UiPath Stock Jumps After Q3 Earnings: Here's Why

Core Insights - UiPath Inc. reported strong third quarter earnings, surpassing both revenue and earnings expectations, leading to a significant stock price increase [1][2]. Financial Performance - Adjusted earnings for the quarter were 16 cents per share, exceeding the Street estimate of 15 cents [2]. - Quarterly revenue reached $411.11 million, beating the consensus estimate of $392.97 million and showing a year-over-year increase from $354.65 million [2]. - Annual Recurring Revenue (ARR) stood at $1.782 billion, reflecting an 11% year-over-year growth [4][5]. - The company achieved a net new ARR of $59 million and a dollar-based net retention rate of 107% [5]. Profitability Metrics - Non-GAAP gross margin was reported at 85% [5]. - Non-GAAP operating income for the quarter was $88 million [5]. - Non-GAAP adjusted free cash flow amounted to $28 million [5]. Future Outlook - For the fourth quarter, UiPath anticipates revenue in the range of $462 million to $467 million, slightly above the analyst estimate of $462.91 million [4].