Monday.com (NASDAQ:MNDY) shares tumbled almost 27% despite the productivity software-maker’s second quarter earnings beating expectations as it issued somewhat cautious guidance for Q3.
The company's Q3 revenue guidance of about $311 to $313 million was slightly below analyst expectations at the midpoint.
The operating margin for Q3 is expected to decrease to 11% 12% from 15% in Q2.
Revenue jumped 27% year-over-year in Q2 to $299 million, ahead of Wall Street estimates of $293.7 million.
Earnings per share of $1.09 topped estimates of $0.86.
For the full year 2025, Monday.com raised its revenue guidance to $1.224 billion to $1.229 billion, slightly above Wall Street consensus of $1.22 billion.
“This quarter demonstrated our relentless focus on driving highly efficient growth at scale, and I’m energized by the momentum in our business and the opportunities we see ahead,” Monday.com CFO Eliran Glazer said in a statement.
Shares of Monday.com fell 26.9% at $181 following its earnings report.