Investing.com -- RingCentral Inc (NYSE:RNG) shares were falling after third quarter profit guidance that was lower than expected.
The company reported adjusted earnings per share for the second quarter of 83 cents and revenue of $539.3 million. Analysts expected the company to report adjusted earnings per share of 75 cents on revenue of $536.2M.
For the third quarter, the company sees earnings per share in a range of 75 cents to 78 cents, versus analyst expectations for 82 cents. Third quarter revenue is seen coming in around $552M to $556M, about inline with expectations for $553.7M.
Shares are down 10.8% in after-hours trading. The stock is up 10% so far this year.
RingCentral sees full year 2023 adjusted earnings per share of $3.11 to $3.25, also inline with expectations. Full year revenue is expected in a range of $2.18 billion to $2.2 billion.
RingCentral named Tarek Robbiati as its new CEO. He has been a member of the RingCentral Board of Directors since December 2022 and CFO of Hewlett Packard Enterprise (NYSE:HPE). He will succeed Vlad Shmunis as CEO, effective August 28, 2023. Shmunis remains as executive chairman.
Shmunis said, “When I founded RingCentral two decades ago, we were a tiny, unfunded startup with an ambitious mission to improve how businesses around the world communicate internally and with their customers. From those humble beginnings, we have become a recognized leader in our space and one of the largest pure-play SaaS companies in the world. My plan is to stay engaged in the Company, while dedicating most of my time to innovation, product development and long-term strategy. I am excited for the road ahead.”