Tyler Technologies misses quarterly revenue estimates on weak IT spending

By Thomson Reuters Feb 14, 2024 | 5:36 PM

(Reuters) – Tyler Technologies missed Wall Street estimates for fourth-quarter revenue on Wednesday, as it faces tough competition for IT-related services from bigger players.

Shares of the Plano, Texas-based IT services provider company fell around 3% in trading after the bell.

High borrowing costs and stiff competition from bigger companies such as Oracle and Motorola Solutions have been weighing on demand for Tyler’s subscription services.

Tyler Technologies provides integrated information management solutions and services for the public sector and professional IT services to clients, including software and hardware installation.

Tyler posted revenue of $480.9 million for the quarter ended Dec. 31, missing analysts’ average estimate of $484.7 million, according to LSEG data.

Fourth-quarter profit per share stood at 91 cents, compared with 73 cents a year earlier.

The company projects revenue for its fiscal year 2024 in a range of $2.10 billion to $2.14 billion, compared with analysts’ estimate of $2.13 billion.

It forecast full-year adjusted profit per share of $8.90 to $9.10, compared with estimates of $8.78 per share.

(Reporting by Zaheer Kachwala, Jaspreet Singh and Priyanka.G in Bengaluru; Editing by Alan Barona)