Shares of cloud communications software builder Twilio jumped as much as 29% after the company issued fourth-quarter results and quarterly revenue guidance that sped past expectations.
Here’s how the company did:
Earnings: Loss of 20 cents per share, vs. loss of 22 cents per share as expected by analysts, according to Refinitiv.
Revenue: $842.7 million, vs. $767.8 million as expected by analysts, according to Refinitiv.
Revenue increased 54% year over year, compared with 65% growth in the third quarter, according to a statement.
With respect to guidance, Twilio called for a first-quarter adjusted net loss of 26 cents to 22 cents per share on $855 million to $865 million in revenue, which implies almost 46% growth. Analysts polled by Refinitiv had been looking for an adjusted loss of 5 cents per share on $802.9 million in revenue for the first quarter.
A downdraft affecting cloud-software stocks in recent months reduced the value of Twilio. The stock was down 23% before Wednesday’s close, while the S&P 500 index was down about 4%.
Given current market conditions, “there may be some attractive opportunities, and we’ll be on the lookout,” Khozema Shipchandler, Twilio’s finance chief, said on a conference call with analysts.
WATCH: Twilio’s stock shouldn’t be punished for short term blip in a long term growth story, CEO says