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Microsoft Teams’ rival, Slack shares drop on withdrawal of full-year billings guidance

Slack reported steady revenue growth 50% in Q1 2020, compared with 49% recorded in Q1 2019 on an annualized basis this brought in more customers

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 Slack shares dropped as much as 17% yesterday after the company’s reported first-quarter earnings.

Investors and stock traders were not happy with Slack’s annual revenue forecast of $855 million to $870 million, up just slightly from Slack’s projection in March stock analysts, on the average, estimated $856.5 million, according to data obtained from Bloomberg.

“Slack’s withdrawal of full-year billings guidance looks conservative to us and likely suggests a pull-forward of revenue amid faster new-customer additions due to remote work,” Mandeep Singh, a Bloomberg Intelligence analyst, wrote in a note yesterday.

Slack grew revenue 50% in Q1 2020, compared with 49% recorded in Q1 2019 on an annualized basis.

However, Slack reported steady revenue growth during  Q1 2020 brought in more customers, as organizations sought to keep communications going with their newly remote workforces during coronavirus pandemic. It had earnings per share of 2 cents loss per share, adjusted and adjusted revenue of $201.7 million

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(READ MORE: How to Profit from Directors’ Share Dealing Notifications)

Slack, in a statement, yesterday reported that it added a record 12,000 paid customers Q1 2020 as against two prior quarters when it added about 5,000 new customers. Slack’s top competitor, Microsoft’s Teams, has also experienced growth in recent months.

“What you saw with Zoom, what you saw with Teams is a great indication that this is not apples-to-apples and that the products are not truly competitive with one another,” Butterfield the Chief Executive Officer of Slack told Investment analysts on a conference call yesterday.

READ ALSO: Jumia is optimistic of COVID-19 boost, despite poor Q1 2020 earnings report

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Paid users spent over 120 minutes per day in Slack at the end of the quarter, up from below 90 minutes one quarter earlier. 

“I can’t care about the stock price on the level of individual days,” Butterfield said when asked about the reaction to earnings. “I just wouldn’t be able to do my job. I care about where the share price is five years from now and 10 years from now. This is just a very volatile time.” 

 

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Olumide Adesina is a France-born Nigerian. He is a Certified Investment Trader, with more than 15 years of working expertise in Investment trading. Follow Olumide on Twitter @tokunboadesina or email [email protected] He is a Member of the Chartered Financial Analyst Society.

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President Biden directs international air travelers must quarantine upon arrival

President Joe Biden has directed international air travellers to quarantine upon arrival in the United States.

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Joe Biden gains additional 4.6 million Twitter followers in less than 12 hours

The United States President Joe Biden has issued an executive order on Thursday that makes it mandatory for international air travellers to quarantine upon arrival in the US.

Similarly, the executive order also includes a directive that all interstate travellers in the US will be expected to wear a face mask. This travel order applies to airports and planes, trains, ferries, intercity buses and public transportation, but grants them the ability to issue exemptions.

What the US President is saying in the executive order

According to a report from Reuters, President Biden’s order says, ‘‘To the extent, feasible air travellers must comply with applicable U.S. Centers for Disease Control and Prevention (CDC) guidelines concerning international travel ‘including recommended periods of self-quarantine.

However, the executive order does not explain how it will be enforced as the implementation still remains quite hazy.

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The order also directs US agencies to engage with Canada and Mexico on public health protocols for land ports of entry including implementing CDC guidelines. Almost all non-essential travel at US land borders with Canada and Mexico has been suspended till February 21.

The CDC recommends a 7-day quarantine for people arriving in the United States from nearly all countries.

Biden is directing agencies to reconsider international contact tracing requirements for U.S.-bound passengers, which was abandoned by the Trump White House, as well as the possibility of follow-up Covid-19 testing for travellers after they arrive in the United States.

In addition, the US President has also directed that all travellers including US citizens, will be required to show proof of a negative Covid-19 test before entering the country from abroad in an order that underscores the CDC policy announced last week.

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What you should know

  • It can be recalled that the Trump administration had resisted calls for the enforcement of a mask-wearing requirement.
  • The Biden administration has also announced that it would reimpose coronavirus-related ban on most non-U.S. citizens arriving from European Union, Brazil, the United Kingdom.
  • This follows the lifting of the restrictions by former US President, Donald Trump through an executive order on Monday.

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FG to take delivery of first set of Covid-19 vaccines in February

The FG has announced that the country expects to take delivery of its first set of Covid-19 vaccine doses in February.

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Covid-19: First world nations oppose waiving intellectual rights for vaccine development

The Federal Government has announced that the country expects to take delivery of its first set of Covid-19 vaccine doses in February, with health workers, vulnerable people and top government officials to be given priority.

These vaccines are expected to be procured through the Covax initiative which is backed by the World Health Organization (WHO), Gavi the Vaccine Alliance, and the Coalition for Epidemic Preparedness Innovation.

According to a report from Bloomberg, this disclosure was made in an interview by the Executive Director/Chief Executive of the National Primary Healthcare Development Agency, Faisal Shuaib, who said that as many as 100,000 doses of the Pfizer Covid-19 vaccine, would be purchased.

What the Head of the National Primary Healthcare Development Agency is saying

Shuaib said that the first batch of the vaccines,  which is enough for a maximum of 50,000 people, equivalent to about 0.00025% of Nigeria’s population, would be allocated to health-care professionals working in Covid-19 isolation centres and those supporting them, as well as the country’s senior political leaders.

He said, “We are waiting for final confirmation from Covax on when the first doses will arrive. A most recent indication is they’re expected in February.”

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What you should know

  • It can be recalled that the Federal Government, had initially announced that it was expecting the first set of Pfizer Covid-19 vaccines to be available at the end of January through the Covax initiative.
  • The Minister of State for Health, Olurunnimbe Mamora, had also said that the country was yet to purchase any Covid-19 vaccine as the country was still assessing the prices of different shots, their availability and the logistics required for a nationwide roll-out.
  • Shuaib revealed that the Federal Government had acquired 3 ultra-cold freezers to keep the Pfizer vaccines at the required temperature. He said that in the longer term, the government planned to invest in vaccines that were easier to store, such as those created by AstraZeneca Plc, and the University of Oxford.
  • Nigeria, with a population of more than 200 million people, plans to vaccinate about 70% of its population in the long run and is working on other options, besides Covax, for supplies.

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Coronavirus

Nigeria records 1,964 new cases of Covid-19, highest daily surge

The Nigeria Centre for Disease Control announced that 1,964 new cases of the covid-19 virus were recorded on Thursday

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Impact of covid-19 on earnings and profitability of Nigerian banks, positives and negatives – report, Covid-19: Impact on capitalization of Nigerian banks - Report 

The Nigeria Centre for Disease Control, on Thursday, 21st January 2021, announced that 1,964 new cases of the Covid-19 virus were recorded across 24 states in the country.

This represents the highest number of cases recorded in a single day. It also represents a 41.7% surge compared to 1,386 cases recorded on Wednesday, 2oth January 2021.

According to the NCDC, the cases were recorded across 24 states; Lagos State recorded the highest with 824 new cases, representing 41.9% of the total daily cases.

Others include: FCT (246), Plateau (166), Kaduna (128), Ogun (76), Nasarawa (74), Anambra (69), Edo (50), Rivers (45), Ondo (44), Niger (40), Oyo (38), Adamawa (35), Kano (31), Akwa Ibom (27), Gombe (19), Kwara (13).

More details shortly…..

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