C3.ai shares moved lower after it said it expects to report a wider than previously forecast loss for fiscal 2024 along with posting an earnings beat for the first quarter.
The AI company, which has seen its stock rise about 175% in the year to date, anticipates a loss from operations for the full year in the range of $70 to $100 million, above its earlier forecast of a loss between $50 to $75 million.
It continues to expect full-year fiscal 2024 revenue of $295 to $320 million.
For the first quarter which ended July 31, 2023, the company beat Wall Street expectations on the top and bottom lines.
Revenue of $72.4 million topped expectations of $71.5 million and came in on the high end of C3.ai’s guidance range of $70 to $72.5 million.
A loss per share of $0.09 was better than the expected loss per share of $0.17, according to Zacks Consensus Estimate.
The firm noted that during the quarter it entered into new and expanded agreements with NEOM, Nucor (NYSE:NUE), Roche, Riverside County, California; Pantaleon, Ball, Cargill, Con Edison, Shell, Tyson Foods (NYSE:TSN), and the U.S. Department of Defense.
“It is difficult to describe the scale of the increasing interest that we are seeing globally in enterprise AI adoption,” C3.ai CEO Thomas Siebel said in a statement.
“We are experiencing strong traction with our enterprise AI applications and especially C3 Generative AI.”
C3.ai shares were down 3.5% at US$30.40 shortly following its earnings release after the bell on Wednesday.
Contact the author at emily.jarvie@proactiveinvestors.com
Follow her on Twitter @emilyjjarvie