What happened
Shares of Matterport (MTTR 0.86%) were heading lower today as the real estate technology company offered disappointing guidance in its fourth-quarter earnings report.
As of 2:45 p.m. EST, the stock was down 7%.
So what
Matterport, which is known for 3D building renderings used in real estate transactions and architecture, said that revenue jumped 52% to $41.1 million, though much of that growth came from its product segment, which actually has negative gross margins, showing it's selling its hardware below cost to grow subscriptions. That revenue figure still beat the consensus at $39.7 million.
Other metrics pointed to solid growth as total subscribers increased 39% to 701,000, and spaces under management were up 37% to 9.2 million.
On the bottom line, the company reported an adjusted loss per share of $0.09, which was a slight improvement from a per-share loss of $0.10 in the quarter a year ago and estimates of the same.
CEO RJ Pittman said,
Enterprise demand remains robust as customers across many verticals, such as manufacturing, AEC, and travel and hospitality, are increasingly turning to Matterport's digital twins for remote facilities management, saving companies measurable travel time and money while boosting productivity.
Now what
Looking ahead to 2023, investors seemed to be underwhelmed by Matterport's guidance as management sees revenue growing 19% to 26% to $34 million to $36 million in the first quarter, which was well below the analyst consensus at $39.7 million. Its forecast of an adjusted per-share loss of $0.09 to $0.11 matched estimates at $0.10.
For the full year, the company called for revenue up 12% to 24% to $153 million to $169 million, which was also below estimates at $169.3 million.
As one of the leaders in 3D digital technology, Matterport appears to have a considerable growth opportunity ahead of it, but property tech stocks have gotten hit hard over the last year as real estate prices have fallen, and those headwinds seem likely to persist into 2023.
