Elastic Shares Down 5% Despite Q1 Beat & Raised Guidance, Appoints New CPO
2022.08.26 01:13
Elastic Shares Down 5% Despite Q1 Beat & Raised Guidance, Appoints New CPO
By Davit Kirakosyan
Elastic N.V. (NYSE:ESTC) shares were trading more than 5% lower after-hours despite the company’s reported Q1 results, with EPS of ($0.15) coming in better than the consensus estimate of ($0.17).
Revenue grew 30% year-over-year (or 34% on a constant currency basis) to $250.1 million, beating the consensus estimate of $246.26 million. Elastic Cloud revenue grew 59% year-over-year (or 62% on a constant currency basis) to $97.7 million.
“Despite increased foreign exchange headwinds, we are executing well against our plan to achieve $2 billion in total revenue in fiscal year 2025. We remain confident in our outlook given our belief in the mission-criticality of our solutions to our customers, and our momentum in Elastic Cloud, and we are raising our constant-currency revenue growth guidance for the year,” said Ash Kulkarni, CEO of Elastic.
The company expects Q2/23 EPS to be in the range of ($0.11)-($0.09), compared to the consensus of ($0.09), and revenue in the range of $260-262 million, compared to the consensus of $260.67 million.
For the full 2023-year, the company expects EPS in the range of ($0.31)-($0.25), compared to the consensus of ($0.31), and revenue in the range of $1.08-1.086 billion, compared to the consensus of $1.08 billion.
The company also announced today the appointment of Ken Exner as chief product officer (CPO) effective August 29, 2022. Exner, who spent 16 years at Amazon Web Services (AWS), most recently served as vice president and general manager of AWS Developer Tools, where he ran a portfolio of more than 30 products.
