Nutanix (NTNX) Q4 Earnings: Taking a Look at Key Metrics Versus Estimates

For the quarter ended July 2024, Nutanix (NTNX) reported revenue of $547.95 million, up 10.9% over the same period last year. EPS came in at $0.27, compared to $0.24 in the year-ago quarter.

The reported revenue represents a surprise of +2.02% over the Zacks Consensus Estimate of $537.12 million. With the consensus EPS estimate being $0.20, the EPS surprise was +35.00%.

While investors closely watch year-over-year changes in headline numbers — revenue and earnings — and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company’s underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock’s price performance.

Here is how Nutanix performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

• Table of Contents

  Toggle

  Annual Contract Value Billings (ACV Billings)

  : $338 million versus the seven-analyst average estimate of $302.10 million.

• Total Billings

  : $672.86 million compared to the $551.53 million average estimate based on four analysts.

• Disaggregation of billings – Professional services billings

  : $34.33 million versus $32.66 million estimated by four analysts on average.

• Disaggregation of billings – Subscription billings

  : $636.04 million compared to the $543.03 million average estimate based on three analysts.

• Annual Recurring Revenue (ARR)

  : $1.91 billion versus the two-analyst average estimate of $1.95 billion.

• Revenue- Support, entitlements and other services

  : $282.05 million versus the five-analyst average estimate of $275.57 million. The reported number represents a year-over-year change of +11.2%.

• Revenue- Product

  : $265.90 million versus $259.87 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +10.6% change.

• Disaggregation of Revenue- Professional services revenue

  : $26.77 million versus the four-analyst average estimate of $26.84 million. The reported number represents a year-over-year change of +11.4%.

• Disaggregation of Revenue- Subscription revenue

  : $518.70 million compared to the $497.39 million average estimate based on four analysts. The reported number represents a change of +12.9% year over year.

• Disaggregation of Revenue- Non-portable software revenue

  : $1.60 million compared to the $11.26 million average estimate based on four analysts. The reported number represents a change of -84.6% year over year.

Story continues

View all Key Company Metrics for Nutanix here>>>

Shares of Nutanix have returned +8.8% over the past month versus the Zacks S&P 500 composite’s +3.2% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Nutanix (NTNX) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research