Looks like Splunk’s gonna be okay for a while. The company involved in the analysis of large amounts of data exceeded Wall Street’s expectations. It had another good quarter, with strong financial results.
Splunk has therefore raised its expectations for the coming year. In addition, the company announced that its Chief Financial Officer, Dave Conte, will step down by 2020, provided a suitable successor is found by then.
Wind in the sails
In the third quarter of 2018, Splunk went for the wind. The company recorded sales of $481 million, 40 percent more than in the same quarter a year earlier. In addition, it is a lot more than predicted: Wall Street experts assumed $433.3 million. In addition, earnings per share were also considerably higher: 32 cents was predicted, but the actual amount was 38 cents per share.
That means Splunk keeps doing well and is a favorite on Wall Street. Since the news was announced, the value of the company’s shares has increased by 4.5 percent. The company sells analytical software to companies that can strengthen their business operations on the basis of these insights.
The next quarter will also look good for Splunk. It is expected to reach a turnover of 560 million dollars in the fourth quarter. This is more than Wall Street’s forecasts, which are based on a turnover of $556.7 million. For the year 2018, Splunk also expects to be higher than expected. Now it predicts a turnover of $1.74 billion, against a previous target of $1.685 billion.
The good news doesn’t come all the way out of nowhere. In the past quarter, Splunk was able to acquire 550 new business customers, including the American and British defence ministries.This news article was automatically translated from Dutch to give Techzine.eu a head start. All news articles after September 1, 2019 are written in native English and NOT translated. All our background stories are written in native English as well. For more information read our launch article.