NEW YORK - Workiva Inc . (NYSE:WK), a leader in cloud-based reporting solutions, delivered a solid performance in the fourth quarter of 2023, surpassing analyst expectations for earnings per share (EPS) and revenue.
The company reported an adjusted EPS of $0.33, which was $0.11 higher than the consensus estimate of $0.22. Revenue also exceeded forecasts, coming in at $167 million against an anticipated $164.71 million.
Despite these positive results, Workiva's stock fell approximately 3% following the release of its financial outlook for the full year 2024, which was below analyst projections.
The company's guidance for adjusted EPS is set between $0.56 and $0.63, while analysts had expected a higher EPS of $0.80. Furthermore, Workiva's revenue forecast for 2024 is projected to be between $718 million and $722 million, short of the consensus estimate of $731 million.
Workiva's CEO Julie Iskow highlighted the company's robust fourth quarter and full-year performance, attributing it to the durability of the business and increasing market adoption of their integrated reporting platform. CFO Jill Klindt also noted the company's record operating cash flow of $71 million for 2023, marking the strongest cash-flow performance in Workiva's history.
For the fourth quarter, the 18% year-over-year (YoY) growth in subscription revenues, which totaled $149 million, and the 16% YoY growth in total revenues demonstrate the company's expanding customer base and product adoption. The company also reported a 32% YoY growth in customers with an annual contract value over $300K, reflecting the increasing value clients are finding in Workiva's offerings.
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