HubSpot's second quarter results beat Wall Street expectations but drew a negative market response, with management attributing the underwhelming outcome to delayed customer purchases and softer net new customer growth. Revenue came in at $911.7 million, up 19.8% year over year and above analyst estimates of $897.9 million, while adjusted EPS of $3.26 beat the $3.02 consensus. The company lowered its full-year revenue guidance to $3.68 billion at the midpoint from $3.70 billion, but raised its adjusted EPS guidance to $13.27 at the midpoint. CEO Yamini Rangan said deliberate changes to pricing and product trials slowed conversions, and that April got off to a slow start. Analysts on the call focused on AI adoption, pricing strategy, and the pace of enterprise versus SMB uptake.
HubSpot IncDeliberate pricing changes slowed conversions, contributing to lowered revenue guidance.
