Upland Software Stock Plummets

Shares of Upland Software took a hit as the company revealed weaker fourth-quarter earnings and provided revenue guidance for 2024 that fell below analysts' expectations.

Stock Performance

The stock plummeted by 38% to $2.76 following the news. Just a year ago, shares were trading at around $8.73.

Earnings Report

Upland Software, a provider of cloud-based software applications, reported adjusted earnings of 14 cents per share. This figure fell short of the 18 cents per share that analysts surveyed by FactSet had anticipated. Additionally, revenue dropped from $78.8 million to $72.2 million, missing analyst predictions of $71.9 million.

Future Outlook

Looking ahead to 2024, the company anticipates revenue ranging from $259 million to $283 million. This forecast is below analysts' initial expectation of $290.3 million, which has since been revised down to $272.7 million.

First Quarter Expectations

For the first quarter of the new fiscal year, Upland Software anticipates revenue between $65 million and $71 million. Initially projected at $72.8 million by analysts, this expectation has been adjusted to $68.3 million.

Rationale Behind Guidance

Upland attributed the lower revenue forecast to decreased income resulting from the discontinuation of specific non-strategic product offerings and a limited number of non-strategic customer contracts.