Yelp’s stock is up after another quarter of record revenue

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Yelp Inc.’s stock rose 3% in extended trading Thursday after the company reported quarterly revenue and earnings that topped analysts’ estimates, as well as strong annual sales guidance.

It marked the 10th straight quarter of double-digit revenue growth, Yelp Chief Financial Officer David Schwarzbach said in an interview. High-intent traffic and trust among high-income, educated customers has “helped us in a challenging environment for advertising,” Schwarzbach said.

Yelp
YELP,
+2.42%
reported fiscal third-quarter net income of $58 million, or 79 cents a share, compared with net income of $9.1 million, or 13 cents a share, in the year-ago quarter.

Net revenue was a record $345 million, up 12% from $308.9 million a year ago.

Analysts surveyed by FactSet had expected on average net earnings of 34 cents a share on revenue of $341 million.

Yelp executives are expecting $1.332 billion to $1.337 billion in annual revenue, while analysts surveyed by FactSet foresee $1.33 billion.

Shares of Yelp have surged 57% this year. The broader S&P 500 index
SPX
has increased 12%.

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