. Scott Kerr Executive | SVP, General Counsel, and Corporate Secretary | None | General Counsel since August 2022. Joined QTWO in 2013 as VP, Deputy General Counsel. Holds a J.D., M.P.A., and B.B.A. from The University of Texas at Austin. | |
Michael A. Volanoski Executive | Chief Revenue Officer | None | CRO since June 2021. Previously held leadership roles at Microsoft, SAP, and Experian. Holds a B.S. in Engineering Technology and Technical Management from the University of Delaware. | |
Andre L. Mintz Board | Board Member | VP, Global Security & Privacy Programs at Meta Platforms | Recently appointed board member. Extensive expertise in cybersecurity and privacy. Holds a Graduate Certificate in Cybersecurity from Harvard University. | |
James R. Offerdahl Board | Board Member | Board member at CS Disco, Rev.com, and M-Files Inc.; Advisory Board member at Cognitive Scale | Board member since 2010. Extensive experience in managing technology and software companies. | |
Jeffrey T. Diehl Board | Board Member | Managing Partner at Adams Street Partners; Board member at Paylocity | Board member since 2007. Extensive experience in private equity and board leadership. | |
Lynn Antipas Tyson Board | Board Member | Executive Director of Investor Relations at Ford Motor Company | Board member since 2021. Extensive experience in corporate finance and investor relations. Holds a B.S. in Psychology and an M.B.A. from NYU. | |
R. H. Seale, III Board | Executive Chair | President of Seale, Inc.; Board member at CBANC Network, Alegion, and Guidefitter | Founder of QTWO and former CEO (2005-2013). Will transition to Chairman Emeritus after June 2024. | |
R. Lynn Atchison Board | Board Member | Board member at Bumble, Inc. | Board member since 2017. Former CFO of Spredfast and HomeAway. Holds a B.B.A. in Accounting from Stephen F. Austin State University. | |
Stephen C. Hooley Board | Board Member | Board member at Stericycle and Brighthouse Financial | Board member since 2020. Former CEO of DST Systems. Holds a degree in Mechanical Engineering from Worcester Polytechnic Institute. |
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Given the competitive pressures in the market and the slight decrease in average selling prices due to mix—particularly in the retail segment—how do you plan to maintain pricing power and protect your margins against competitors who are willing to "buy" business?
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While you've raised your average annual subscription revenue growth target from approximately 14% to approximately 15%, what are the key risks that could prevent you from achieving this, especially considering the decline in professional services revenue and potential macroeconomic headwinds?
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With the updated expectation of approximately 360 basis points of annual adjusted EBITDA margin expansion, can you provide more details on the specific investments and cost dynamics that will drive this improvement, and how confident are you in balancing these investments with profitability targets?
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Innovation Studio has been a significant differentiator, cited in over 90% of your wins and with bookings doubling year-over-year; what risks do you foresee if competitors develop similar capabilities, and how sustainable is this advantage in driving future growth?
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Considering that 60% of your digital banking customers over $5 billion in assets are using only one of your commercial or retail solutions, what are the main barriers to cross-selling the full platform to these clients, and what strategies are you implementing to accelerate adoption?
Competitors mentioned in the company's latest 10K filing.
| Company | Description |
|---|---|
Candescent | Competes in the online, consumer and SMB banking space as a point solution competitor for the digital banking platform. |
Competes in the online, consumer and SMB banking space as a point solution competitor for the digital banking platform. | |
Backbase | Competes in the online, consumer and SMB banking space as a point solution competitor for the digital banking platform. |
Apiture | Competes in the online, consumer and SMB banking space as a point solution competitor for the digital banking platform. |
Lumin Digital | Competes in the online, consumer and SMB banking space as a point solution competitor for the digital banking platform. |
Finastra | Competes in the commercial banking space as a point solution competitor for the digital banking platform and also competes in digital lending and relationship pricing solutions. |
Bottomline Technologies | Competes in the commercial banking space as a point solution competitor for the digital banking platform. |
Competes as a core processing vendor providing systems and services, and also competes in digital lending and relationship pricing solutions. | |
Competes as a core processing vendor providing systems and services. | |
Competes as a core processing vendor providing systems and services, and also competes in digital lending and relationship pricing solutions. | |
Abrigo | Competes as a point system competitor in digital lending and relationship pricing solutions. |
Baker Hill Solutions | Competes as a point system competitor in digital lending and relationship pricing solutions. |
Competes as a point system competitor in digital lending and relationship pricing solutions. | |
Brilliance Financial Technology | Competes as a point system competitor in digital lending and relationship pricing solutions. |
Temenos AG | Competes as a point system competitor in digital lending and relationship pricing solutions. |
Galileo Financial Technologies | Competes in the BaaS and embedded finance markets with the Helix solution. |
Competes in the BaaS and embedded finance markets with the Helix solution. | |
Competes in the BaaS and embedded finance markets with the Helix solution. | |
Finxact | Competes in the cloud-core markets with the Helix solution. |
Nymbus | Competes in the cloud-core markets with the Helix solution. |
Mambu | Competes in the cloud-core markets with the Helix solution. |
Thought Machine Group | Competes in the cloud-core markets with the Helix solution. |
Notable M&A activity and strategic investments in the past 3 years.
