Asana Inc. reported and forecast smaller-than-expected losses on Wednesday, saying the numbers reflected a firmer path to profitability, and its shares soared in after-hours trading.
The project management software provider, whose CEO is co-founder of META by Meta Platforms Inc.,
Facebook: Forecasted first-quarter sales of $150 million to $151 million, with an adjusted net loss of between 18 cents and 19 cents per share. That’s better than FactSet forecasts for a loss of 23 cents a share on revenue of $150.4 million.
For the whole year, Asana ASAN,
It said it expects revenue of between $638 million and $648 million, with an adjusted net loss of 55 cents to 59 cents. Analysts polled by FactSet had expected a loss of 79 cents per share, on sales of $645.8 million.
The company reported a fourth-quarter net loss of $95 million, or 44 cents per share. That compares with a loss of $90 million, or 48 cents per share, in the same quarter last year. Revenue increased 34% to $150.2 million, compared to $111.9 million in the same quarter last year.
Adjusted for stock-based compensation, restructuring and other costs, Asana lost 15 cents per share, compared to 25 cents a year earlier.
Analysts polled by FactSet expected Asana to report an adjusted loss of 27 cents per share, on revenue of $145.1 million.
Shares soared 24% after hours.
The company reported gains as did other workplace-focused cloud service platforms such as Salesforce Inc. CRM,
and weekday WDAY,
reduce and lay off workers. The tech industry has tried to shrink, after hiring to meet digital demand brought on by the pandemic that later fizzled when COVID restrictions were lifted.
Asana shares have fallen 60% in the past two months. By comparison, the S&P 500 Index SPX,
it has lost 4.3% of its value during that period.