UiPath sees 10% revenue jump on 'increasing need' for AI; stock rallies

By Claudia Assis

Software platform OKs $500 million share buyback program, raises guidance

Software platform UiPath Inc. rode a wave of enthusiasm for all things AI and automation, beating Wall Street's expectations for its fiscal second quarter and sending its stock more than 10% higher in the extended session Thursday.

Conversations with customers and business partners have deepened the company's conviction that "there is an increasing need for AI and automation," Chief Executive Daniel Dines said in a statement.

UiPath (PATH) lost $86 million, or 15 cents a share, in the fiscal second quarter, compared with a loss of $60 million, or 11 cents a share, in the year-ago period. Adjusted for one-time items, the company earned 4 cents a share.

Revenue rose 10% to $316 million, the company said.

Analysts polled by FactSet expected adjusted EPS of 3 cents a share on sales of $304 million.

The company also approved a share buyback program of up to $500 million.

UiPath guided for fiscal third-quarter revenue in the range of $345 million to $350 million, and a non-GAAP operating income of about $27 million.

For the full fiscal 2025, it updated its guidance to revenue in the range of $1.420 billion to $1.425 billion and a non-GAAP operating income of about $170 million.

Both the quarterly and the year's revenue outlook are above FactSet expectations of $347 million and $1.408 billion.

-Claudia Assis

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09-05-24 1652ET

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