Square, Inc. Issues Q2 Profit Guidance Below Estimates; Shares Down More Than 6%

(RTTNews) - Square, Inc. (SQ) issued a second-quarter guidance, which is below analysts' projections for earnings. Also, the company revised its net loss per share guidance for the full year of 2019, primarily as a result of the first quarter mark-to-market valuation of its investment in Eventbrite.

For the second-quarter, Square, Inc. projects adjusted EPS in a range of $0.14 to $0.16. Adjusted revenue is now estimated in a range of $545 million to $555 million. Analysts polled by Thomson Reuters expect the company to report profit per share of $0.19 on revenue of $555.51 million. Analysts' estimates typically exclude special items.

For fiscal 2019, the company projects net loss per share in a range of $0.09 to $0.05. Adjusted revenue is now expected in the range of $2.25 billion to $2.28 billion.

For the first quarter of 2019, adjusted EPS was $0.11 compared to $0.06, last year. On average, 35 analysts polled by Thomson Reuters expected the company to report profit per share of $0.08 for the quarter. Adjusted revenue was $489 million, up 59% year over year. Excluding the acquisitions of Weebly and Zesty, adjusted revenue grew 49% year over year. Analysts expected revenue of $478.27 million for the quarter.

Shares of Square, Inc. were down more than 6% after hours.