Shares of Coupa Software Inc (NASDAQ: COUP) are down more than 10% in extended trading after the software company said it lost more money in its fiscal third quarter on a year-over-year basis.
Coupa reported $91.2 million in net loss that translates to $1.23 per share. In the same quarter last year, its loss was capped at $60.8 million or 88 cents per share. On an adjusted basis, however, the technology platform for business spend management earned 31 cents a share versus only 18 cents a share last year.
The cloud company blamed operating expenses for losing more money in the recent quarter. Coupa spent 57% more on sales and marketing that lifted its total operating expenses to $164.3 million, up significantly from $115.8 million in Q3 of 2020.
At $185.8 million, its revenue noted an annualised growth of nearly 40%. In comparison, analysts had forecast 2 cents of adjusted EPS on $177.6 million in revenue. Quarterly calculated billings were up 38% in the third quarter.
For the full year, Coupa doubled its guidance for adjusted per-share earnings to 66 cents to 69 cents, including 3 to 5 cents of adjusted EPS it’s expecting in the current quarter. The Nasdaq-listed company now forecasts a higher $717 million to $718 million in revenue this year, including up to $186 million it predicts for Q4.
In the earnings press release, CEO Rob Bernshteyn said:
We are seeing strong adoption of the Coupa platform as our customers continue to prioritise Business Spend Management as a fundamental aspect of their go-forward strategy. We continue to leverage our Value-as-a-Service approach to add strategic customers across many industries and of all sizes.
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