(Reuters) – Software company C3.ai on Wednesday reported better-than-expected quarterly results and reduced the range of its full-year revenue forecast, which had still topped Wall Street expectations, sending the company's shares up more than 14% in after-hours trading. Rose.
The company now expects 2024 revenue to be between $306 million and $310 million, higher than analysts' expectations of $306.1 million, according to LSEG data. C3.ai had previously expected $295 million to $320 million.
Companies are looking for products that provide generative artificial intelligence capabilities to optimize their operations, and companies like C3.ai are in high demand.
Additionally, since the launch of OpenAI's ChatGPT in November 2022, enterprises are relying on products infused with AI technology to better serve the competitive IT industry.
C3.ai is an AI-based software maker and well-known among retail traders.
The company expects fourth-quarter sales of $82 million to $86 million, compared to analysts' expectations of $84.45 million.
Total revenue for the quarter was $78.4 million, beating expectations of $76.14 million. Subscription revenue for the quarter was $70.4 million, beating expectations of $66.77 million.
On an adjusted basis, the company reported a lower net loss of 13 cents per share for the quarter ended Jan. 31, compared with expectations of 28 cents per share.
(Reporting by Sriparna Roy and Jaspreet Singh in Bengaluru; Editing by Shailesh Kuber)