Nutanix yesterday announced its turnover for the past quarter. The company also provided an outlook for the coming quarter. This was lower than what analysts had expected, causing the company’s market capitalisation to fall by a quarter.
The company yesterday released its second quarter sales figures and also published a forecast for the third quarter. While the second quarter was slightly better than expected, the opposite is true for the coming third quarter.
The figures
Nutanix recorded a loss of 23 US cents (20 euro cents) in the second quarter, compared to a forecasted 25 US cents (22 euro cents). This was not as bad as expected and it is striking that the company was also able to record a higher turnover than expected. Quarterly sales amounted to USD 335 million (EUR 294.7 million) compared with a forecasted USD 331 million (EUR 291.3 million).
Although this calls for some confidence, this was not the case for investors when it comes to forecast sales in the third quarter. Nutanix expects to book between $ 290 million and $ 300 million (255.2 million euros to 263.9 million euros). Even in the most optimistic scenario, this is less than the 348 million dollars (306.1 million euros) that analysts are counting on.
Nutanix CFO Duston Williams states in a statement that this fall in turnover is due to a fall in expenditure on the market. This is noticeable across the board for the company and this is immediately reflected in the turnover. According to Williams, there has been an extensive and critical look at weakly performing parts and Nutanix is taking steps to do something about it. Nevertheless, these figures were a reason for shareholders to put their shares up for sale, resulting in a 25 percent decline in Nutanix’s market capitalisation.
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.