Technology
Wix Reports Second Quarter 2024 Results
Published
5 months agoon
By
Accelerated bookings growth, driven by key product initiatives, and FCF margin expansion in Q2 builds momentum for 2H
Meaningful bookings growth acceleration with total bookings of $458.4 million, up 15% y/y, as a result of strong Wix Studio uptake, benefits from growing AI capabilities and commerce platform expansion as well as positive response to the price increase implemented earlier this yearBookings growth accelerated across both Self Creators and PartnersContinue to expect bookings growth acceleration to 16% y/y in 2H at the high end of full year guidance rangeTotal revenue of $435.7 million exceeded expectations, up 12% y/y, driven by strong Partners growth of 29% y/yRecord take rate of 1.68%, driven by transaction revenue growth of 21% y/y as we added a new payment partner to Wix PaymentsContinued margin expansion with Q2 FCF1 margin of 27%, driven by additional operating leverageHigh end of increased full year FCF1 outlook positions us to achieve the Rule of 40 milestone this year, one full year ahead of plan
NEW YORK, Aug. 7, 2024 /PRNewswire/ — Wix.com Ltd. (Nasdaq: WIX), the leading SaaS website builder platform globally,2 today reported financial results for the second quarter of 2024. In addition, the Company provided its outlook for the third quarter and an updated outlook for full year 2024. Please visit the Wix Investor Relations website at https://investors.wix.com/ to view the Q2’24 Shareholder Update and other materials.
“Excellent Q2 results capped off a strong first half of 2024, fueled by successful execution of our strategic initiatives, solid business fundamentals and continued product innovation,” said Avishai Abrahami, Wix Co-founder and CEO. “We made incredible strides towards our key growth pillars and drove significant bookings growth acceleration this quarter. First, Wix Studio continued to outperform expectations, as Studio subscription purchases accelerated, retention remained strong and the number of Studio accounts purchasing multiple subscriptions ramped. We also continued to execute against our AI strategy with the release of 17 AI business assistants so far this year. These assistants are improving the user creation experience while minimizing the amount of support resources required from us. With dozens more still slated to launch this year, AI assistants will soon be everywhere on our platform and in nearly every product. Finally, expansion of our commerce platform with the addition of a new Wix Payments partner resulted in record take rate of 1.68% in Q2. We expect these product initiatives to increasingly become more meaningful drivers of growth in the years to come.”
“Strong execution of our key growth initiatives and solid business fundamentals drove incredible growth momentum and additional margin expansion this quarter,” added Lior Shemesh, CFO at Wix. “Year-over-year bookings growth accelerated to 15% in Q2 from 10% in Q1 as a result of our growth initiatives as well as the price increase implemented earlier this year. Notably, this growth was underpinned by bookings growth acceleration across both Self Creators and Partners businesses. These key product initiatives paired with solid user behavior are expected to drive continued bookings growth acceleration to 16% in 2H at the high end of our expectations. In addition, we delivered further margin expansion this quarter as our stable cost base drove operating leverage, resulting in Q2 FCF margin of 27%. With continued operating leverage expected for the full year, we are increasing our full year FCF outlook. We are now positioned to achieve the Rule of 40 milestone this year at the high end of our guidance range, one year ahead of our three-year plan.”
