04:59 PM EDT, 06/03/2024 (MT Newswires) -- Coveo (CVO.TO), down 4.8% on Monday ahead of fiscal fourth-quarter results that showed its loss narrowed for the period.

While the artificial-intelligence company reported fourth quarter results it said were either "well ahead" of or "at the top end" of guidance, it also flagged that "remaining revenue from the acquired Qubit platform will decline further".

The company said its lost US$4.1 million in the quarter ended March 31, compared to a loss of US$7.2 million in the year-prior quarter.

Revenue rose 12% to US$32.6 million from US$29.1 million.

Separately, Coveo also said it is launching of a substantial issuer bid to buy back and cancel C$50 million of its subordinate voting shares and intends to renew its normal course issuer bid. It said further details on the renewed NCIB will be provided in due course.

Coveo reported an adjusted operating loss in the quarter of US$0.8 million compared to US$4.4 million, which it said was "well ahead of guidance" for a loss of between US$2.0 to US$3.0 million. SaaS subscription revenue rose to US$30.7 million compared to US$27.1 million, an increase of 13%, and "at the top end" of guidance.

In its outlook, Coveo provided forecast ranges on SaaS Subscription Revenue, Total Revenue, and Adjusted EBITDA for Q1 FY 2025 and fiscal year 2025. Its financial outlook "includes the assumption that the remaining revenue from the acquired Qubit platform will decline further, as the company continues its integration of the platform and IP that was acquired with Qubit into the Coveo core platform."

For SaaS subscription revenue, for Q1 FY25 it sees US$30.2 to US$30.5 million and for FY25 it sees US$126.0 to US$130.0 million. It expects total revenue between US$31.8 and US$32.1 million and US$133.0 to $138.0 million for the year.

Coveo shares closed down C$0.37 to C$7.34 on the Toronto Stock Exchange.