Planet Labs (NYSE:PL) shares plunged more than 14% in premarket Friday after the company's guidance trailed analyst estimates.
While EPS of ($0.13) beat the consensus of ($0.15) and revenue of $52.7 million (up 31% year-over-year) was roughly in line with the consensus of $52.92M, management’s outlook disappointed investors.
Percent of recurring annual contract value (ACV) for Q1 was 93%. End of Period (EoP) customer count grew 9% year-over-year to 903 customers.
For Q2/24, the company expects revenue in the range of $53M-$55M, missing the consensus estimate of $60.7M. Non-GAAP gross margin is seen at 48%-49%
For the full year, the company expects revenue in the range of $225M-$235M, below the consensus estimate of $257M. Non-GAAP gross margin is seen at 52%-54%.
JMP analysts commented:
"Guidance for next quarter and full FY24 disappointed, attributable to an intensifying macroeconomic environment characterized by significantly lengthened deal cycles and shrinking deal sizes (whereas these metrics previously trended in the opposite direction)."
(Additional reporting by Senad Karaahmetovic)