The U.S. design software corporation Figma reported better-than-expected quarterly results in its first announcement since going public, yet its stock price fell sharply.
On the 3rd (local time), Figma's stock closed up 3.90% during regular trading on the New York Stock Exchange, but plunged 13% in after-hours trading, dropping to $59.06 and falling below the $60 mark. This is nearly half of the $115.50 it traded on its debut day at the end of July.
Figma reported second-quarter revenue of $249.6 million and a net income of $840,000. Revenue increased by 41% compared to the previous year, exceeding Wall Street's average estimate of $248.8 million, and net income turned from a loss to a profit. The third-quarter revenue forecast was also presented at $263 million to $265 million, higher than the market estimate of $256.8 million. Annual revenue is expected to be around $1.02 billion, slightly above market expectations.
Despite the strong performance, the sharp drop in stock price is interpreted as being related to the expiration of lock-up periods. Figma stated that the lock-up on 25% of shares held by some employees is set to expire after the market closes on the 4th; however, this measure does not include executives.