Dave Iticheria, CEO of MongoDB.
Scott Millian | CNBC
Mongo DB Microsoft Corp shares jumped about 16% in extended trading Thursday after the database software maker reported healthy second-quarter earnings and raised full-year guidance.
This is what the company did in front of the LSEG consensus:
Earnings per share: 70 cents adjusted vs. 49 cents expectedRevenue: $478.1 million vs. $464.1 million
MongoDB’s revenue rose 13% year over year in the quarter ended July 31, according to a statement. Net loss for the quarter was $54.5 million, or 74 cents per share, compared with $37.6 million, or 53 cents per share, in the same quarter a year earlier.
“We believe we are very well positioned to help customers integrate generative AI into their businesses and modernize their legacy applications,” CEO Dave Iticheria said in the statement.
The company's Atlas cloud database service saw modestly better-than-expected usage, he said on a conference call with analysts.
Atlas consumption growth slowed in the first fiscal quarter as customers saw more challenging economic conditions, and usage in the second fiscal quarter suggests the climate has not changed, Etcheria said.
“We generally haven’t seen the macroeconomic environment impact our ability to win new business, and that was true in the second quarter as well,” Etcheria said. “We’ve realized that this is different from what you hear from some other software vendors.”
On Thursday, Ash Kulkarni, CEO of search software maker flexibleIttycheria said the amount of customer commitments it closed in its fiscal first quarter was below plan. The stock was down 23% after hours. During the MongoDB call, Ittycheria talked about helping companies transition away from Elastic products.
In terms of guidance, MongoDB expects adjusted earnings per share for the fiscal third quarter of 65 cents to 68 cents on revenue of $493 million to $497 million. Analysts surveyed by LSEG had expected adjusted earnings per share of 60 cents on revenue of $478.8 million.
The company’s management raised its outlook for fiscal 2025. MongoDB now expects adjusted earnings of $2.33 to $2.47 per share, on revenue of $1.92 billion to $1.93 billion. That’s up from its May guidance of $2.15 to $2.30 per share, on revenue of $1.88 billion to $1.90 billion. Analysts were expecting adjusted earnings of $2.26 per share, on revenue of $1.90 billion.
Excluding after-hours action, MongoDB shares are down about 40% over the year, while the S&P 500 has gained 17% in the same period.
