Upstart Holdings Inc (NASDAQ: UPST) stock tanked more than 40% in extended trading on disappointing guidance for the full year. Its current quarter results, however, topped Street estimates.
Notable figures in Upstart Q1 earnings report
Net income printed at $32.7 million that translates to 34 cents per share.
In Q1 last year, net income was capped at $10.1 million or 11 cents a share.
On an adjusted basis, per-share earnings stood at 61 cents in the recent quarter.
Revenue soared 156% to $310 million, as per the earnings press release.
FactSet consensus was for adjusted EPS of 53 cents on $300 million in revenue.
Fee revenue and transaction volume in the fiscal first quarter were up 170% and 174%, respectively. The stock is now down 70% from its high in late February.
Future outlook and CEO Girouard’s remarks
For Q2, Upstart now forecasts its revenue to fall between $295 million and $305 million. In comparison, analysts had anticipated $335 million. The AI lending platform also lowered its full-year guidance for revenue to $1.25 billion from the previous $1.40 billion.
Despite dovish outlook, CEO Dave Girouard remains confident that Upstart can navigate the current headwinds. In the earnings press release, he said:
Upstart delivered 7th consecutive profitable quarter and 4th with triple-digit YoY revenue growth. While this year is shaping up to be a challenging one for the economy, we are confident that we can navigate whatever 2022 and beyond might hold.
The post Upstart stock just plummeted 40%: here’s what you should know appeared first on Invezz.
