:max_bytes(150000):strip_icc()/GettyImages-2191601103-fb9aac80c4dd4df7b617ce5fce51e02d.jpg?w=1920&resize=1920,1267&ssl=1 "Elastic Stock Surges on Strong Earnings, Outlook Amid AI Boom | Global News Avenue")
Elastic Stock Surges on Strong Earnings, Outlook Amid AI Boom
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Key Points
- Elastic released revenue for the third quarter, an estimate of analyst demand for AI products, which is growing.
- Elastic has a good outlook for the quarter and the entire year.
- Stocks in elastic stocks have surged since the beginning of the year, up about 15%.
Elastic band (ESTC) Data analytics software provider reported higher than expected returns on strong demand for products related to it, and stocks jumped Friday AI.
The company released adjusted earnings per share (EPS) in the third quarter at 63 cents, higher than analysts’ estimates. Revenue rose about 17% year-on-year to $382.1 million, also ahead of expectations.
Elastic said the revenue came as its total subscription customers grew by about 3% to 21,300 times. Customers with annual contract value of more than $100,000 rose 15% to $1,460.
“Continuous interest from customers Generated AI “Apps and integration into one platform helps drive our performance in the quarter,” CEO Ash Kulkarni said in a press release.
The company expects current earnings per share of 36 cents to 37 cents, with revenue of $379 million to $381 million, higher than analyst consensus. Its full-year outlook is $1.91 to $1.96, with revenues of $1.474 billion to $1.476 billion, which also exceeded expectations.
Elastic stocks surged nearly 13% in Friday’s date trading, up about 15% since the beginning of the year.
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