Oracle stock falls after report reveals thin margins in AI cloud business
MOUNTAIN VIEW, Calif. - Confluent , Inc. (NASDAQ:CFLT) saw its shares soar 15% in after-hours trading on Tuesday after the data streaming platform provider reported fourth-quarter results that exceeded analyst expectations and issued an upbeat forecast for 2025.
The company posted adjusted earnings per share of $0.09 for Q4, surpassing the consensus estimate of $0.06. Revenue came in at $261.2 million, beating Wall Street’s projection of $256.86 million and representing a 23% year-over-year increase.
Confluent’s cloud revenue was a particular bright spot, growing 38% YoY to $138 million in the fourth quarter. The company ended 2024 with 1,381 customers contributing $100,000 or more in annual recurring revenue, up 12% from the previous year.
"Our momentum reflects the increasing importance of a complete data streaming platform to power mission-critical and real-time AI applications," said Jay Kreps, co-founder and CEO of Confluent.
Looking ahead, Confluent provided strong guidance for the first quarter and full year 2025. The company expects Q1 EPS between $0.06 and $0.07, in line with analyst estimates. For fiscal 2025, Confluent projects EPS of $0.35, matching the consensus forecast.
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