Decrease in Q1 2020 revenues


Stewart Butterfield, co-founder of Slack and Flickr

Mark Neuling | CNBC

Crew Enforcement Company Slack provided guidance on its activities for the current quarter on Monday, indicating that it expects a slowdown in revenue growth by the time it is preparing to go public later this month.

Slack said in a statement that for the second quarter of its fiscal year 2020, which ends July 31, it forecasts revenues of $ 139 to $ 141 million. This would be 52% growth in the middle of the range, a significant slowdown from the 67% annualized growth recorded in the first quarter.

For the full fiscal year ending January 31, 2020, we expect revenue of $ 590 to $ 600 million, which would indicate growth of 49% in the middle of the range. By comparison, revenues increased 110% for fiscal 2018 and 82% for fiscal 2019.

Slack expects a net loss of 19 cents to 20 cents per share for the quarter and a net loss of 41 cents to 44 cents per share for the year, both figures excluding certain items.

Slack expects $ 725 to $ 745 million in total billings for the full year, up 40% to 44% from the previous year. The invoices calculated for the 2018 fiscal year jumped 102%.

Slack's prospectus was released in April, revealing a record of growing revenue and long-term losses, thanks in part to significant spending on sales and marketing. Slack competes with Cisco, Facebook, Google and Microsoft, among others.

"Although we like the almost ubiquitous nature of Slack, its clear winds, its rapid growth and its vast market opportunities, and our due diligence is very positive, valuation is our stumbling block and we would expect a withdrawal to be more constructive, "says DA Davidson. Rishi Jaluria wrote in May by opening Slack's cover with a neutral note.

Slack is one of the few companies to seek a direct quote instead of a more traditional public offering with the help of bankers. Spotify had drawn attention to this move last year and Airbnb would be interested in the same path.

The company initially wanted to use the stock symbol "SK", but then declared that it had obtained the "WORK" symbol.

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