11:40 AM EST, 11/11/2024 (MT Newswires) -- Monday.com's ( MNDY ) third-quarter results beat Wall Street's estimates, though the project management software provider's enterprise customer additions took a hit amid a choppy macro environment.

Adjusted earnings came in at $0.85 a share for the September quarter, up from $0.64 the year before and ahead of the Capital IQ-polled consensus of $0.63. Third-quarter revenue climbed 33% to $251 million, topping analysts' $246.3 million estimate.

The number of paid customers with more than $50,000 in annual recurring revenue soared 40% year-on-year to 2,907 at the end of September, while the count for clients with more than $100,000 in ARR jumped 44%, according to the company. The overall net dollar retention rate was 111%.

However, pure enterprise customer additions were impacted by slower hiring and sales amid a choppy macro set-up, Chief Financial Officer Eliran Glazer said during an earnings conference call, according to a transcript produced by FactSet.

"We do see a little bit less customer adds, but that's part of our price increase and product strategy that we focus not just on (small and medium businesses) but also on large enterprises," co-Chief Executive Eran Zinman told analysts.

The firm's US-listed stock slid 16% in Monday's trading session.

For full-year 2024, the company now anticipates revenue to be in a range of $964 million to $966 million, up from its previous projections of $956 million to $961 million. The Street is looking for $960.3 million. Adjusted operating income is pegged at $121 million to $123 million, compared with the prior forecast of $100 million to $105 million.

Monday.com ( MNDY ) expects revenue to come in between $260 million and $262 million for the ongoing three-month period, representing annual growth of 28% to 29%. The market view is for revenue of $261 million.

"There is some still macro headwinds to a certain extent in some areas of the market," Glazer said on the call. "There is some cautious spend environment with many of our customers."

Additionally, the company said it appointed Adi Dar as chief operating officer, while Yoni Osherov will step down as chief revenue officer at the end of December. Dar previously served as chief executive of Elbit Systems' ( ESLT ) electro-optics subsidiary, ELOP. The company has launched a process to find a successor to Osherov.

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