MongoDB Earnings Beat Expectations. the Stock is Dropping Anyway.

Dow Jones
7 hours ago

MongoDB reported strong second-quarter earnings results Tuesday and raised its fiscal year guidance, but the document database company's stock fell in after-hours trading.

Revenue grew 30% from the prior year to $771.8 million, topping analysts' calls for $735 million, according to FactSet. The company posted adjusted earnings of $1.90 a share for its fiscal second quarter ended July 31, beating forecasts for $1.62 a share.

Shares dropped 13% to $391.11 in after hours trading. The stock declined 4.2% to $434.21 in regular trading as tech stocks got caught up in a broader selloff.

"We delivered strong second quarter results, highlighted by 30% year-over-year revenue growth-the highest level of growth in several years-and continued strong profitability," CEO CJ Desai said in the earnings release.

The company now expects revenue for the fiscal year ending Jan. 31 to range from $2.99 billion to $3.03 billion, and projects earnings of $6.39 a share to $6.58 a share. That's up from previous company profit forecasts of $5.95 a share to $6.14 a share, with revenue of $2.92 billion and $2.96 billion.

 

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