C3.ai shares tumbled more than 8% after hours Wednesday after the company’s guidance failed to impress investors.
The enterprise artificial intelligence (AI) software company posted a fiscal second-quarter adjusted loss of $0.13 per share, narrower than Street expectations of an $0.18 per share loss. Revenue was $73.2 million, compared to $62.4 million a year earlier and below the analyst consensus of $74.3 million.
"We saw unprecedented interest and traction in our generative AI offerings," CEO Thomas Siebel said in a statement. "Importantly, we are seeing a return to accelerating revenue growth as we continue our transition to a consumption-based pricing model."
The consumption-based pricing model "has been met with great reception among C3 AI's prospects, customers, and partners," the company said.
However, the company guided for current-quarter revenue of $74 million to $78 million, the midpoint of which is below analyst estimates of $77.7 million. For the full year, C3.ai projects revenue of $295 million to $320 million, compared to Street expectations of $307.9 million.
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