(GeekWire File Photo / Nat Levy)

Avalara beat analyst expectations for its third fiscal quarter and said it acquired the assets of Business Licenses.

The Seattle tax automation company reported $127.9 million in revenue, up 30% year-over-year, and non-GAAP earnings per share of $0.02, up by four cents. Wall Street expected revenue of $116 million and earnings per share of -$0.09.

“We continue to see a confluence of macro trends that are tailwinds for our business, from the accelerating growth of ecommerce to broader adoption of cloud-based solutions and a growing emphasis on efficiency to the increasing need for regulatory compliance enforcement,” Avalara CEO Scott McFarlane said in a statement. “We believe that global demand for compliance automation is inevitable, and we are well positioned to capture the large opportunity in front of us.”

Avalara has 14,180 core customers, up from 13,560 customers in the second quarter and up 24% year-over-year.

The company said it paid $97 million in cash and stock to buy the operational assets of Business Licenses, a Monsey, N.Y.-based company that helps customers with business license compliance. Avalara previously worked with the company to launch Avalara Licensing in 2018. The deal helps Avalara expand its offerings “throughout the entire compliance journey,” McFarlane said.

“Business startup and growth begins with licensing and registration; it is the first step on a journey to achieve compliance,” he added.

Last month Avalara paid approximately $377 million in cash to acquire Transaction Tax Resources (TTR), a McMinnville, Ore.-based provider of various tax-related products and services.

Shares of Avalara were up 6% in after-hours trading. Avalara’s stock price has more than doubled since March. The company went public in June 2018.

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