GitLab (GTLB) result Q4 2023

GitLab Shares plunged as much as 38% in extended trading after the source control software maker issued full-year sales guidance that fell short of expectations.

Here’s how the company did it:

• Merits: Loss of 3 cents per share on an adjusted basis versus loss of 14 cents per share as expected by analysts, according to Refinitiv.
• Revenue: $122.9 million versus $119.6 million expected by analysts, according to Refinitiv.

Revenue for the quarter ended Jan. 31 grew 58% year over year, according to a opinion.

GitLab was claiming an adjusted loss of 14 to 15 cents per share on revenue of $117 to $118 million for the first quarter. Analysts polled by Refinitiv had expected an adjusted loss of 16 cents a share on revenue of $126.2 million.

For fiscal 2024, the company expects an adjusted loss of 24 to 29 cents a share on revenue of $529 to $533 million. That’s a 25% growth in the mid-range. The consensus among analysts polled by Refinitiv was an adjusted loss of 54 cents per share and $586.4 million in revenue.

During the quarter, Gitlab announced that its premium service tier will increase from $19 to $29 per month in April. GitLab said last month it would cut 130 employees, or about 7% of its workforce.

The company’s shares debuted on the Nasdaq in 2021, when sales growth was 69%. Over the past year, the stock has fallen 48% as investors fled loss-making tech companies. Before the after-hours decline, the stock was down almost 2% in 2023.

REGARD: We’re very happy with our hiring ability and the people we’ve been able to hire, says GitLab’s CEO