Pagerduty Inc (NYSE: PD) stock crashed 12.7% on December 6th, 2019 (Source: Investing.com) after the company reported a fourth-quarter expects the adjusted losses greater than the consensus estimates. The company reported a third-quarter net loss of $15.3 million compared to a net loss of $15.4 million, in the year-ago period. The company posted sustained strong growth with the enterprise and mid-market customers that have annual recurring revenue or ARR more than $100,000, which represents the growth of 49% year-over-year. The company had generated the Net cash provided by operations of $3.4 million, or 8.0% of revenue, compared to net cash provided by operations of $2.8 million, or 9.0% of revenue, in the third quarter of fiscal 2019. The company had generated the positive free cash flow of $2.3 million, or 5.3% of revenue, compared to positive $0.2 million, or 0.5% of revenue, in the third quarter of fiscal 2019. The company had generated the cash and Cash Equivalents and Investments were $346.1 million as of October 31, 2019.
PD in the third quarter of FY 19 has reported the adjusted earnings per share of 10 cents. The company had reported the adjusted revenue growth of 37 percent to $42.8 million in the third quarter of FY 19. The company has posted the Non-GAAP gross margin of 85.2% compared to Non-GAAP gross margin of 85.5% in the third quarter of fiscal 2019.
The company expected a fourth-quarter adjusted loss to be in the range of 6 cents to 7 cents a share and revenue is expected to be in the range of $44.5 million to $45.5 million. The analysts were projecting fourth-quarter adjusted losses of 5 cents a share on revenue of $43.8 million.
For fiscal 2020, the company expects total revenue to be in the range of $165 million – $166 million, representing a growth rate of 40% – 41% year-over-year and Non-GAAP net loss per share is expected to be in the range of $0.38 – $0.39, assuming approximately 65 million shares.
Meanwhile, the company has appointed Dave Justice, most recently Executive Vice President, Enterprise Sales at Salesforce, as the company’s Chief Revenue Officer. Further, the company during the quarter announced PagerDuty for Customer Service for the empowerment of front-line customer service agents to solve issues faster and deliver better experiences to their customers. Pagerduty Inc (NYSE: PD) stock recovered partly on December 9th, 2019, generating over 4.5% (as of 11:17:27; Source: Investing.com)