Shares in behavior tracking firm Amplitude Inc. plunged in after-hours trading today after the company delivered a lower-than-expected outlook in its latest quarterly earnings report.

For the quarter ended Dec. 31, Amplitude reported a loss before certain costs such as stock compensation of five cents per share, compared with a loss of two cents in the same quarter of 2020. Revenue in the quarter jumped 64% year-over-year, to $49.4 million.

Both figures were better than analysts’ estimates of an eight-cents-per-share loss on revenue of $46.95 million.

Highlights in the quarter included the number of Amplitude’s paying customers growing 54% year-over-year, to 1,597. Dollar-based net retention as of the end of the quarter was 123% compared with 119% at the same time the previous year.

For the full fiscal year 2021, Amplitude reported an adjusted loss per share of 30 cents on revenue of $167.3 million.

“2021 was a breakthrough year for Amplitude. Digital products are becoming the central driver for how businesses operate, go to market and generate revenue,” Spenser Skates, co-founder and chief executive of Amplitude, said in a statement. “Strong execution combined with demand for the Amplitude Digital Optimization System drove our fiscal year 2021 results.”

Skates added that “we believe we are in the very early stages of a large market opportunity and we’re excited to help companies realize the business outcomes of digital optimization.”

Looking forward, Amplitude predicted an adjusted loss per share of nine to ten cents per share in the first quarter of 2022 on revenue of $50 million to $51 million. For the full year, the company predicted an adjusted loss of 42 to 44 cents per share on revenue of $226 million to $234 million.

Analysts had been predicting revenue of $51.3 million in the first quarter and $235.8 million for the full year.

“As we provide guidance for this year, we want to make sure we’re setting something we feel great about delivering on,” Skates told MarketWatch, adding that the company remains focused on “the long-term potential” of its software suite.

Amplitude’s outlook didn’t miss by much, but investors did not like the numbers. Shares of Amplitude fell after-hours by nearly 40%.

Photo: Amplitude