Shares of SPS Commerce (NASDAQ: SPSC) plummeted 18.18% in after-hours trading on Thursday following the release of the company's third-quarter earnings report. Despite beating earnings expectations, the cloud-based supply chain management solutions provider fell short on revenue and provided disappointing guidance for the fourth quarter.

For the third quarter, SPS Commerce reported revenue of $189.904 million, missing the analyst consensus estimate of $191.797 million by 0.99%. However, the company's adjusted earnings per share came in at $1.13, surpassing the expected $1.00 by 13%. The mixed results, coupled with a cautious outlook, seem to have spooked investors.

Looking ahead, SPS Commerce provided fourth-quarter revenue guidance of $192.7 million to $194.7 million, which appears to be lower than what analysts were anticipating. This conservative outlook, potentially reflecting concerns about ongoing global trade and economic uncertainty, likely contributed to the sharp sell-off. In an attempt to bolster investor confidence, the company also announced a new $100 million share repurchase program, but this was not enough to offset the negative sentiment surrounding the revenue miss and guidance.