AI startup UiPath posted positive results for its first quarter of fiscal 2024 but a disappointing outlook, which sent its shares plummeting.
UiPath's revenue for the quarter reached $289.6 million, marking an 18% year-over-year increase, while its annual recurring revenue (ARR) grew by 28% to $1.249 billion.
But its revenue forecasts were weaker: for fiscal 2Q, UiPath is forecasting revenue in the range of $279 million to $284 million, while for the full 2024 year, the company is expecting revenue around $1.27 billion.
As a result, shares of UiPath tumbled 16.7% on Thursday morning. Shares of the enterprise automation software company have lost nearly 20% in value over the past year.
UiPath specializes in robotic process automation (RPA). RPA involves using software robots, also known as bots, to automate repetitive tasks and processes in organizations, such as data entry, invoice processing, and report generation. UiPath provides a platform that enables businesses to design, deploy, and manage these software robots to streamline operations, increase efficiency, and reduce human error.
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