Rackspace Technology Third Quarter 2024 Earnings: EPS Misses Expectations

Rackspace Technology (NASDAQ:RXT) Third Quarter 2024 Results

Key Financial Results

• Revenue: US$675.8m (down 7.7% from 3Q 2023).
• Net loss: US$186.6m (loss narrowed by 18% from 3Q 2023).
• US$0.82 loss per share (improved from US$1.05 loss in 3Q 2023).

All figures shown in the chart above are for the trailing 12 month (TTM) period

Rackspace Technology EPS Misses Expectations

Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 142%.

Looking ahead, revenue is forecast to stay flat during the next 3 years compared to a 9.6% growth forecast for the IT industry in the US.

Performance of the American IT industry.

The company's shares are up 16% from a week ago.

Risk Analysis

What about risks? Every company has them, and we've spotted 3 warning signs for Rackspace Technology (of which 1 is potentially serious!) you should know about.

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