Q2 2024 Financial Results
Total revenue in the second quarter of 2024 was $435.7 million, up 12% y/yCreative Subscriptions revenue in the second quarter of 2024 was $312.1 million, up 9% y/yCreative Subscriptions ARR increased to $1.28 billion as of the end of the quarter, up 10% y/yBusiness Solutions revenue in the second quarter of 2024 was $123.6 million, up 20% y/yTransaction revenue3 was $53.9 million, up 21% y/yPartners revenue4 in the second quarter of 2024 was $148.4 million, up 29% y/yTotal bookings in the second quarter of 2024 were $458.4 million, up 15% y/yCreative Subscriptions bookings in the second quarter of 2024 were $329.0 million, up 12% y/yBusiness Solutions bookings in the second quarter of 2024 were $129.4 million, up 24% y/yTotal gross margin on a GAAP basis in the second quarter of 2024 was 67%Creative Subscriptions gross margin on a GAAP basis was 83%Business Solutions gross margin on a GAAP basis was 28%Total non-GAAP gross margin in the second quarter of 2024 was 68%Creative Subscriptions gross margin on a non-GAAP basis was 84%Business Solutions gross margin on a non-GAAP basis was 30%GAAP net income in the second quarter of 2024 was $39.5 million, or $0.71 per basic share and $0.68 per diluted shareNon-GAAP net income in the second quarter of 2024 was $99.6 million, or $1.80 per basic share and $1.67 per diluted shareNet cash provided by operating activities for the second quarter of 2024 was $120.0 million, while capital expenditures totaled $7.2 million, leading to free cash flow of $112.8 millionExcluding capital expenditures and other expenses associated with the build out of our new corporate headquarters, free cash flow for the second quarter of 2024 would have been $117.8 million, or 27% of revenueCompleted $225 million of share repurchases, marking over $1 billion of share repurchases executed since 2021Total employee count at the end of Q2’24 was 5,242, flat q/q
____________________
1 Free cash flow excluding expenses associated with the buildout of our new corporate headquarters.
2 Based on the number of active live sites as reported by key competitors’ figures, independent third-party-data and internal data as of Q1 2024.
3 Transaction revenue is a portion of Business Solutions revenue, and we define transaction revenue as all revenue generated through transaction facilitation, primarily from Wix Payments, as well as Wix POS, shipping solutions and multi-channel commerce and gift card solutions.
4 Partners revenue is defined as revenue generated through agencies and freelancers that build sites or applications for other users (“Agencies”) as well as revenue generated through B2B partnerships, such as LegalZoom or Vistaprint (“Resellers”). We identify Agencies using multiple criteria, including but not limited to, the number of sites built, participation in the Wix Partner Program and/or the Wix Marketplace or Wix products used (incl. Wix Studio). Partners revenue includes revenue from both the Creative Subscriptions and Business Solutions businesses.
In Q1 2024, the definition was slightly revised to exclude revenue generated from agreements with enterprise users that, by their nature, are more suitable to be categorized under revenue generated by Self Creators. Such revision had an immaterial impact on prior period amounts.
Financial Outlook
Our guidance for the second half of the year reflects the momentum built up in the first six months, particularly from the strong traction of our key product initiatives and solid business fundamentals.
We are updating our full year bookings outlook to $1,802 – $1,822 million, or 13-14% y/y growth, compared to previous guidance of $1,796 – $1,826 million, or 12-14% y/y growth. This outlook reflects the continued expectation that y/y bookings growth will accelerate to 16% in 2H at the high end of our guidance range, as a result of accelerating growth across both Self Creators and Partners. Acceleration is expected to be driven by continued Wix Studio outperformance, benefits from our AI products and our expanded commerce platform, as well as strong user uptake of the price increase implemented earlier this year.
Bookings acceleration in 2024 is expected to translate into y/y revenue growth acceleration in 2025.
We are also updating our full year revenue outlook to $1,747 – $1,761 million, or 12-13% y/y, compared to $1,738 – $1,761 million, or 11-13% y/y growth, previously.
We expect total revenue growth in Q3’24 of $440 – $445 million, or 12-13% y/y growth.
For the full year 2024, we continue to expect non-GAAP total gross margin of 68-69% with non-GAAP Business Solutions gross margin to exceed 30% for the full year. We now expect non-GAAP operating expenses to be approximately 50% of revenue for the full year, slightly improved from our previous expectation of 50-51% of revenue, driven by additional operating leverage expected.
We now expect to generate free cash flow, excluding headquarters costs, of $460 – $470 million, or 26-27% of revenue, in 2024, up from $445 – $455 million, or ~26% of revenue. This increase in free cash flow is expected to be primarily driven by continued operating leverage.
As a result of strong top-line growth and incremental margin improvements, we are now poised to achieve the Rule of 40 milestone this year, if we achieve the high end of our guidance ranges.
Conference Call and Webcast Information
Wix will host a conference call to discuss the results at 8:30 a.m. ET on Wednesday, August 7, 2024. To participate on the live call, analysts and investors should register and join at https://register.vevent.com/register/BI95980ddbd705465cbdf5f8441a1352ac. A replay of the call will be available through August 6, 2025 via the registration link.
