© Financial Eye. Nutanix Shares Plunge 27% on Q3 EPS Miss amd Lowered Outlook Due to Increased Supply Chain Delays
By Davit Kirakosyan
Nutanix (NASDAQ:) shares dropped more than 27% after-hours following the company’s weaker-than-expected Q3 results and lower guidance. The cloud software reported EPS of ($0.41), which was well below the Street estimate of ($0.22). Revenue came in at $403.7 million, compared to the Street estimate of $397.87 million.
According to Rajiv Ramaswami, President and CEO of Nutanix, the company saw an unexpected impact late in Q3 from challenges that limited its upside during the quarter and affected its Q4 outlook. The main impact on the lower outlook was a result of increased supply chain delays with the company’s hardware partners.
For Q4/22, the company expects revenue in the range of $340-360 million, compared to the consensus of $439.44 million. For the full 2022-year, revenue is expected to be in the range of $1.535-1.555 billion, compared to the consensus estimate of $1.63 billion.
Shares of Nutanix were down 33% year-to-date into the results.