Nutanix Hits Skids After Losses Jump In First Post-IPO Earnings Report

By Markets MarketWatch Pulse

Nutanix Inc. [s:ntnx], which enjoyed the largest first-day gains of any 2016 initial public offering when it joined Wall Street in September, lurched lower in late trading Tuesday after its first earnings report as a public company. The enterprise-tech company, which focuses on hybrid-cloud architecture, reported a net loss of $162.2 million, or $2.18 a share, on sales of $166.8 million. That loss was much greater than the same quarter a year ago, when Nutanix reported a loss of 90 cents a share, and the 76 cents a share expected on average by analysts, according to FactSet. Nutanix's sales did beat the FactSet consensus of $152.3 million, however, as did adjusted profit. After adjusting for more than $90 million in stock-based compensation and other factors, Nutanix claimed a loss of 37 cents a share, while analysts on average expected a non-GAAP loss of 44 cents a share. The company also reported billings, which reflects contracts for future business, of $239.8 million, beating average analyst expectations of $212.8 million, according to FactSet. Shares immediately fell more than 7% after the numbers were released, but bounced back to a loss of about 4%.

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