PubMatic Drops 10% As Q1 Revenue Guidance Below View

(RTTNews) - Shares of PubMatic, Inc. (PUBM) are down more than 10% in the morning trade on Tuesday after the company's first-quarter revenue outlook comes below analysts' view. However, the company's fourth-quarter results beat consensus estimates.

PubMatic sees revenue to be in the range of $53 million to $55 million in the first quarter. This compares with the average estimate of analysts polled by Thomson Reuters at $56.66 million.

The company reported net income of $28.2 million, or $0.50 per share in the fourth quarter, an increase from $18.8 million, or $0.34 per share in the same period a year ago.

Excluding one-time items, earnings were $27.1 million, or $0.48 per share, that beat the consensus estimate of $0.27 per share.

Revenue in the fourth quarter of 2021 was $75.6 million, an increase of 34% over $56.2 million in the same period. Analysts' expectation stood at $75.54 million.

PubMatic provides a cloud infrastructure platform that enables real-time programmatic advertising transactions for Internet content creators and advertisers.

PUBM, currently at $27.51, has been trading in the range of $20.56-$76.96 in the past 52 weeks.