Israeli cybersecurity company SentinelOne (NYSE: S) saw its share price tumble on Friday after reporting its first quarter results of fiscal year 2024 and revising its forecast downwards for the second quarter of fiscal year 2024. The company's share price fell 35.14% to $13.44, giving a market cap of $3.925 billion.
SentinelOne reported revenue of $133.4 million in the first quarter, up 70% from the first quarter of fiscal year 2023. The company reported a GAAP net loss of $106.9 million, $0.37 per share and a non-GAAP net loss of $0.15, compared with $0.21 in the corresponding quarter of last year. The analysts' consensus was $0.16.
SentinelOne cofounder and CEO Tomer Weingarten said, "Macro challenges remained, yet we continued to deliver high growth and margin improvement, demonstrating key strengths across our business. Once again we're leading the industry with the innovation in AI with our recently launched Purple AI: a one-of-a-kind innovation in cybersecurity that empowers enterprises with unparalleled capabilities to offer a real-time, autonomous response against cyber threats. We are adapting, and optimizing to empower enterprises with the best security resources and drive progress toward profitability."
In the second quarter, SentinelOne cut the revenue forecast to $141 million, while the analysts' consensus was $152.1 million, For the year, the company expects revenue of $590-$600 million, down from its previous forecast of $631-640 million.
The company also confirmed it is introducing cost cutting measures, including laying off 5% of its workforce of 2,100.
SentinelOne held its Wall Street IPO in June 2021 for $35 per share at a company valuation of $9 billion. By November 2021, the share price had more than doubled to $76.3 but has since lost 80% of its value.\
Published by Globes, Israel business news - en.globes.co.il - on June 4, 2023.
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