Symbotic Stock Falls On Q3 Earnings: What Investors Need To Know
Portfolio Pulse from Adam Eckert
Symbotic Inc (NASDAQ:SYM) shares fell 17.12% in after-hours trading following the release of its Q3 earnings report. The company reported higher-than-expected revenue but missed earnings estimates. Symbotic's cash reserves decreased, and the company cited elongated construction schedules and implementation costs as reasons for lower-than-expected gross margins. The company provided a Q4 revenue outlook of $455 million to $475 million and expects adjusted EBITDA of $28 million to $32 million.
July 29, 2024 | 8:43 pm
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Symbotic Inc (SYM) shares fell 17.12% in after-hours trading after the company reported Q3 earnings. Revenue beat estimates, but earnings missed. Cash reserves decreased, and gross margins were impacted by construction delays and implementation costs. The company provided a Q4 revenue outlook of $455 million to $475 million and expects adjusted EBITDA of $28 million to $32 million.
The significant drop in Symbotic's share price is due to the mixed Q3 earnings report. While revenue exceeded expectations, the earnings miss and decrease in cash reserves, along with issues in gross margins due to construction delays, have negatively impacted investor sentiment. The provided Q4 outlook offers some guidance but may not be enough to offset the immediate negative reaction.
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