In the latest quarterly report, PagerDuty Inc., a leading cloud-computing company, has impressed analysts by surpassing both revenue and earnings estimates. The company's stock saw a slight increase in after-hours trading on the back of this positive news.
Building Momentum in the Enterprise Market
PagerDuty's Chief Financial Officer, Howard Wilson, expressed his satisfaction with the company's performance: "We continued to build on our momentum in the enterprise market. We helped companies manage critical work and the way they operate."
In the fiscal second quarter, PagerDuty reported a net loss of $22.6 million, or 26 cents a share, an improvement from the net loss of $38.6 million, or 44 cents a share, in the same period last year. Adjusted earnings were at 19 cents per share.
The company experienced solid revenue growth, with a 19% increase to $107.6 million, compared to $90.25 million in the previous year.
Beating Analysts' Expectations
Analysts surveyed by FactSet had predicted an average net income of 11 cents per share on revenue of $104.5 million. PagerDuty's performance exceeded these estimates, showcasing its ability to outperform market expectations.
PagerDuty has provided guidance for its fiscal third quarter, projecting a revenue range of $106.5 million to $108.5 million. Analysts polled by FactSet anticipate revenue of $107.3 million for the same period.
While PagerDuty's stock has experienced a 3% decline this year, it is important to note that the broader S&P 500 index has increased by 17%. This demonstrates PagerDuty's resilience in the face of challenging market conditions, as well as the potential for future growth and success.