WILMINGTON, N.C. - nCino, Inc. (NASDAQ:NCNO) reported better-than-expected third quarter results but saw its stock plunge 12.42% after issuing guidance for the upcoming quarter and full year.
The banking software provider posted adjusted earnings per share of $0.21 for the third quarter, surpassing analyst estimates of $0.16. Revenue grew 14% YoY to $138.8 million, also topping expectations of $137.34M.
"We are very pleased with our third quarter results, once again exceeding expectations for both revenues and non-GAAP operating income," said Pierre Naudé, Chairman and CEO at nCino.
However, nCino's fourth quarter guidance fell short of Wall Street projections. The company expects Q4 revenue between $139.5 million and $141.5 million. For the full fiscal year 2025, nCino forecasts revenue of $539 million to $541 million.
The disappointing outlook overshadowed nCino's solid Q3 performance. Subscription revenue, which makes up the bulk of the company's top line, increased 14% YoY to $119.9 million. Non-GAAP operating income surged 38% to $28 million.
nCino highlighted strong execution globally, with over 30 multi-solution deals closed in the quarter. The company also noted more gross bookings from new customers than the previous two quarters combined.
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