| Company | Year | Details |
|---|---|---|
Sensibill | 2022 | Completed on October 3, 2022, this acquisition was executed via approximately $5.0M in cash and brings a digital expense management platform that uses machine learning to capture and categorize spending data, complementing Q2’s commercial offering and data portfolio. The deal is expected to generate low single-digit millions in revenue and incur a low single-digit millions adjusted EBITDA loss in 2023. |
ClickSWITCH | 2021 | Finalized on April 1, 2021, the deal was valued at roughly $65.5M (including cash and working capital adjustments) to integrate digital account switching capabilities into Q2’s solution suite, enhancing customer acquisition and onboarding processes. The transaction included significant intangible assets such as acquired technology, customer relationships, and non-compete agreements, with a recorded goodwill of $50.6M reflecting the anticipated synergies. |
Recent press releases and 8-K filings for QTWO.
- Q2 Holdings Inc. delivered strong financial results in Q2 2025, with revenue of $195,000,000 and adjusted EBITDA of $46,000,000, both exceeding the high end of their guidance. Revenue grew 13% year over year, and the adjusted EBITDA margin reached 23.5%.
- The company raised its full-year 2025 revenue guidance to a range of $783,000,000 to $788,000,000 and adjusted EBITDA guidance to $177,000,000 to $181,000,000. Full-year free cash flow conversion expectations were also lifted from 85% to 90% for both 2025 and 2026.
- Total annualized recurring revenue (ARR) grew 10% year over year to $861,000,000, driven by subscription ARR which increased 13% to $716,000,000. The ending backlog reached approximately $2,400,000,000, representing 21% year-over-year growth.
- Bookings in the quarter were highlighted by six Tier one wins and strong performance in the Tier two and three segments. The company continues to benefit from M&A activity among its customers, leading to incremental bookings.
- Q2 Metals Corp. has increased the size of its previously announced best efforts private placement to raise aggregate gross proceeds of $21,000,000.
- The offering consists of 21,000,000 common shares that qualify as "flow-through shares" at an offering price of $1.00 per share.
- The Company will use the gross proceeds to incur eligible "Canadian exploration expenses" related to its projects in Quebec, on or before December 31, 2026.
- The Agent has an option to sell up to an additional 5,000,000 shares to raise up to $5,000,000 in additional gross proceeds.
- The offering is expected to close on or about August 14, 2025.
- Q2 Metals Corp. has announced a best efforts private placement of 20,000,000 flow-through shares at $1.00 per share, aiming to raise up to $20,000,000.
- An Agent's Option could increase the total gross proceeds by an additional $5,000,000 from the sale of 5,000,000 more shares.
- The proceeds will be used for eligible "Canadian exploration expenses" related to the Company's projects in Québec, specifically "flow-through critical mineral mining expenditures," to be incurred by December 31, 2026.
- The offering is anticipated to close on or about August 14, 2025, pending regulatory approvals.
- Q2 Metals is a Canadian mineral exploration company focused on the Cisco Lithium Project in Quebec, which has an initial Exploration Target of 215 to 329 Mt at 1.0 to 1.38% Li2O.
- Q2 Metals Corp. announced an initial Exploration Target for its Cisco Lithium Project, estimating 215 to 329 million tonnes of lithium mineralization at a grade ranging from 1.0 to 1.38 % Li2O.
- This conceptual estimate is based on the first 40 holes drilled and was completed by independent firm BBA Inc..
- The Cisco Project is located in the James Bay region of Quebec, Canada, and the Mineralized Zone remains open at depth and along strike, indicating potential for significant expansion.
- The 2025 Summer Program is ongoing, with rolling assay results anticipated into Q3 2025 as the company works towards a maiden resource estimate.
- Achieved Q1 GAAP revenue of $189.7M with a 15% YoY and 4% sequential gain, and posted GAAP net income of $4.8M reversing a prior-year loss .
- Recorded adjusted EBITDA of $40.7M at a 21% margin, underscoring strong operational performance .
- Delivered record Q1 earnings with free cash flow of $37.8M, driven by robust subscription and renewal activity .
- Grew Subscription Annualized Recurring Revenue by 14% YoY from $615M to approximately $702M, demonstrating solid recurring revenue momentum .
- Secured five Tier 1 and Enterprise contracts and built a committed backlog of $2.3B, confirming sustained demand .
- Provided updated guidance with Q2 revenue expected between $191.0M and $195.0M and full-year revenue forecasted at $776.0M to $783.0M, alongside expectations of 11%-12% revenue growth and roughly 22% adjusted EBITDA margin .