Business News

Workday, Gap, Affirm, and others

Among the most popular after-hours tickers on Editorials99 Finance are:

Affirm (AFRM): Shares fell more than 14% after missing revenue projections for the first quarter and the entire 2023 year. Affirm anticipates revenue for the first quarter of $345 to 365 million and for the entire year of $1.63 billion to $1.73 billion. “Given the uncertain macroeconomic environment, we are approaching our next fiscal year cautiously while keeping our emphasis on fostering responsible growth,” Affirm CFO Michael Linford stated in the results announcement. Shares of Affirm have decreased 69% from the year’s beginning.

Shares of Ulta (ULTA) increased after the cosmetics store reported earnings that exceeded analyst expectations and provided optimistic full-year forecasts. Ulta reported comparable sales growth of 14.4% for the quarter, which is an increase from its earlier target of 6% to 8%. During the earnings call, executives stated that Ulta customers do not bargain shop and that sales increased after a slight slowdown in late June and early July.

Gap (GPS): Gap reported second quarter adjusted earnings per share that exceeded projections and indicated strengthening sales trends in early July. However, second quarter comparable sales fell short of expectations, with total sales declining -10%, including a -15% decline in sales at its Old Navy brand. Old Navy is Gap’s “largest difficulty right now,” according to Morningstar Equity Analyst David Swartz, and if “Gap can’t address Old Navy, then the whole firm is in peril.”

Workday (WDAY): Shares increased as the business reported adjusted earnings of $0.83 per share on $1.54 billion in revenue, above expectations on both the top and bottom lines. Workday increased its anticipated adjusted operating margin for the third quarter while keeping its forecast for full-year subscription revenue. According to Barbara Larson, CEO of Workday, “Our new outlook balances the current macro climate while also reflecting the momentum in our company and the mission-critical nature of our solutions.”

Dell (DELL): Shares dropped after hours as Dell missed its adjusted Ebitda target for the second quarter and reported $3.3 billion in consumer revenue, down 9% from the same period last year. Vice Chairman Jeff Clarke of Dell Technologies stated in the earnings announcement, “With second quarter revenue records of $26.4 billion, up 9%, we were able to maintain strong execution in a market that was becoming more difficult. We also made progress with our long-term plan, expanding our core while innovating for our clients and opening up new prospects for them in the data era.” Since the year’s beginning, the stock has decreased by -14.7%.

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Kathy Lewis

Kathy Lewis is an all-around geek who loves learning new stuff every day. With a background in computer science and a passion for writing, she loves writing for almost all the sections of Editorials99.

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