Shares of Ping Identity (PING) - Get Ping Identity Holding Corp. Report dropped after the digital identification company reported fourth-quarter revenue and a guidance midpoint that missed analyst estimates.
Ping shares at last check were down 23% to $24.93.
The Denver company swung to a loss of $3.4 million, or 4 cents a share, from earnings of $2.2 million, or 3 cents, in the year-earlier period. Adjusted earnings in the quarter were 9 cents per share, above the FactSet call for 8 cents.
Ping Identity reported fourth-quarter revenue of $63.3 million, down 7% year over year and below the FactSet consensus analyst estimate of $68.9 million.
For the first quarter, the company guided for revenue between $61.5 million and $63.5 million while analysts surveyed by FactSet are expecting revenue of $62.8 million.
For the full year, Ping reinstated its outlook for revenue between $255 million and $265 million compared with consensus expectations of $261.1 million
"With the growth and rising demand for our cloud offerings, we now have more than half of our customers accessing our solutions in the cloud and a rapidly growing portion of our annual recurring revenue from software as a service," Chief Executive Andre Durand said in a statement.
"This is a key indicator that our investments related to cloud and new product innovations are gaining strong traction in the market."
Ping has been pushing toward a software-as-a-service revenue model, which could account for the light revenue compared with a year earlier.
Annual recurring revenue for the quarter totaled $259.1 million, a 15% increase year over year.