What's Going On With Okta Shares After Hours?

Okta Inc OKTA shares are moving lower in extended trading Wednesday despite strong first-quarter results.

What Happened: Okta's adjusted first-quarter earnings per share of 22 cents topped consensus estimates of 13 cents. Its revenue also exceeded expectations, with the company reporting $518 million against analyst forecasts of $510.51 million.

"We started the new fiscal year with strong non-GAAP operating profit and record cash flow, which is a testament to the actions we've taken to increase efficiency and profitability," said Todd McKinnon, co-founder and CEO of Okta. 

Looking ahead, Okta anticipates second-quarter revenue to come in between $533 million and $535 million versus estimates of $527.87 million. It also expects earnings to be in the range of 21 to 22 cents per share versus the consensus of 17 cents per share.

Okta raised its total revenue guidance for fiscal year 2024. The company now expects revenue to be between $2.175 billion and $2.185 billion (versus the consensus of $2.17 billion), up from its previous forecast of $2.155 billion to $2.17 billion.

The company has also increased its earnings outlook for full-year 2024, now anticipating earnings in the range of 88 to 93 cents per share (versus the consensus of 78 cents per share), up from its previous guidance of 74 to 79 cents per share.

"While macroeconomic pressures are increasing, we are well positioned to advance our leadership position by delivering valuable product innovation to our customers while delivering non-GAAP profitable growth to our shareholders," McKinnon said.

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OKTA Price Action: Okta shares were down 13.4% after hours at $78.75 at the time of writing, per Benzinga Pro.

Photo: methodshop from Pixabay.