Nutanix Inc (NASDAQ:NTNX) shares are trading lower in Monday’s after-hours session after the company reported preliminary second-quarter results and issued third-quarter guidance.
What Happened: Nutanix reported preliminary fiscal second-quarter revenue of $486.5 million versus estimates of $464.96 million, according to Benzinga Pro.
Annual contract value billings grew 23% year-over-year and free cash flow margins climbed to record levels.
Nutanix said its results were not audited due to a discovery that certain evaluation software from one of its third-party providers was used for interoperability testing, validation and customer proofs of concept over a multi-year period. The Audit Committee commenced an investigation into this matter, which is still ongoing.
“We delivered a solid second quarter financial performance against an uncertain macro backdrop, underpinned by the strength of our subscription-based business model,” said Rajiv Ramaswami, president and CEO of Nutanix.
Nutanix expects third-quarter revenue to be between $430 million and $440 million versus estimates of $425 million. The company sees full-year 2023 revenue in a range of $1.8 billion to $1.81 billion versus estimates of $1.78 billion.
Nutanix provides native hybrid cloud capabilities for businesses. The company will hold a conference call to discuss these results at 4:30 p.m. ET.
NTNX Price Action: Nutanix has a 52-week high of $33.73 and a 52-week low of $13.44.
The stock was down 4.45% after hours at $27.49 at time of publication, according to Benzinga Pro.
Photo: Bethany Drouin from Pixabay.
