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Slack Technologies News: WORK Stock Slides 15% on Disappointing Billings

Slack Technologies (NYSE:WORK) news for Wednesday concerning its earnings report for the second quarter of fiscal 2021 have WORK stock falling.

A Slack (WORK) sign on the company's headquarters in San Francisco, California.
Source: Sundry Photography / Shutterstock.com

Slack Technologies released its earnings report for Q2 fiscal 2021 after markets closed on Tuesday. Included in that earnings report was its quarterly billings of $218.2 million. While that’s a 25% increase year-over-year, it wasn’t able to reach Wall Street’s estimate of $232.9 million.

Here are some additional highlights from the most recent Slack Technologies earnings report.

  • Flat adjusted earnings per share are better than Wall Street’s adjusted losses per share estimate of 3 cents.
  • It also comes in higher than adjusted losses per share of 14 cents from the same period of the year prior.
  • Revenue of $215.86 million beat out analysts’ estimates of $209.1 million for the period.
  • The company’s revenue was also up 49% from $144.97 million during the same time last year.
  • Operating loss of $68.63 million is a 81.1% improvement YoY from $363.65 million.
  • Net loss of $73.15 million is 79.7% better from $359.62 million in the second quarter of the previous year.

Allen Shim, CFO of Slack Technologies, said this about the results.

“In a volatile macro environment, we remain focused on investing for long-term growth and driving innovation in this category. Our largest customers are standardizing their work on Slack, and we ended the quarter with 87 Paid Customers spending over $1 million annually, up 78% year-over-year.”

Slack Technologies also includes its guidance for fiscal 2020 in its earnings report. It expects adjusted per-share losses between 14 cents and 13 cents on revenue of $870 million to $876 million. Wall Street’s estimates are for adjusted losses per share of 16 cents on revenue of $872.34 million.

WORK stock was down 15.2% as of Wednesday afternoon.

On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.

Article printed from InvestorPlace Media, https://investorplace.com/2020/09/slack-technologies-news-hits-work-stock/.

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