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Xero First Half 2023 Earnings: Revenues Beat Expectations, EPS Lags

Xero (ASX:XRO) First Half 2023 Results

Key Financial Results

  • Revenue: NZ$658.5m (up 30% from 1H 2022).

  • Net loss: NZ$16.1m (loss widened by 172% from 1H 2022).

  • NZ$0.11 loss per share (further deteriorated from NZ$0.04 loss in 1H 2022).

earnings-and-revenue-growth
earnings-and-revenue-growth

All figures shown in the chart above are for the trailing 12 month (TTM) period

Xero Revenues Beat Expectations, EPS Falls Short

Revenue exceeded analyst estimates by 1.6%. Earnings per share (EPS) missed analyst estimates.

Looking ahead, revenue is forecast to grow 16% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Software industry in Australia.

Performance of the Australian Software industry.

The company's shares are down 6.4% from a week ago.

Balance Sheet Analysis

While earnings are important, another area to consider is the balance sheet. See our latest analysis on Xero's balance sheet health.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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