Yext (NYSE:YEXT) experienced a sharp decline, with its stock declining over 10% in after-hours trading despite reporting mixed results for its third quarter. The firm achieved significant revenue growth, but earnings fell short of analysts’ expectations.

The company reported adjusted earnings of $0.12 per share, undercutting the analyst estimate of $0.14. However, Yext did achieve a revenue increase of 13% year-over-year, ranking at $114 million, surpassing the consensus forecast of $99.57 million. This revenue spike primarily stems from the integration of Hearsay Systems, an acquisition completed earlier this year.

Annual recurring revenue saw an 11% increase from last year, reaching $441.8 million, thus indicating steady progress in Yext’s subscription-based model. Adjusted EBITDA was reported to total $23.1 million, which displayed improved operational efficiencies.

For fiscal 2025, the company anticipates revenue to fall between $420.3 million and $420.8 million, aligning closely with analysts’ expectations. However, Yext recorded a GAAP net loss of $12.8 million, or $0.10 per share, which has represented a considerable increase compared to the $0.5 million loss reported in the same quarter the previous year.