GitLab shares plunged 38% after software firm issues weak full-year revenue forecast

GitLab shares declined as much as 38% after the provider of source code management software issued a full-year revenue forecast for GitLab that fell short of anticipations.

GitLab lost 3 cents per share in comparison to the expected loss of 14 cents per share by analysts, as per Refinitiv. The revenue of GitLab stands at $122.9 million in comparison to the anticipated $119.6 million by analysts, as per Refinitiv.        

As per the statement, revenue increased by 58% year over year in the quarter that ended on Jan. 31.

GitLab called for a fiscal 1st-quarter adjusted loss of 14 cents to 15 cents for every share on $117 million to $118 million in revenue.

Analysts surveyed by Refinitiv had anticipated an adjusted loss of 16 cents for every share and revenue of $126.2 million.

For this fiscal year, GitLab sees an adjusted loss of 24 cents to 29 cents for every share and $529 million to $533 million in revenue.