Cognyte Software (NASDAQ:CGNT) shares were slightly lower Thursday following the software company’s quarterly report. Cognyte posted a loss of 23 cents per share excluding items, slightly larger than the 22-cent consensus estimate of analysts polled by FactSet. But revenue came in stronger than expected, with Cognyte reporting $73.4 million against Wall Street’s $71.5-million forecast.
GAAP outlook for the year ending January 31, 2024 is as follows:
Revenue: $303 million at the midpoint with a range of +/- 2%, approximately 7% growth from previous year SIS Adjusted non-GAAP revenue. Diluted EPS called for a loss of $0.53 at the midpoint of our revenue outlook.
Amortization of intangible assets was approximately $0.3 million. Our non-GAAP outlook for FYE24 excludes the following GAAP measures for which we are able to provide a range of probable significance:
Stock-based compensation is expected to be between approximately $10.0 million and $13.0 million, assuming market prices for our ordinary shares are generally consistent with current levels.
“We are expecting significant gross margin improvement for the full year primarily due to an increase in software revenue. I am also very pleased with the strong cash flow in the first quarter and we are now expecting positive cash flow from operations for the full year,” said David Abadi, Cognyte’s chief financial officer.
CGNT shares gave back eight cents, or 1.4%, to $5.50.