Today following the bell, Zendesk reported its third quarter financial performance, including revenue of $55.7 million, and adjusted earnings per share of negative 0.05.
Investors had expected the company to lose $0.09 per share off revenue of $52.24 million. Up around a point in regular trading, Zendesk is north more than 12 percent in after-hours trading following its earnings beat.
Previously, Zendesk had guided investors to expect between $51 million and $53 million in third-quarter top-line. The company’s recorded tally represents a 64 percent increase over its year-ago results. That is the sort of growth that investors tend to cheer.
Zendesk lost money in the quarter. Using normal accounting techniques, the company lost $18.8 million, or $0.22 per share. Its adjusted loss, noted above in per-share terms, worked out to a $4.1 million deficit. Less, but still material.
The company provided guidance for its fourth quarter:
Analysts had expected the company to tot up around $57.45 million in fourth quarter revenue. As such, Zendesk is their delight.
Summing, Zendesk not only spanked its third quarter expectations — internal and external alike — but also set guidance for the last financial period of the calendar year ahead of what analysts expected. Investors did it a solid by doing the following to its shares:
Or, to use, ahem non-GAAP terminology, here’s Zendesk looking back at trailing estimates: