Marqeta (NASDAQ:MQ) shares tumbled first thing Tuesday, after the company issued weaker-than-expected guidance for the fourth quarter.
Figures released Tuesday showed loss per share totaled six cents adjusted vs. a loss of five cents expected
Revenue proved to be $128 million vs. $128.1 million expected
While third-quarter results showed a slight disappointment on the top and bottom lines, Marqeta’s forecast for the current period was more concerning.
The payment processing firm said revenue in the fourth quarter will increase 10% to 12% from a year earlier. Analysts were looking for growth of more than 17%.
Marqeta, which primarily functions as a card-issuing platform, attributed the guidance miss to “heightened scrutiny of the banking environment and specific customer program changes.” The company has been struggling for a while, and its stock is now down more than 80% from its peak in 2021, the year it went public. The stock was down 15% for the year prior to the report.
Total processing volume of $74 billion was up more than 30% from a year earlier. Net revenue was up 18% and gross profit perked 24%.
MQ shares were pummeled $2.37, or 39.8%, to $3.58.