Rackspace Technology, Inc. (RXT) is a leader in end-to-end multi-cloud tech service distribution. The company is engaged in designing, building, and operating its customers’ cloud environments across entire main tech platforms.
The price of RXT stock during the regular trading on February 22, 2022, was $10.8 with a loss of 8.9%. At last check in the pre-market, the stock declined further by 24.61%.
RXT: Key Financials
On February 22, 2022, RXT released its financial results for the fourth quarter ended December 31, 2021. Some of the main highlights are discussed below.
Revenue
Record revenue of $777 million was reported in Q4 2021, against a revenue of $716 million in the same quarter of 2020. The company observed an increase of 9% in revenue over the year. Also, it topped the analysts’ estimates of $771.2 million.
EPS
Diluted net loss per share in Q4 2021 was $83 million or $0.39 against $64 million or $0.32 in the same period of 2020. The company’s net loss increased over the yearly period. Also, it missed the analysts’ estimates of -$0.16.
RXT: Events and Happenings
On February 16, 2022, RXT reported on the expansion of its strategic collaboration with Cloudflare. The company offered its services for Cloudflare Zero Trust, to support enterprises reach their goals earlier, help the remote employees, and provide a SASE for their cloud portfolio. On February 10, 2022, RXT updated about its nomination as a Frontrunner in three quadrants of the 2021 ISG Provider Lens AWS Ecosystem Partners Report.
On February 08, 2022, RXT announced its partnership with VoltaGrid for the deployment of a cloud-native solution that leverages IoT, ML, and AI in AWS for its mobile electric microgrids. On February 03, 2022, RXT informed about its nomination as a Top 15 Sourcing Standout by ISG. On January 19, 2022, RXT reported about its collaboration contract to transform BT’s global customers’ cloud services.
On January 18, 2022, RXT updated about its agreement for the acquisition of Just Analytics. On January 06, 2022, RXT announced its partnership with Auronix to utilize and optimize Amazon Web Services, Inc. It will result in a 300% return on investment since application.
Conclusion
RXT down-performed by 48% in the past year as the economy was facing a downfall due to the pandemic. The company’s stock declined in today’s pre-market session following its financials release. Although the company outperformed in the revenue, the EPS estimates were missed by the company which resulted in a stock drop.
