Categories Earnings, Technology

Nutanix tanks after missing Q3 revenue estimates and providing weaker outlook

Shares of Nutanix (Nasdaq: NTNX) tanked about 15% in the extended trading hours as the company’s fiscal third quarter 2019 revenue fell short of both analysts’ and the company’s predictions. Also, Nutanix’s weaker-than-expected guidance dragged the stock towards the negative territory.

Nutanix reported adjusted loss per share of $0.56 on revenue of $287.6 million. Wall Street expected the cloud services provider to report adjusted loss of $0.60 per share on revenue of $297.22 million. Nutanix stock was down 3.03% at $32.67 when the market closed today.

Nutanix (NTNX) Q3 2019 earnings infograph

On a GAAP basis, Nutanix reported a net loss of $209.8 million or $1.15 per share compared to a GAAP net loss of $85.7 million or $0.51 in the third quarter of fiscal 2018. Billings dropped to $346 million from $351.2 million in the prior year quarter.

For the fourth quarter of fiscal 2019, Nutanix expects revenue between $280 million and $310 million, billings between $350 million and $380 million and non-GAAP net loss per share of approximately $0.65.

“While we faced a top-line impact in our third quarter as we continue to execute our strategic shift toward a recurring revenue business model, our strong foundation and commitment to our customers position us well for the long term,” said CEO Dheeraj Pandey.

Also read: Workday tops Q1 earnings and revenue targets

Nutanix ended the third quarter with 13,190 end-customers. The San Jose, California-based firm signed a deal worth nearly $6 million with a new customer, which is one of the global Big Four accounting firms. This deal represents the largest subscription deal in Nutanix’s history with a new customer.

Last month, Nutanix and Hewlett Packard Enterprise (HPE) announced a partnership to deliver an integrated hybrid cloud as a Service (aaS) solution to the market. As part of the agreement, Nutanix will enable its channel partners to directly sell HPE servers combined with Nutanix’s Enterprise Cloud OS software.

Shares of Nutanix, which plunged to a new yearly low ($30.89) yesterday, had lost 24% of its value in the last one month and 34% in the past hree months.

Follow our Google News edition to get the latest stock market, earnings and financial news at your fingertips

Most Popular

Earnings Preview: Fastenal Company likely to report higher Q2 sales and profit

Fastenal Company (NASDAQ: FAST), a leading provider of industrial and construction supplies, is set to publish its second-quarter results next week. The company is among the hardest hit by the

What to look for when Netflix (NFLX) reports its Q2 2025 earnings results

Shares of Netflix, Inc. (NASDAQ: NFLX) stayed red on Monday. The stock has gained 50% over the past three months. The streaming giant is scheduled to report its earnings results

Coinbase shines on stablecoin boom, S&P 500 debut. Will the rally continue?

Coinbase Global, Inc. (NASDAQ: COIN) has emerged as the largest and most user-friendly cryptocurrency exchange in the US, since going public a few years ago. It has played a pivotal

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top