Workday Slips on $510 Million Deal to Buy VNDLY After Results Beat -Breaking
[ad_1]
© Reuters. By Dhirendra Tripathi
Investing.com – Workday stock (NASDAQ:) traded 8% lower in Friday’s premarket as valuation concerns over its $510 million to buy VNDLY gripped the market.
This mostly cash transaction should close around the end-January. VNDLY’s Cloud-based platform helps companies in management of contracted staff including consultants and freelancers.
End of October saw Workday have $2.25 Billion cash and close to it.
Workday announced the acquisition, but it was overshadowed by its raising of annual guidance. This followed better-than expected third-quarter results. The company’s October quarter results allowed it to revise its annual guidance.
The company expects to generate annual subscription revenue of around $4.53 Billion, which is more than the $4.51 Billion forecasted.
The total revenue increased 20% to $1.33 Billion due to large-scale demand for Cloud-based finance applications and human resources. This is in line with its continuing pandemic-fueled momentum. The third quarter revenue was $1.17 billion due to subscription services.
The company closed October with $11 billion in subscription backlog, an increase of 24%. The adjusted profit per shares was $1.10.
Fusion MediaFusion Media and anyone associated with it will not assume any responsibility for losses or damages arising from the use of this information, including buy/sell signal data. Trading the financial markets is one of most risky investment options. Please make sure you are fully aware about the costs and risks involved.
[ad_2]