Investors drove Confluent (NASDAQ: CFLT) stock higher today after the data-streaming platform company reported second-quarter results that outpaced Wall Street’s consensus estimates. The tech stock was up by 11.5% as of 3:51 p.m. ET.
Confluent’s sales increased 58% from the year-ago quarter to $139 million, blowing past analysts’ average estimate of $131.8 million for the quarter. The company’s non-GAAP loss per share of $0.16 was also an improvement over a loss of $0.31 in the year-ago quarter and ahead of Wall Street’s consensus estimate of a loss of $0.19.
Other highlights from the quarter include Confluent’s cloud revenue jumping 139% to $47 million and the number of customers with $100,000 or greater in annual recurring revenue increasing 39% to 857.
“Our strong Q2, highlighted by 139% year-over-year Confluent Cloud revenue growth and exceeding our guidance on all metrics, underscores our leadership of this market and the critical business value we deliver to our customers,” Confluent co-founder and CEO Jay Kreps said in a press release.
The company issued guidance for the third quarter, with management expecting revenue in the range between $143 million to $145 million — a 40% increase from the year-ago quarter at the midpoint. Management is also expecting Confluent’s third-quarter loss per share to be $0.18, at the midpoint of guidance, which would be slightly higher than the company’s loss of $0.17 in the quarter of 2021.
With the market still volatile right now, tech investors are keeping an even closer eye on financial statements than they usually do. And it’s clear from the company’s share-price pop today that they liked what they saw from Confluent’s latest report.