Forescout Technologies stock drops as results, outlook miss Street view

Forescout Technologies Inc. shares fell in the extended session Wednesday after the cybersecurity company’s outlook and results missed Wall Street estimates. Forescout shares fell 4% after hours, following a 1.6% drop in the regular session to close at $29.44. Forescout expects an adjusted fourth-quarter loss of 8 cents to 6 cents a share on revenue of $93.5 million to $96.5 million, while analysts surveyed by FactSet forecast earnings of 24 cents a share on revenue of $109.5 million. The company reported a third-quarter loss of $33.5 million, or 72 cents a share, compared with a loss of $8.3 million, or 20 cents a share, in the year-ago period. The adjusted loss was 2 cents a share. Revenue rose to $91.6 million from $85.6 million in the year-ago quarter. Analysts had forecast a loss of a penny on revenue of $94.3 million. “Our third quarter 2019 results were impacted by extended sales cycles, with the resulting revenue shortfall most pronounced in EMEA,” said Michael DeCesare, Forescout chief executive and president, in a statement. “These results are disappointing to us and we are taking a number of steps to improve things we can control, including sales execution and shaping our revenue model for better predictability.”

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