Wix Turns To Q1 Profit, Adj. EPS Beats View; Sees Revenue Growth In Q2; Lifts FY24 Revenue View

(RTTNews) - Wix.com Ltd. (WIX), a SaaS website builder platform, reported Monday that its first-quarter net income was $24.0 million or $0.41 per share, compared to last year's loss of $10.37 million or $0.18 per share.

Adjusted net income was $77.3 million or $1.29 per share, compared to $51.10 million or $0.91 per share a year ago.

Analysts on average expected the company to report earnings of $1.03 per share, according to figures compiled by Thomson Reuters. Analysts' estimates typically exclude special items.

Total revenue of $419.78 million grew 12 percent from prior year's $374.08 million, driven by continued momentum in the Partners business. This reflected market share gains and stronger than anticipated Wix Studio uptake.

The Street was looking for revenues of $417.84 million for the quarter.

Looking ahead for the second quarter, the company expects total revenue of $431 million to $435 million, representing 11 percent to 12 percent growth from the prior year. The Street is looking for revenues of $435.21 million for the quarter.

Further, for fiscal 2024, the company now expects revenue to be $1.738 billion to $1.761 billion, or 11 percent to 13 percent year-over-year growth, compared to previous outlook of $1.726 billion to $1.757 billion as a result of better visibility in the business and higher bookings expectations. Analysts project revenues of $1.75 billion for the year.

The company further raised full-year bookings outlook to $1.796 billion to $1.826 billion, or 12 percent to 14 percent growth, from previous outlook of $1.784 billion to $1.813 billion.

Total bookings in the second half are expected to accelerate to 16 percent at the high end of guidance range, up from 15 percent as previously anticipated.

Meanwhile, the company contineus to expect positive operating income in 2024 as well as a second consecutive year of net income.

Wix still expects adjusted total gross margin of 68-69 percent with adjusted Business Solutions gross margin to exceed 30 percent for the full year.

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