CFLT - Why Confluent Stock Plummeted 44% Today
2023-11-02 13:22:56 ET
Shares of Confluent (NASDAQ: CFLT) were down 44.3% as of 12:30 p.m. ET Thursday after light forward guidance overshadowed stronger-than-expected third-quarter results from the data software company.
Confluent's quarterly revenue grew 32% year over year to $200.2 million, translating to non-GAAP (adjusted) earnings of $0.02 per share (swinging from a loss of $0.13 per share in the same year-ago period). Analysts, on average, were expecting a breakeven quarter on revenue of $195.4 million.
Confluent co-founder and CEO Jay Kreps lauded the company's strong results despite "a volatile macroeconomic environment," adding that this quarter marked its first-ever period with positive adjusted earnings. Within Confluent's top line, subscription revenue climbed 36% year over year to $189.3 million, while Confluent Cloud revenue grew 61% to $92 million. Confluent also saw solid momentum from large customers, with a 25% increase in clients (to 1,185) with annual recurring revenue of at least $100,000.
For further details see:
Why Confluent Stock Plummeted 44% Today