Source: Protocol
Summary
Gusto, a payroll and benefits platform, has reached an annual revenue of $200 million. According to Gusto, this figure is based on actual revenue, not annual recurring revenue (ARR), which estimates future income.
Our Reading
The announcement sounds ambitious. Gusto’s revenue milestone is a notable achievement, but it’s not like we haven’t seen companies tout big revenue numbers before. $200 million is a big deal, but let’s not forget that “actual revenue” is just a fancy way of saying “we’re actually making money.” Gusto’s achievement is still a drop in the bucket compared to the likes of ADP and Paychex. And didn’t we hear about Gusto’s plans for expansion and innovation just a few months ago?
Author: Evan Null
