Okta Inc (NASDAQ:OKTA) shares shot higher after the identity company blew past expectations in fiscal 3Q and upped its guidance for the subsequent quarter.
Shares soared over 21% at Thursday’s open to trade around US$64.79.
Total revenue was $481 million versus consensus estimates of a little over $465 million, representing an increase of 37% year-over-year. Subscription revenue was $466 million, an increase of 38% year-over-year.
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Meanwhile, the company’s fourth-quarter adjusted earnings (EBITDA) guidance of nearly $0.11 a share far surpassed analysts' estimates for a loss of $0.11 per share.
For full-year 2023, the company is setting its guidance at $0.26 and up to $1.838 billion in revenue.
CEO Todd McKinnon told shareholders that the company remains focused on go-to-market execution, spend efficiency measures, and increasing profitability in “an evolving macro environment.”
"With our Workforce Identity and Customer Identity Clouds, the market’s leading identity cloud platforms, we are delivering the innovation and simplicity our customers need to solve their complex identity challenges,” McKinnon said in a statement accompanying its 3Q earnings.
San Francisco, California-based Okta is an identity and access management company that provides cloud software to help companies manage and secure user authentication into applications, and for developers to build identity controls into applications, website web services and devices.
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