Wix will also offer a live and archived webcast of the conference call, accessible from the “Investor Relations” section of the Company’s website at https://investors.wix.com/.
About Wix.com Ltd.
Wix is the leading SaaS website builder platform globally2 to create, manage and grow a digital presence. What began as a website builder in 2006 is now a complete platform providing users with enterprise-grade performance, security and a reliable infrastructure. Offering a wide range of commerce and business solutions, advanced SEO and marketing tools, Wix enables users to take full ownership of their brand, their data and their relationships with their customers. With a focus on continuous innovation and delivery of new features and products, anyone can build a powerful digital presence to fulfill their dreams on Wix.
For more about Wix, please visit our Press Room
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Non-GAAP Financial Measures and Key Operating Metrics
To supplement its consolidated financial statements, which are prepared and presented in accordance with U.S. GAAP, Wix uses the following non-GAAP financial measures: bookings, cumulative cohort bookings, bookings on a constant currency basis, revenue on a constant currency basis, non-GAAP gross margin, non-GAAP operating income (loss), non-GAAP operating margin, non-GAAP net income (loss), non-GAAP net income (loss) per share, free cash flow, free cash flow, as adjusted, free cash flow margins, non-GAAP R&D expenses, non-GAAP S&M expenses, non-GAAP G&A expenses, non-GAAP operating expenses, non-GAAP cost of revenue expense, non-GAAP financial expense, non-GAAP tax expense (collectively the “Non-GAAP financial measures”). Measures presented on a constant currency or foreign exchange neutral basis have been adjusted to exclude the effect of y/y changes in foreign currency exchange rate fluctuations. Bookings is a non-GAAP financial measure calculated by adding the change in deferred revenues and the change in unbilled contractual obligations for a particular period to revenues for the same period. Bookings include cash receipts for premium subscriptions purchased by users as well as cash we collect from business solutions, as well as payments due to us under the terms of contractual agreements for which we may have not yet received payment. Cash receipts for premium subscriptions are deferred and recognized as revenues over the terms of the subscriptions. Cash receipts for payments and the majority of the additional products and services (other than Google Workspace) are recognized as revenues upon receipt. Committed payments are recognized as revenue as we fulfill our obligation under the terms of the contractual agreement. Bookings and Creative Subscriptions Bookings are also presented on a further non-GAAP basis by excluding, in each case, bookings associated with long term B2B partnership agreements. Non-GAAP gross margin represents gross profit calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense, acquisition-related expenses and amortization, divided by revenue. Non-GAAP operating income (loss) represents operating income (loss) calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense, amortization, acquisition-related expenses and sales tax expense accrual and other G&A expenses (income). Non-GAAP net income (loss) represents net loss calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense, amortization, sales tax expense accrual and other G&A expenses (income), amortization of debt discount and debt issuance costs and acquisition-related expenses and non-operating foreign exchange expenses (income). Non-GAAP net income (loss) per share represents non-GAAP net income (loss) divided by the weighted average number of shares used in computing GAAP loss per share. Free cash flow represents net cash provided by (used in) operating activities less capital expenditures. Free cash flow, as adjusted, represents free cash flow further adjusted to exclude one-time cash restructuring charges and the capital expenditures and other expenses associated with the buildout of our new corporate headquarters. Free cash flow margins represent free cash flow divided by revenue. Non-GAAP cost of revenue represents cost of revenue calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense, acquisition-related expenses and amortization. Non-GAAP R&D expenses represent R&D expenses calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense, acquisition-related expenses and amortization. Non-GAAP S&M expenses represent S&M expenses calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense, acquisition-related expenses and amortization. Non-GAAP G&A expenses represent G&A expenses calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense, acquisition-related expenses and amortization. Non-GAAP operating expenses represent operating expenses calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense, acquisition-related expenses and amortization. Non-GAAP financial expense represents financial expense calculated in accordance with GAAP as adjusted for unrealized gains of equity investments, amortization of debt discount and debt issuance costs and non-operating foreign exchange expenses. Non-GAAP tax expense represents tax expense calculated in accordance with GAAP as adjusted for provisions for income tax effects related to non-GAAP adjustments.
