Shares in cloud-based content delivery network (CDN) Fastly Inc (NYSE:FSLY) fell out of favor after delivering an underwhelming first-quarter trading update.
CEO Todd Nightingale said he was “pleased with the first-quarter operating performance… But, we're not satisfied with our revenue growth outlook.”
Specific guidance has second-quarter adjusted operating losses between $12-$16 million, stretching out to losses between $22-$28 million for fiscal 2024.
This follows an adjusted operating loss of $9.67 million in the three months ending 31 March.
Statutory operating losses for the period totaled $46.26 million, a slight improvement from the $47.25 million in losses for the same period in 2023.
Fastly shares collapsed 35% in Thursday’s premarket in light of these underwhelming forecasts.