C3.ai Inc AI shares are trading lower by 15.8% to $15.15 after the company reported worse-than-expected first-quarter sales results and issued third-quarter and FY23 sales guidance below analyst estimates.
What Happened?
C3.ai reported quarterly losses of 12 cents per share. The company also reported quarterly sales of $65.30 million which missed the analyst consensus estimate of $66.02 million by 1%. This is however a 24.60% over sales of $52.41 million in the same period last year.
Meanwhile, C3.ai sees third-quarter sales as low as $60 million or as high as $62 million, which is lower than the analyst consensus estimate of $71.7 million. The company sees FY23 sales as low as $255 million or as high as $270 million, which is lower than the analyst consensus estimate of $310.58 million.
What Else?
C3.ai highlighted this is the seventh consecutive quarter in which the company has met or exceeded our revenue guidance.
“I’m pleased to announce that C3 AI is transitioning from a subscription model to a consumption-based pricing model, bringing us in line with what is becoming the standard among enterprise SaaS companies,” said CEO Thomas M. Siebel.
“We have implemented a new pricing model, a new sales model, a new partner model, and new applications to accelerate sales cycles, accelerate product adoption, increase market share, and increase revenue growth and profitability in the medium and long-term,” Siebel stated.
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According to data from Benzinga Pro, C3.ai has a 52-week high of $55.58 and a 52-week low of $13.37.
Image and article originally from www.benzinga.com. Read the original article here.