Stock in
Bill Holdings
dropped after the financial platform for small and midsize businesses gave a disappointing forecast for its quarterly revenue.
For the September quarter,
Bill
(ticker: BILL) reported adjusted earnings per share of 54 cents, compared with the consensus call of 50 cents among analysts tracked by
FactSet.
Revenue came in at $305 million, which was above analysts’ expectations of $299 million.
But in after-hours trading following the results Thursday, Bill shares fell 39% to $54.44.
What hit the stock was the guidance. The company expects revenue for its December quarter to come in between $293 million and $303 million, with EPS of 35 cents to 44 cents. Wall Street had estimated revenue of $319 million and EPS of 48 cents.
Bill CFO John Rettig called the current economic environment “challenging” in a news release disclosing the results.
Bill’s platform helps companies to more efficiently manage their finances, pay bills, and get paid more quickly.
Write to Tae Kim at tae.kim@barrons.com
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