The U.S. software company Anaplan Inc. (PLAN) posted double-digit sales growth and an improved loss in recently released third-quarter results. The news was the driving force behind PLAN’s share growth of about 8 percent in the trading on November 24 but the that gain has been leveled in over a week period as the stock’s closing price at the close of trading on December 3 was $70.78.
Anaplan develops and sells subscription software that through successful data analysis, helps the organization control its operations. For better comprehension and analysis, the company’s software gathers heterogeneous data from multiple sources and visualizes it.
The third-quarter profits of Anaplan rose 28 percent to $114.9 million. This resulted in an adjusted per share net loss of $0.05, which is twice as strong as last year’s third quarter. At the end of the quarter, the firm also announced that it had $296.8 million in cash.
Anaplan management strengthened its outlook for the entire current year on the basis of the good performance of the third quarter. The business expects revenues to rise to a range of $444 – $445 million. Adjusted operating margins will range from negative 9 percent to negative 10 percent, a negative 11 percent to negative 12 percent increase from the previous estimate.
Anaplan’s revenue may reach $118.5 – $119.5 million in the fourth quarter. Revnue for the fourth quarter is expected to be in the range of between $152 million and $153 million.
In the private sector, Anaplan is one of the beneficiaries of digital transformation. This promotes the market that the organization provides for analysis and visualization software. Its real-time data analysis platform provides clients with real competitive advantages, according to Anaplan management, which allows them to focus on long-term sales growth.
Anaplan Inc. (PLAN) stock has added about 30 percent since start of the year and company’s market capitalization stands at $10 billion.