Okta Inc. (NASDAQ: OKTA) said Wednesday that its third quarter earnings and revenues for the fiscal year were significantly better than analysts had expected. Okta also announced on Wednesday that it has partnered with Amazon to bring its Okta Identity Cloud to the AWS (Amazon Web Services) marketplace.
Octa shares were traded about 7% higher on Wednesday in the after-hours trading. In the year to date, the share price has risen by more than 100%. If you want to invest in the stock market, you need a broker – here is a list of the most important ones to help you choose.
Octas financial results for the 3rd quarter compared to analysts’ estimates
The company reported a loss of 54.45 million pounds sterling in the third quarter, or 41.88 pence per share. In the same quarter last year, Okta reported a smaller loss of 47.49 million pounds sterling or 39.64 pence per share.
The provider of enterprise identity management systems earned £4.26 million on an adjusted basis or 2.99 pence per share in the third quarter. In terms of revenue, Okta registered £162.60 million in the final quarter compared with £114.43 million in the same period last year.
According to FactSet, experts had predicted that the company would generate revenues of £151.68 million in the third quarter. They had also estimated that Okta would incur a loss of 0.75 pence per share in the third quarter. In separate news from the US, CrowdStrike also released its quarterly update on Wednesday.
Octa’s Chief Operating Officer, Frederic Kerrest, commented on the financial results on Wednesday and said
“If you take a step back and think about the business we are in, we help companies with their digital transformations. These megatrends have been around for five years and they have undoubtedly been accelerated by COVID”.
Oktas forecast for the fourth quarter
For the fourth quarter of the financial year Okta now expects the loss per share to be in the range of 0.75 to 1.50 pence. Its estimate for fourth quarter revenues is up to 166.04 million pounds. Analysts, however, are calling for Okta’s fourth quarter revenues to be £161.70 million and a loss per share of 1.50 pence.
The San Francisco-based company appointed Mike Kourey as its next CFO on Wednesday as current CFO Bill Losch announced his resignation. Losch is scheduled to step down in March of next year.
Okta Inc. performed largely positively on the stock market last year with an annual profit of around 90%. At the time of writing this article, the company is valued at £22.06 billion.