Why UiPath Stock Is Barreling Higher After Hours

UiPath Inc (NYSE: PATH) shares are surging in extended trading Wednesday after the company reported fourth-quarter results that topped analyst expectations and issued upbeat guidance.

• Q4 Revenue: $308.55 million beat estimates of $278.62 million
• Q4 EPS: 15 cents beat estimates of 6 cents

UiPath said fourth-quarter revenue jumped 7% year-over-year, while annual recurring revenue climbed 30%. 

The company generated $94 million in cash flow from operations during the quarter and $101.2 million in adjusted free cash flow, driven by revenue outperformance and disciplined cost management.

UiPath had $1.8 billion in cash, equivalents and marketable securities as of Jan. 31.

"We enter fiscal year 2024 with the rollout of our new go-to-market initiatives on schedule and building momentum as both customers and partners see the positive impact our Business Automation Platform can have on their employees, customers, and businesses," said Rob Enslin, co-CEO of UiPath.

Outlook: UiPath sees first-quarter revenue between $270 million and $272 million versus estimates of $269.14 million. The company expects the fiscal year 2024 revenue to be between $1.253 billion and $1.258 billion versus estimates of $1.21 billion, according to Benzinga Pro.

See Also: Adobe Stock Is Rising After Company Says It's 'Better Positioned' Today Than Ever Before: The Details

PATH Price Action: UiPath shares were up 15.2% after hours at $16.90 at the time of publication, according to Benzinga Pro.

Photo: Pexels from Pixabay.