Cloudflare shares jump 18% after raising annual forecast

The company now expects full-year revenue of about $2.96 billion, up from its previous forecast of $2.86 billion to $2.87 billion. It lifted its adjusted earnings outlook to $1.35 a share from a range of $1.25 to $1.26. Analysts polled by FactSet had expected $2.87 billion in revenue and adjusted earnings of $1.26 a share.

Cloudflare posted a third-quarter net loss of $34.1 million, or 10 cents a share, compared with a loss of $1.3 million, or breakeven per share, a year earlier. Excluding certain one-time items, earnings were 38 cents a share, ahead of the 34 cents analysts expected. Revenue reached $782.5 million, versus the $737.2 million consensus estimate.

For the fourth quarter, Cloudflare forecast adjusted earnings of 43 cents a share and revenue of $845 million to $846 million. Analysts had expected 38 cents a share and $796.2 million in revenue. The company also appointed Christian Smith as its next president of revenue, responsible for its global go-to-market organization.