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What: Shares of Vocera Communications have gotten slaughtered by 38% today after the company reported earnings.
So what: Revenue in the first quarter came in at $22.4 million, which translated into a non-GAAP net loss of $0.07 per share. Both figures were significantly worse than the $24.3 million in revenue and $0.02 per share adjusted loss that the Street was expecting. CEO Bob Zollars conceded that management was disappointed with the results.
Now what: Zollars attributed the weakness to increased financial scrutiny at hospital customers and inconsistent sales execution. The company is restructuring its sales leadership to address the latter. Guidance also rattled investors. Full-year revenue outlook has been lowered to $100 million to $110 million, with non-GAAP earnings per share expected in the range of a $0.05-per-share loss to a $0.18-per-share profit. Analysts were modeling for $122.4 million in revenue and an adjusted profit of $0.42 per share.
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The article Why Vocera Communications Shares Got Slaughtered by 38% originally appeared on Fool.com.
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