Bill Com (NYSE:BILL) shares plunged 30% after the financial operations platform provider issued weaker-than-expected guidance for the third quarter, overshadowing its better-than-anticipated second-quarter results.
The company reported adjusted earnings per share of $0.56 for the second quarter, surpassing the analyst estimate of $0.46.
Revenue came in at $362.6 million, slightly above the consensus estimate of $359.53 million and up 14% YoY. Core revenue, consisting of subscription and transaction fees, increased 16% YoY to $319.6 million.
Despite the strong Q2 performance, Bill.com's outlook for the third quarter fell short of expectations. The company forecasts Q3 adjusted EPS between $0.35 and $0.38, compared to the analyst consensus of $0.34. However, projected Q3 revenue of $352.5-357.5 million came in below the $360.4 million consensus, signaling a slowdown in growth.
"We delivered strong financial results and innovated at a rapid pace as we executed on our vision to be the de facto intelligent financial operations platform for SMBs," said René Lacerte, BILL CEO and Founder.
Bill.com processed $84 billion in total payment volume during Q2, a 13% increase YoY, and handled 30 million transactions, up 17% YoY. The company served 481,300 businesses as of the quarter's end.
For the full fiscal year 2025, Bill.com expects adjusted EPS of $1.87-$1.97, above the consensus of $1.78. The company projects annual revenue of $1.454-1.469 billion, in line with analyst expectations of $1.46 billion.
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