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Couchbase Set to Report Q3 Earnings: What's in the Cards?

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Couchbase (BASE - Free Report) is scheduled to report its third-quarter fiscal 2025 results on Dec. 3.

The company anticipates revenues between $50.3 million and $51.1 million for the fiscal third quarter. The Zacks Consensus Estimate for the same is pegged at $50.63 million, suggesting growth of 10.51% from the year-ago quarter.

The Zacks Consensus Estimate for non-GAAP loss is pegged at 8 cents per share, unchanged over the past 30 days. The figure has remained flat year over year.

In the last reported quarter, Couchbase delivered an earnings surprise of 25%. Markedly, the company’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average being 41.57%.

Couchbase has seen its stock price decline 8.9% year to date, underperforming the broader Zacks Computer and Technology sector’s growth of 28.2%.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
 

Couchbase, Inc. Price and EPS Surprise

Couchbase, Inc. Price and EPS Surprise

Couchbase, Inc. price-eps-surprise | Couchbase, Inc. Quote

Factors Likely to Shape Couchbase’s Upcoming Results

The company's fiscal third-quarter performance is expected to have benefited from strong growth in new logo addition and expanding customer base. BASE’s expanding reach in industries like healthcare, finance, manufacturing, retail, hospitality, travel, as well as technology and communications, is expected to have driven the top line in the to-be-reported quarter. Couchbase added 62 new logos in the second quarter of fiscal 2025 compared with 12 in the first quarter of fiscal 2025, and the trend Is expected to continue in the to-be-reported quarter as well. 

Couchbase Capella’s strong performance is expected to have driven business momentum due to increased cloud migration and customer uptake in consumption. Couchbase’s strategic expansion efforts bode well for investors. 

Couchbase’s increasing initiatives to land multi-year strategic accounts to support next gen enterprise applications is expected to have positively impacted the third quarter fiscal 2025 results. 

BASE’s scalable architecture, along with its flexible modern database offering, is expected to have driven momentum in the third quarter of fiscal 2025. Capella’s new service additions to provide adaptive applications to users and low TCO is a positive. Further, AI integration across its offerings to integrate operation information with real-time analytics bodes well for investors.

Couchbase Capella’s advancements in adaptive applications to enhance DBaaS access are expected to have contributed to the top line. BASE’s efforts to provide users with a personalized experience are expected to have driven customer momentum in the to-be-reported quarter. 

BASE’s Couchbase Mobile, including vector search and Capella Free Tier, which is a perpetual free developer environment, is expected to have driven the top line by increasing market reach. Capella Columnar is anticipated to have favored BASE's top line by providing users with the capability to unify operational and analytical workloads through one platform. 

However, BASE’s third-quarter fiscal 2025 performance is expected to be affected by customer loss and down-sell. Dull ARR performance is expected to have hurt prospects in the to-be-reported quarter. 

BASE’s top line can be expected to be affected by macroeconomic headwinds and intense competition in the Internet Software industry. Foreign exchange volatility and persisting inflation are concerns for investors and may have negatively contributed to the topline’s performance in the third quarter of fiscal 2025.

What Our Model Unveils for BASE Stock

Our proven model does not conclusively predict an earnings beat for Couchbase this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

BASE has an Earnings ESP of 0.00% and a Zacks Rank #3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Stocks to Consider

Here are some stocks which, according to our model, have the right combination of elements.

Fortinet (FTNT - Free Report) has an Earnings ESP of +4.78% and sports a Zacks Rank #1 at present.

The Zacks Consensus Estimate for the company’s long-term earnings is pegged at $18.3 per share. Shares of FTNT have returned 62.4% in the year-to-date period.

Meta Platforms (META - Free Report) has an Earnings ESP of +0.15% and a Zacks Rank #2 at present.

The Zacks Consensus Estimate for the company’s long-term earnings is pegged at $20.1 per share. Shares of META have returned 62.3% in the year-to-date period.

Reddit Inc. (RDDT - Free Report) has an Earnings ESP of +10.02% and carries a Zacks Rank #2 at present.

The Zacks Consensus Estimate for the company’s long-term earnings is pegged at $36 per share. Shares of RDDT have returned 179% in the year-to-date period.


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