The software company C3.ai saw its shares rise more than 14% in extended trading on Wednesday after reporting better-than-expected quarterly results and reducing its full-year revenue prediction range, which was still higher than Wall Street estimates.
Additionally, the business announced that Hitesh Lath will take over for Juho Parkkinen as chief financial officer as of March 1.
Lath has been the chief accounting officer of C3.ai.
According to C3.ai, Parkkinen, who has been in the position since 2021, will continue to work for the firm as vice president of finance.
According to LSEG statistics, the company now projects revenue for 2024 of between $306 million and $310 million, exceeding analysts’ projections of $306.1 million. Prior to this, C3.ai estimated between $295 and $320 million.
Companies like C3.ai are in high demand as a result of businesses searching for goods with generative artificial intelligence capabilities to optimize their operations.
Additionally, in order to enhance services in the fiercely competitive IT sector, enterprises are depending on AI-infused goods in the wake of OpenAI’s ChatGPT debut in November 2022.
Retail traders are also familiar with C3.ai, an AI-based software provider.
It anticipates sales for the fourth quarter of $82 million to $86 million, as opposed to the $84.45 million analysts had predicted.
The third quarter’s total revenue of $78.4 million exceeded the projected amount of $76.14 million. For the quarter, subscription revenue exceeded expectations by $70.4 million, coming in at $66.77 million.
In contrast to projections of a loss of 28 cents per share, the firm reported a lower net loss of 13 cents per share on an adjusted basis for the quarter that ended on January 31.
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