Pluralsight (NASDAQ: PS) reported Q1 EPS of ($0.09), $0.04 better than the analyst estimate of ($0.13). Revenue for the quarter came in at $92.6 million versus the consensus estimate of $86.76 million.

First Quarter Financial Highlights

• Billings - Q1 2020 billings were $90.3 million, an increase of 16% period over period. Q1 2020 billings from business customers were $80.5 million, an increase of 20% period over period.
• Revenue - Q1 2020 revenue was $92.6 million, an increase of 33% period over period.
• Gross margin - Q1 2020 gross margin was 79%, compared to 76% in Q1 2019. Q1 2020 non-GAAP gross margin was 81%, compared to 77% in Q1 2019.
• Net loss per share - GAAP net loss per share for Q1 2020 was $0.34, compared to $0.25 in Q1 2019. Adjusted pro forma net loss per share for Q1 2020 was $0.09, compared to $0.07 in Q1 2019.
• Cash flows - Cash provided by operations was $18.3 million for Q1 2020, compared to $5.5 million in Q1 2019. Free cash flow was $2.7 million for Q1 2020, compared to $2.5 million in Q1 2019.

“We went into the year with overall strength in the business prior to hitting the pandemic headwinds. We have moved aggressively with our cost structure to preserve balance sheet flexibility while investing in our product, which the world needs now more than ever,” said Aaron Skonnard, co-founder and CEO of Pluralsight. “During this time of uncertainty, we believe companies that invest in technology skills development give themselves the chance to rebound stronger as we emerge from this pandemic. As a result of focusing on our customer’s immediate needs and partnering to problem solve, we expect that in the long term all of our stakeholders will benefit."

GUIDANCE:

Pluralsight sees Q2 2020 EPS of ($0.13)-($0.11), versus the consensus of ($0.13). Pluralsight sees Q2 2020 revenue of $87.5-89 million, versus the consensus of $90.57 million.

Pluralsight sees FY2020 EPS of ($0.44)-($0.31), versus the consensus of ($0.48). Pluralsight sees FY2020 revenue of $365-390 million, versus the consensus of $383.83 million.

The following forward-looking statements reflect Pluralsight's expectations as of April 29, 2020.

Second Quarter 2020 Guidance

• Revenue is expected to be in the range of $87.5 million to $89 million.
• Adjusted pro forma net loss per share is expected to be in the range of $0.11 to $0.13, assuming weighted-average shares outstanding of approximately 142 million.

Full Year 2020 Guidance

• Revenue is expected to be in the range of $365 million to $390 million.
• Adjusted pro forma net loss per share is expected to be in the range of $0.31 to $0.44, assuming weighted-average shares outstanding of approximately 143 million.

For earnings history and earnings-related data on Pluralsight (PS) click here.