A good report on revenue wasn’t enough to keep Twilio stock from taking a dive in after-hours trading. What at first glance appeared to be a positive story very quickly divulged into a financial nightmare. Shares in the cloud-communications company have fallen 27 percent in after-hours trading.
The company issued guidance indicating that revenue would fall between $356 and $362 million for the year. This is short of expectations of $370 million. For Q2 2017 earnings, Twilio also issued guidance noting that it expected between $85.5 and $87.5 million in revenue. Analysts had expected $87 million would be a baseline expectation, not a high-end target.
Outside of guidance, Twilio reported revenue of $87.4 million with a loss of 4 cents in non-GAAP earnings per share for its Q1 2017 earnings report. This overshot analyst expectations of $83.6 million in revenue by $3.8 million and nicely beat expected non-GAAP losses of six cents per share.
We will continue to analyze today’s earnings report and update this post with details from the company’s earnings call later this afternoon.
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