Trimble Q4 Results Miss Street View; Issues Cautious Outlook - Trimble (NASDAQ:TRMB)

Trimble Inc TRMB reported a fourth-quarter FY22 revenue decline of 8% to $856.5 million, missing the consensus of $877.2 million. Revenue was flat on an organic basis.
Annualized recurring revenue was $1.60 billion, up 16% Y/Y on an organic basis.
Product revenue declined 17.8% Y/Y to $462 million. Service revenue fell by 0.7% Y/Y to $163.9 million.
Subscription revenue rose 15.9% Y/Y to $230.6 million.
Non-GAAP gross margin expanded by 400 bps to 61.8%. Non-GAAP EPS of $0.60 missed the consensus of $0.61.
Trimble held $271 million in cash and equivalents.
CEO Rob Painter said, "Record revenue, annualized recurring revenue, and gross margins in 2022 demonstrate progression of our Connect and Scale strategy. We enter 2023 with resolve to continue executing our strategy while navigating macroeconomic uncertainties."
FY23 Outlook: Trimble expects revenue of $3.70 billion - $3.80 billion, below the consensus of $3.87 billion.
Trimble forecasts non-GAAP EPS of $2.66 - $2.86 against the Street view of $2.93.
Price Action: TRMB shares traded lower by 4.72% at $56.81 on the last check Wednesday.