Shares in Smartsheet Inc. fell more than 11% in late trading today after the management platform provider reported earnings and revenue beats in its fiscal 2024 fourth quarter but fell short on its revenue outlook.

For the quarter that ended Jan. 31, Smartsheet reported adjusted earnings per share of 34 cents, up from seven cents in the same quarter of the previous year, on revenue of $256.9 million, up 21% year-over-year. Analysts had expected figures of 16 cents per share on revenue of $255.9 million.

Smartsheet saw subscription revenue grow 23% year-over-year in the quarter, to $244 million, while conversely, professional services revenue fell 4%, to $12.9 million. For its full fiscal 2024 year, Smartsheet reported adjusted earnings per share of 85 cents, up from a loss of 22 cents per share in fiscal 2023, on revenue of $958.3 million, up 25% year-over-year.

Annual recurring revenue sat at $1.031 billion as of the end of January, up 21% year-over-year. Calculated billings rose 20%, to $1.069 billion. Average annual recurring revenue per domain-based customer rose 15%, to $9,672.

Smartsheet’s customers are sticking around, with an average dollar-based retention rate of 116.5%. The number of customers the company had with annual recurring revenue of $100,000 or more rose 28% year-over-year to 1,904, customers with $50,000 or more rose 22%, to 3,924, and customers with annual recurring revenue of $5,000 or more rose 10% year-over-year, to 19,818.

Business highlights in the year included Smartsheet adding generative artificial intelligence capabilities to its work management platform in September. The generative AI capabilities conduct data analysis from conversational prompts and an AI-powered assistant delivers customized, natural language responses tailored to individual customers.

“Strong demand from our enterprise customers helped us achieve the major milestone of $1 billion in annualized recurring revenue in Q4,” Chief Executive Mark Mader said in the company’s earnings release. “Looking forward, we’re setting the foundation for the next era of profitable growth with proven, more efficient go-to-market motions paired with enterprise-grade product innovation informed by decades of data, work patterns and customer use cases.”

For its fiscal 2025 first quarter, Smartsheet expects adjusted income per share of 26 cents to 27 cents on revenue of $257 million to $259 million. The revenue outlook was below the $263.6 million expected by analysts and the trigger for the after-hours share drop. For the full year, the company expects adjusted earnings per share of $1.06 to $1.13 on revenue of $1.113 billion to $1.118 billion.

Image: Smartsheet