NASDAQ$RXT

Rackspace Technology Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Rackspace's first quarter 2024 results were reported, showing a decrease in revenue compared to the previous year, but exceeding the high-end of guidance for revenue, operating profit, and EPS.

Rackspace Technology reported a 9% year-over-year decrease in revenue, totaling $691 million for Q1 2024. The company's Private Cloud revenue was $268 million, a 15% decrease year-over-year, while Public Cloud revenue was $422 million, a 5% decrease year-over-year. The company's Non-GAAP Loss Per Share was $(0.11) in the first quarter of 2024, a decrease of 450% as compared to Non-GAAP Loss Per Share of $(0.02) in the first quarter of 2023.

  • Revenue for the first quarter was $691 million, a 9% decrease year-over-year.
  • Private Cloud revenue decreased by 15% to $268 million.
  • Public Cloud revenue decreased by 5% to $422 million.
  • Non-GAAP Operating Profit was $16 million, a 68% decrease compared to $51 million in the first quarter of 2023.

Headline financials

Total Revenue

$691M

Previous: $759M-8.9%
EPS (adj)

-$0.11

Previous: -$0.02-450.0%
Non-GAAP Operating Profit

$14M

No prior period
Cash Flow From Operating Activities

-$90.3M

No prior period
Capital Expenditures

$46M

No prior period
Net Income

-$596M

Previous: -$612M+2.7%
Operating Income

-$653M

Previous: -$581M-12.4%
Gross Profit

$94.2M

Previous: $170M-44.5%
Stock-Based Comp

$12.8M

Previous: $15.2M-15.8%

Revenue & EPS history

Rackspace · Revenue · Quarterly

$691M

Q1 2024-8.9%vs Q1 2023
Beat estimate in 8 of 14 quarters(57%)
ActualEstimate

Forward guidance

Rackspace Technology provided guidance for Q2 2024 including total revenue between $668 and $678 million, Private Cloud revenue between $260 and $265 million, Public Cloud revenue between $408 and $413 million, and Non-GAAP Loss Per Share between $(0.09) and $(0.11).

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

+2.3%

Avg return

Earnings day

+1.8%

Avg return

5 days after

-8.4%

Avg return

30 days after

48%

12 / 25 earnings

Positive

+67.4%

Q4 2025

Best reaction

-20.6%

Q4 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+56.0%+63.6%
Q4 2025+67.4%+82.2%-22.2%
Q3 2025-15.3%-18.5%-30.1%
Q1 2025-13.4%-11.1%-18.1%
Q4 2024+0.7%-9.0%-35.1%
Q3 2024+8.6%-13.3%-10.4%
Q2 2024+6.1%+13.2%-0.5%
Q1 2024+5.9%+11.3%+17.7%
Q4 2023-14.8%+14.9%+13.0%
Q3 2023-1.8%-10.0%+7.9%
Q2 2023+13.6%+6.6%+0.9%
Q1 2023-14.0%-18.7%+16.2%
Q4 2022-2.6%-14.2%-35.8%
Q3 2022+22.1%+17.5%-33.4%
Q2 2022-17.6%-18.2%-29.7%
Q1 2022-10.9%+4.0%-13.3%
Q4 2021-20.6%-6.5%-7.3%
Q3 2021+12.5%+3.4%-9.4%
Q2 2021-14.5%-17.0%-12.7%
Q1 2021-19.9%-18.0%-10.8%
Q4 2020-14.8%-14.0%-1.8%
Q3 2020-1.7%-7.2%+13.1%
Q4 2019+8.6%+1.4%-0.2%
Q2 2019+8.6%+1.4%-0.2%
Q2 2020+8.6%+1.4%-0.2%
Q1 2020
Q3 2019
Q1 2019

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