Enterprise artificial intelligence company C3.ai Inc AI’s stock is plunging after-hours Wednesday following its first-quarter earnings report.
Here are the key highlights.
What Happened: C3.ai reported first-quarter revenue of $87.2 million, up 21% year-over-year. The revenue figure beat a Street consensus estimate of $86.9 million, according to data from Benzinga Pro.
Subscription revenue was $73.5 million in the first quarter, up 20%. Subscription revenue made up 84% of the company's total revenue in the first quarter.
The company reported a loss of 5 cents per share in the first quarter, beating a Street consensus estimate of a loss of 13 cents per share.
“We had a solid start to the fiscal year, with rising demand for Enterprise AI driving our sixth consecutive quarter of accelerating revenue growth,” C3.ai CEO Thomas Siebel said.
In the first quarter, the company closed 71 deals, which included 52 pilots. The closed agreement figure was up 122% year-over-year.
The company said it expanded its geographical footprint with 25 deals closed with municipal, county and state agencies across various states.
New agreements in the quarter came from several well-known companies and organizations including Dolce & Gabbana, Ingersoll Rand, GSK, Valero, Swift, Sanofi, the U.S. Intelligence Community and the U.S. Department of Defense.
The company's federal business represented 30% of bookings in the quarter, with new and expansion agreements signed with the U.S. Navy, U.S. Marine Corps, U.S. Air Force and the U.S. Intelligence Community.
C3.ai's partner network saw 51 closed agreements in the first quarter, with partner supported bookings up 94% year-over-year. Google Cloud and C3.ai jointly closed 40 agreements under the partner network, which was up 300% year-over-year.
The company said C3 Generative AI is seeing strong customer demand thanks to a diverse mix of use cases like intelligence analysis, customer service and operator assistance. The company said it closed 17 C3 Generative AI pilots in the quarter. The C3 Generative AI for Government Programs closed a pilot with an unnamed Northeastern state in the U.S. in the quarter, the company said.
The company ended the quarter with $762.5 million in cash and cash equivalents.
What's Next: The company is guiding for second-quarter revenue in a range of $88.6 million to $93.6 million.
Full fiscal-year revenue is guided to be in a range of $370 million to $395 million.
"Our unwavering commitment to solving the most challenging problems in the enterprise has led us to what we believe are the highest levels of customer satisfaction in the industry," Siebel said.
AI Price Action: C3.ai Inc shares are down 17% to $19.16 in after-hours trading Wednesday versus a 52-week trading range of $20.23 to $38.30.
Read Next:
Photo via Shutterstock.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
