What happened

Shares of Fastly (FSLY -3.40%) have dropped today, down by 7% as of 12:30 p.m. EST, after the company reported fourth-quarter earnings results. The edge cloud platform is also switching CEOs.

So what

Revenue in the fourth quarter increased 44% to $59 million, which was ahead of the consensus estimate of $54.8 million. That all translated into an adjusted loss per share of $0.10, slightly better than the $0.11 per share in adjusted losses that analysts were expecting. Dollar-based net expansion rate was 136% and Fastly now has 288 enterprise customers.

Red stock chart going down

Image source: Getty Images.

CEO Artur Bergman is stepping down to become chief architect and executive chairperson, and exec Joshua Bixby will succeed Bergman as CEO. The tech company says Bergman and Bixby will continue to work closely, and Bergman will go back to focusing on product development.

Now what

"I am thrilled to have the opportunity to step into the CEO role as we further our mission to make it easier for innovators to deliver," Bixby said in a statement. "As we begin our second fiscal year as a public company, we are focused on continuing to drive strong customer growth and engagement through enhanced products and services, including our Compute@Edge and security offerings."

Guidance for the first quarter calls for total revenue of $58 million to $60 million, which should result in an adjusted net loss per share of $0.11 to $0.13. For full-year 2020, Fastly expects revenue of $255 million to $265 million, with an adjusted net loss per share of $0.32 to $0.43.