Workiva (WK) Q4 Earnings: What To Expect
financial and compliance reporting software company Workiva (NYSE:WK) will be announcing earnings results tomorrow after market hours. Here's what investors should know.
Last quarter Workiva reported revenues of $158.2 million, up 19.1% year on year, beating analyst revenue expectations by 1.6%. It was a slower quarter for the company, with underwhelming revenue guidance for the next quarter and decelerating customer growth. The company added 91 enterprise customers paying more than $100,000 annually to a total of 1,561.
Is Workiva buy or sell heading into the earnings? Read our full analysis here, it's free.
This quarter analysts are expecting Workiva's revenue to grow 14.2% year on year to $164.3 million, slowing down from the 19.1% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.21 per share.
Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company has a history of exceeding Wall St's expectations, beating revenue estimates every single time over the past two years on average by 2%.
Looking at Workiva's peers in the finance and HR software segment, some of them have already reported Q4 earnings results, giving us a hint of what we can expect. Bill.com delivered top-line growth of 22.5% year on year, beating analyst estimates by 6.8% and Paycor reported revenues up 20.1% year on year, exceeding estimates by 2.4%. Bill.com traded up 16.1% on the results, Paycor was flat on the results.
Read our full analysis of Bill.com's results here and Paycor's results here.
There has been positive sentiment among investors in the finance and HR software segment, with the stocks up on average 2.9% over the last month. Workiva is down 2.9% during the same time, and is heading into the earnings with analyst price target of $115.9, compared to share price of $93.8.
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