The presentation of this financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. The Company uses these non-GAAP financial measures for financial and operational decision making and as a means to evaluate period-to-period comparisons. The Company believes that these measures provide useful information about operating results, enhance the overall understanding of past financial performance and future prospects, and allow for greater transparency with respect to key metrics used by management in its financial and operational decision making.
For more information on the non-GAAP financial measures, please see the reconciliation tables provided below. The accompanying tables have more details on the GAAP financial measures that are most directly comparable to non-GAAP financial measures and the related reconciliations between these financial measures. The Company is unable to provide reconciliations of free cash flow, free cash flow, as adjusted, cumulative cohort bookings, non-GAAP gross margin, and non-GAAP tax expense to their most directly comparable GAAP financial measures on a forward-looking basis without unreasonable effort because items that impact those GAAP financial measures are out of the Company’s control and/or cannot be reasonably predicted. Such information may have a significant, and potentially unpredictable, impact on our future financial results.
Wix also uses Creative Subscriptions Annualized Recurring Revenue (ARR) as a key operating metric. Creative Subscriptions ARR is calculated as Creative Subscriptions Monthly Recurring Revenue (MRR) multiplied by 12. Creative Subscriptions MRR is calculated as the total of (i) the total monthly revenue of all Creative Subscriptions in effect on the last day of the period, other than domain registrations; (ii) the average revenue per month from domain registrations multiplied by all registered domains in effect on the last day of the period; and (iii) monthly revenue from other partnership agreements including enterprise partners.
Forward-Looking Statements
This document contains forward-looking statements, within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Such forward-looking statements may include projections regarding our future performance, including, but not limited to revenue, bookings and free cash flow, and may be identified by words like “anticipate,” “assume,” “believe,” “aim,” “forecast,” “indication,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “outlook,” “future,” “will,” “seek” and similar terms or phrases. The forward-looking statements contained in this document, including the quarterly and annual guidance, are based on management’s current expectations, which are subject to uncertainty, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Important factors that could cause our actual results to differ materially from those indicated in the forward-looking statements include, among others, our expectation that we will be able to attract and retain registered users and partners, and generate new premium subscriptions, in particular as we continuously adjust our marketing strategy and as the macro-economic environment continues to be turbulent; our expectation that we will be able to increase the average revenue we derive per premium subscription, including through our partners; our expectation that new products and developments, as well as third-party products we will offer in the future within our platform, will receive customer acceptance and satisfaction, including the growth in market adoption of our online commerce solutions and our Wix Studio product; our expectations regarding our ability to develop relevant and required products using artificial intelligence (“AI”), the regulatory environment impacting AI and AI-related activities, including privacy and intellectual property, and potential competitive impacts from AI tools; our assumption that historical user behavior can be extrapolated to predict future user behavior, in particular during turbulent macro-economic environments; our prediction of the future revenues and/or bookings generated by our user cohorts and our ability to maintain and increase such revenue growth, as well as our ability to generate and maintain elevated levels of free cash flow and profitability; our expectation to maintain and enhance our brand and reputation; our expectation that we will effectively execute our initiatives to improve our user support function through our Customer Care team, and continue attracting registered users and partners, and increase user retention, user engagement and sales; our ability to successfully localize our products, including by making our product, support and communication channels available in additional languages and to expand our payment infrastructure to transact in additional local currencies and accept additional payment methods; our expectation regarding the impact of fluctuations in foreign currency exchange rates, interest rates, potential illiquidity of banking systems, and other recessionary trends on our business; our expectations relating to the repurchase of our ordinary shares and/or Convertible Notes pursuant to our repurchase program; our expectation that we will effectively manage our infrastructure; our expectation to comply with AI, privacy, and data protection laws and regulations as well as contractual privacy and data protection obligations; our expectations regarding the outcome of any regulatory investigation or litigation, including class actions; our expectations regarding future changes in our cost of revenues and our operating expenses on an absolute basis and as a percentage of our revenues, as well as our ability to achieve and maintain profitability; our expectations regarding changes in the global, national, regional or local economic, business, competitive, market, and regulatory landscape, including as a result of Israel-Hamas war and/or the Israel-Hezbollah hostilities and/or the Ukraine–Russia war and any escalations thereof and potential for wider regional instability and conflict; our planned level of capital expenditures and our belief that our existing cash and cash from operations will be sufficient to fund our operations for at least the next 12 months and for the foreseeable future; our expectations with respect to the integration and performance of acquisitions; our ability to attract and retain qualified employees and key personnel; and our expectations about entering into new markets and attracting new customer demographics, including our ability to successfully attract new partners large enterprise-level users and to grow our activities, including through the adoption of our Wix Studio product, with these customer types as anticipated and other factors discussed under the heading “Risk Factors” in the Company’s annual report on Form 20-F for the year ended December 31, 2023 filed with the Securities and Exchange Commission on March 22, 2024. The preceding list is not intended to be an exhaustive list of all of our forward-looking statements. Any forward-looking statement made by us in this press release speaks only as of the date hereof. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statements, whether as a result of new information, future developments or otherwise.
