Blackbaud (BLKB) J.P. Morgan 54th Annual Global Technology, Media and Communications Conference summary

Business overview and market positioning

• Provides cloud software for nonprofits, foundations, K-12 schools, arts, and corporate social impact programs.

• Addresses a $10 billion total addressable market, with detailed sector penetration.

• Offers integrated fundraising, financial, ERP, and volunteering platforms, including JustGiving in Europe.

• Competes mainly with small, founder-led point solution vendors; horizontal players like Salesforce are rarely direct competitors in core markets.

• Differentiates through deep, integrated, purpose-built solutions and proprietary data enrichment.

Product innovation and AI strategy

• Embedded AI and machine learning for over a decade, with recent focus on agentic AI products.

• Launched a fully agentic fundraising agent, capable of personalized outreach and transaction closure.

• Uses proprietary data and predictive analytics to create unique, role-based workflows and industry insights.

• AI products are not yet factored into growth projections but are expected to drive future upside.

• Early customer adoption spans higher ed, hospitals, K-12, and nonprofits, with ongoing education and support.

Financial performance and outlook

• Achieved Rule of 40 for the first time, targeting Rule of 45 in coming years.

• Projects mid-single-digit organic revenue growth, high single-digit EBITDA growth, and 13%+ EPS growth.

• Cash flow reached $208 million last year, with a midpoint guide of $285 million for the current year.

• Transaction processing (donations, JustGiving, tuition) makes up over a third of revenue, growing high single digits.

• Cloud software contracts are typically three years or longer, with increasing contract duration.