C3.ai (AI) – Get Report, a man-made intelligence software program supplier, started buying and selling Wednesday on the New York Stock Alternate at $100 a share, up 138% from its preliminary public providing price of $42.
Finally test, the stock was at $96.48, up 129%.
With the corporate issuing 15.5 million Class A shares, C3.ai raised $651 million. The $42 share price put the corporate’s value at $4.05 billion.
C3 reported income of $156.7 million within the fiscal yr ended April 30, , up from $91.6 million within the prior yr. Over the identical interval, subscription income grew 75% to $135.Four million from $77.5 million. Subscription software program accounts for 86% of whole income.
C3.ai generated a internet lack of $69.Four million within the newest fiscal yr, widening from $33.three million a yr earlier.
“Our market-entry strategy has been to establish high-value customer engagements with large global early adopters, or lighthouse customers, in Europe, Asia, and the U.S. across a range of industries,” the corporate mentioned in its preliminary public providing prospectus. “These lighthouse customers serve as proof points for other potential customers in their particular industries.”
As for dangers, “a limited number of customers have accounted for a substantial portion of our revenue,” C3.ai mentioned. “If existing customers do not renew their contracts with us, … our revenue could decline.”
Additional, “we have a history of operating losses and may not achieve or sustain profitability in the future. We face intense competition and could lose market share to our competitors,” the corporate added.
IPOs have been on a tear because the stock market crashed in March, with the Renaissance IPO ETF (IPO) – Get Report leaping 73% within the final six months.