Fitbit Inc. (FIT) shares tumbled after the close on Monday as the wearables maker missed earnings and revenue estimates for the fourth quarter of 2017.
CEO James Park highlighted the company's collaborations with United Healthcare (UNH) and Dexcom (DXCM) , as well as Fitbit's investments in developing new smartwatch products in a press release announcing the results. In January, Fitbit announced that United Healthcare's employee-sponsored wellness program would be using the Fitbit Charge 2. Later in the year, the company collaborated with DexCom to develop products to help people with diabetes manage their health.
Fitbit reported a net loss per share of $0.02 on a non-GAAP basis, versus consensus estimates of a break-even quarter. The company brought in $571 million in revenue, missing analysts' estimate of $588 million.
New products including the Ionic, the Alta and the Fitbit Aria 2 smart scale accounted for 36% of revenue in the fourth quarter. The holiday quarter was the first full quarter that the Ionic, Fitbit's first full-fledged smartwatch, was available.
Fitbit shares dropped 11.5% to $4.90 during after-hours trading Monday, after closing at $5.54.