Paymentus Holdings Inc. (PAY) experienced a significant decline of 5.61% during after-hours trading on Tuesday, following the release of its fourth-quarter and full-year 2025 financial results.

While the cloud-based bill payment company reported strong Q4 performance with non-GAAP earnings of $0.20 per diluted share, beating analyst estimates of $0.16, and revenue of $330.5 million exceeding expectations of $313.8 million, investors reacted negatively to the company's forward-looking guidance. Paymentus projected fiscal year 2026 revenue to be between $1.39 billion and $1.41 billion, which fell short of the $1.43 billion analysts had anticipated.

The guidance disappointment overshadowed the positive quarterly results, leading to the sharp decline in share price during extended trading hours. The company's Q1 2026 revenue outlook of $330-$340 million was roughly in line with analyst expectations of $334.1 million, but the full-year forecast triggered the sell-off.