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Monday.com stock slumps despite better-than-expected FQ4 report

Published 12/02/2024, 12:40
© Netanel Tobias, monday.com PR
MNDY
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Shares of Monday .com (MNDY (NASDAQ:MNDY)) tumbled around 9% in premarket trading Monday after the project management software provider reported FQ4 and FY2023 financial results.

The company posted an earnings per share (EPS) of $0.44, surpassing the consensus estimate of $0.32. Revenue came in at $202.6 million, also above the expected $197.95 million.

Moreover, Monday.com reported a significant increase in its cash and cash equivalents, totaling $1.12 billion, a 26% rise year-over-year.

Customer growth was also notable, with a 56% YoY increase, generating over $50k in annual recurring revenue (ARR).

The non-GAAP operating margin improved dramatically to 8%, marking a record annual figure, compared to a negative 9% in the previous fiscal year.

Looking ahead, monday.com projects its Q1 2024 revenue to be between $207 million and $211 million, compared to a consensus estimate of $208.8 million.

For the full year 2024, the company anticipates revenues to be in the range of $926 million to $932 million, aligning closely with the consensus forecast of $927.5 million.

“We concluded 2023 with strong Q4 results, demonstrating our ability to drive sustainable growth and profitability while continuing to scale,” said Eliran Glazer, Monday.com’s CFO.

“While economic and geopolitical challenges remain, we are highly confident in our ability to carry this momentum into FY24 and beyond, as we continue to focus on driving top-line growth and building market share.”

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