NEW YORK - Customer engagement platform provider Braze , Inc. (NASDAQ:BRZE) reported better-than-expected third quarter results and raised its full-year outlook, but saw its stock price plummet 14% in after-hours trading on Monday.
The company posted adjusted earnings per share of $0.02, beating analyst estimates of a $0.01 loss per share. Revenue grew 22.7% YoY to $152.1 million, surpassing the consensus forecast of $148.14 million.
"We continued to execute in the third quarter, delivering strong revenue growth and operating leverage," said Bill Magnuson, Cofounder and CEO of Braze.
For the fourth quarter, Braze expects revenue between $155-156 million and adjusted EPS of $0.05-$0.06, both ahead of Wall Street projections. The company also raised its full-year fiscal 2025 guidance, now seeing revenue of $588-589 million and adjusted EPS of $0.10-$0.11.
The company added 200 new customers YoY to reach 2,211 total. However, dollar-based net retention for all customers declined to 113% from 118% a year ago.
Braze ended the quarter with $493.1 million in cash and marketable securities. The company's non-GAAP operating loss narrowed to $2.2 million from $8.9 million in the prior year period.
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