UiPath Inc. (NYSE:PATH) shares dropped more than 11% Wednesday afternoon following the company’s reported Q2 results, with EPS of ($0.02) coming in better than the Street estimate of ($0.11). Revenue came in at $242.2 million, beating the Street estimate of $230.64 million.
While the company had a decent Q2, it lowered the annual guidance from an ongoing company repositioning, negative FX, and inconsistent execution. Additionally, guidance is for only modest sequential revenue growth in Q3 and implies that the repositioning may take a few quarters before showing improvements.
For Q3, the company expects revenue in the range of $243-245 million, compared to the Street estimate of $269.6 million. Full-year revenue is expected to be in the range of $1.002-1.007 billion, compared to the Street estimate of $1.09 billion.