AvidXchange Holdings (NASDAQ:AVDX) shares dropped nearly 10% on Wednesday following the company’s reported Q4 results, with EPS of ($0.13) coming in worse than the Street estimate of ($0.09). Revenue was $86.18 million, compared to the Street estimate of $85.29 million.

Positively, the ramp in float revenues has allowed the company to pull forward its adjusted EBITDA breakeven to this year from 2024. However, management highlighted broad-based caution among mid-market buyers which has resulted in sales cycles elongating by 5-10 days along with a pullback discretionary spending across advertising, marketing, and professional services.

The company provided its fiscal 2023 revenue guidance of $359-$366 million (13.5-15.7% year-over-year), which is below the Street estimate.