Okta stock jumped 20% in extended trading: explained here

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Okta Inc (NASDAQ: OKTA) stock jumped nearly 20% in after-hours trading on market-beating Q1 revenue. The IT service management company also raised its guidance for fiscal 2023.

Okta Q1 financial highlights

  • Lost $242.7 million in the first quarter that translates to $1.56 per share.
  • This compares to a much lower $109.2 million loss (83 cents a share) last year.
  • On an adjusted basis, per-share loss stood at 27 cents in the recent quarter.
  • Revenue jumped 65% to $414.9 million, as per the earnings press release.
  • FactSet consensus was for $62 million of loss on $389 million in sales.
  • Total cost of revenue close to doubled in the first financial quarter.  

Other notable figures include a 90% increase in totally operating expenses. The stock is still down roughly 50% for the year.

Okta outlook for fiscal 2023

For fiscal 2023, Okta expects its revenue to fall between $1.805 billion and $1.815 billion. It now forecasts a lower $1.11 to $1.14 of per-share loss this year. In the earnings press release, CEO Todd McKinnon said:

Organisations around the world have made it clear that identity is the foundation for their digital transformation projects and zero trust security environments. Okta is recognized leader in identity and we’re confident in our ability to capture more of the massive market opportunity.

The San Francisco-headquartered company concluded the quarter with $2.49 billion in cash and equivalents.

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Source: https://invezz.com/news/2022/06/02/okta-stock-jumped-20-in-extended-trading-explained-here/