Overview
Data streaming firm's Q4 revenue rose 21%, beating analyst expectations
Adjusted EPS for Q4 beat analyst expectations
Company announced pending merger with IBM for $31 per share
Outlook
Confluent will not provide financial guidance due to pending IBM acquisition
Result Drivers
CLOUD REVENUE GROWTH - Confluent Cloud revenue increased 23% year-over-year, driving overall subscription revenue growth
AI PRODUCT ADVANCEMENTS - CEO Jay Kreps cited AI product advancements as strengthening category leadership
CUSTOMER GROWTH - Number of customers with $100,000 or greater in ARR increased 10% year-over-year
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 Revenue | Beat | $314.80 mln | $308.06 mln (29 Analysts) |
Q4 Adjusted EPS | Beat | $0.12 | $0.10 (28 Analysts) |
Q4 EPS | -$0.23 | ||
Q4 Adjusted Operating income | Beat | $27.60 mln | $22.40 mln (28 Analysts) |
Q4 Adjusted Operating Margin | 8.80% |
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 26 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the software peer group is "buy."
Wall Street's median 12-month price target for Confluent Inc is $31.00, about 1.3% above its February 10 closing price of $30.59
The stock recently traded at 63 times the next 12-month earnings vs. a P/E of 50 three months ago
Press Release: ID:nBw2F49BXa
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)