CoreWeave Reports Better-Than-Expected Third Quarter Loss, Revenue Beats Estimates
$CoreWeave, Inc.(CRWV)$ reported better-than-expected loss for the third quarter, while revenue exceeded analysts' average estimate. Shares swung between gains and losses in extended trading Monday.
Revenue totaled $1.36 billion, higher than the $1.26 billion Wall Street consensus. Loss reached 22 cents a share, better than the 57 cents expected by analysts, according to estimates compiled by Bloomberg.
CEO Michael Intrator said the company's revenue backlog, including the remaining performance obligations, almost doubled to $55.6 billion as of the send of September.
"CoreWeave's position as the essential cloud for AI has never been stronger as we drive growth through focus and innovation to power the next generation of AI,” the CEO said in a press release after the market closed Monday. "“Our performance reflects disciplined execution across every part of our business, from scaling infrastructure and expanding capacity to deepening customer relationships and advancing our software and services."
The stock has tumbled about 20% in the first six trading days of the month, amid growing skepticism over a potential overcapacity in data centers as companies rush to boost capital expenditures in building out artificial intelligence infrastructure.
CoreWeave's biggest customers - $Microsoft(MSFT)$
Before the financial results were released, CoreWeave options wre implying a potential share price move of almost 16% up or down a day after the cloud services provider reports third quarter financial results late Monday.
The last time the company reported quarterly results on Aug. 12, the stock tumbled almost 21% a day later after second quarter loss turned out to be 30% wider than Wall Street was expecting.
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