Cornerstone OnDemand posts $7.6 million 3Q loss
SANTA MONICA, Calif. (AP) — Cornerstone OnDemand, which develops human-resources software for corporations and nonprofit groups, on Monday reported a wider third-quarter loss as it spent more on marketing and other operating costs. A surge in bookings heartened investors, sending its shares sharply higher in after-hours trading.
The net loss for the July-through-September period was $7.6 million, or 15 cents per share. That compares with a loss in the same period a year ago of $4.3 million, or 9 cents per share. Excluding one-time items, Cornerstone put the net loss at 7 cents per share.
Revenue was $30.8 million, up 54 percent from a year earlier.
Analysts expected a loss of 6 cents per share on revenue of the $30.3 million, according to FactSet.
Operating expenses rose by nearly $12 million to $29.6 million, as Cornerstone spent significantly more on sales and marketing, research and development and on general and administrative costs.
The company, which went public last year, said bookings jumped 78 percent to $42.7 million from the same period in 2011. Cornerstone ended the quarter with over 1,100 clients and about 10.3 million users, representing increases of 57 percent and 44 percent, respectively.
Cornerstone shares jumped $2.33, or 8.9 percent, to $28.66 in extended trading after falling $1.28, or 4.6 percent, to close at $26.33 in the regular session.