Shares of C3.ai Inc. were surging 14% in after-hours action Thursday after the software company, which deals in enterprise artificial intelligence, issued an upbeat forecast and cited a “dramatic change” in market sentiment.
The company reported a fiscal third-quarter net loss of $63.2 million, or 57 cents a share, compared with a loss of $39.5 million, or 38 cents a share, in the year-earlier period. On an adjusted basis, C3.ai
AI,
lost 6 cents a share, whereas analysts tracked by FactSet were expecting a 22-cent adjusted loss per share.
C3.ai’s revenue declined to $66.7 million from $69.8 million but exceeded the consensus view, which was for $64.2 million.
The company posted a customer count of 236.
“As we enter Q4 FY 23, we are seeing tailwinds from improved business optimism and increased interest in applying C3 AI solutions to address an increasing range of applications across a broad range of industries,” Chief Executive Thomas Siebel said in a release. “The overall business sentiment appears to be improving. This is a dramatic change from what we experienced in mid 2022.”
For the fiscal fourth quarter, management at C3.ai expects $70 million to $72 million in revenue. The FactSet consensus was for $69.9 million.
Executives also anticipate a $24 million to $28 million adjusted loss from operations.
Siebel said in the release that C3.ai remains on track to become “cash positive and non-GAAP profitable” by the end of fiscal 2024.
Shares of the company have shot up 90% so far this year amid heated Wall Street interest in artificial intelligence. The S&P 500 index
SPX,
is up about 4% on the year.
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