- Though down in premarket trading after providing a soft Q2 outlook to go with its Q1 beat, Opower (NYSE:OPWR) has since rallied above $11. Shares went into earnings down nearly 50% from a 52-week high of $20.45.
- The cloud electricity service management software firm expects Q2 revenue of $34.8M-$35.5M and EPS of -$0.15 to -$0.17, mostly below a consensus of $35.6M and -$0.17. Full-year guidance is better: Revenue of $144M-$149M and EPS of -$0.58 to -$0.68 vs. a consensus of $146.8M and -$0.69.
- Also: Opower announced it has signed a contract with California utility PG&E that's the largest in the company's history. Revenue recognition will start in 2016.
- William Blair notes the contract is worth $90M over 7 years, and sees it as evidence Opower can grow sales to existing customers. The firm is also pleased with international deal activity, believes full-year guidance is conservative, and observes management thinks Opower "remains on track to return to 20% revenue growth in 2016 and achieve positive adjusted EBITDA in 2017."
- Q1 results, PR