Asana’s stock drops 14% on wider loss despite 70% jump in sales

Asana Inc.’s
X,
+0.18%
stock initially plunged 14% in extended trading Thursday after the software company led by Meta Platforms Inc.
FB,
-0.07%
co-founder Dustin Moskovitz reported fiscal third-quarter results. Asana reported a net loss of $69.3 million, or 37 cents a share, compared with a net loss of $73.3 million, or 65 cents a share, in the year-ago quarter. Revenue climbed 70% to $100.3 million from $58.9 million a year ago. Analysts surveyed by FactSet had expected a loss of 27 cents a share on revenue of $93.9 million. Asana also offered fiscal 2022 revenue guidance of between $371 million and $372 million, above FactSet estimates of $359.5 million. Shares of Asana have soared 208% this year, while the broader S&P 500 index
SPX,
+1.42%
has gained 22%.