Software supply chain platform JFrog (NASDAQ: FROG) will be reporting results this Thursday after the bell. Here’s what to expect.
JFrog beat analysts’ revenue expectations last quarter, reporting revenues of $163.8 million, up 28.7% year on year. It was an exceptional quarter for the company, with a solid beat of analysts’ billings estimates and an impressive beat of analysts’ adjusted operating income estimates. It added 66 enterprise customers paying more than $100,000 annually to reach a total of 1,291.
Is JFrog a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting JFrog’s revenue to grow 21.2% year on year, slowing from the 25.5% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. JFrog has a history of exceeding Wall Street’s expectations.
Looking at JFrog’s peers in the software development segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Twilio delivered year-on-year revenue growth of 19.9%, beating analysts’ expectations by 3%, and Bandwidth reported revenues up 22%, in line with consensus estimates. Twilio traded down 15.2% following the results while Bandwidth was also down 2.3%.
Read our full analysis of Twilio’s results here and Bandwidth’s results here.
There has been positive sentiment among investors in the software development segment, with share prices up 3.5% on average over the last month. JFrog is down 9.4% during the same time and is heading into earnings with an average analyst price target of $113.14 (compared to the current share price of $88.70).
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