Wix.com Ltd.
CONSOLIDATED STATEMENTS OF OPERATIONS – GAAP
(In thousands, except loss per share data)
Three Months Ended
Six Months Ended
June 30,
June 30,
2024
2023
2024
2023
(unaudited)
(unaudited)
Revenues
Creative Subscriptions
$ 312,125
$ 287,089
$ 616,418
$ 565,219
Business Solutions
123,621
102,888
239,104
198,834
435,746
389,977
855,522
764,053
Cost of Revenues
Creative Subscriptions
53,039
52,050
107,842
109,534
Business Solutions
88,635
75,844
171,129
147,838
141,674
127,894
278,971
257,372
Gross Profit
294,072
262,083
576,551
506,681
Operating expenses:
Research and development
119,257
115,490
243,502
230,433
Selling and marketing
102,498
96,037
209,732
195,170
General and administrative
43,712
37,250
85,042
75,767
Impairment, restructuring and other costs
–
330
–
25,668
Total operating expenses
265,467
249,107
538,276
527,038
Operating income (loss)
28,605
12,976
38,275
(20,357)
Financial income, net
12,383
20,053
31,267
41,430
Other income
38
118
249
175
Income before taxes on income
41,026
33,147
69,791
21,248
Income tax expenses (benefit)
1,508
(430)
6,271
(1,960)
Net income
$ 39,518
$ 33,577
$ 63,520
$ 23,208
Basic net income per share
$ 0.71
$ 0.59
$ 1.14
$ 0.41
Basic weighted-average shares used to compute net income per share
55,361,595
56,744,007
55,730,296
56,576,286
Diluted net income per share
$ 0.68
$ 0.56
$ 1.09
$ 0.40
Diluted weighted-average shares used to compute net income per share
59,526,418
62,186,895
58,373,454
58,180,044
Wix.com Ltd.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
Period ended
June 30,
December 31,
2024
2023
Assets
(unaudited)
(audited)
Current Assets:
Cash and cash equivalents
$ 276,067
$ 609,622
Short-term deposits
240,956
212,709
Restricted deposits
1,296
2,125
Marketable securities
270,104
140,563
Trade receivables
55,784
57,394
Prepaid expenses and other current assets
83,812
47,792
Total current assets
928,019
1,070,205
Long-Term Assets:
Prepaid expenses and other long-term assets
25,466
34,296
Property and equipment, net
136,277
136,928
Marketable securities
13,953
64,806
Intangible assets, net
25,062
28,010
Goodwill
49,329
49,329
Operating lease right-of-use assets
412,903
420,562
Total long-term assets
662,990
733,931
Total assets
$1,591,009
$ 1,804,136
Liabilities and Shareholders’ Deficiency
Current Liabilities:
Trade payables
$ 18,379
$ 38,305
Employees and payroll accruals
67,842
56,581
Deferred revenues
650,878
592,608
Accrued expenses and other current liabilities
85,063
76,556
Operating lease liabilities
26,815
24,981
Total current liabilities
848,977
789,031
Long Term Liabilities:
Long-term deferred revenues
91,859
83,384
Long-term deferred tax liability
902
7,167
Convertible notes, net
571,295
569,714
Other long-term liabilities
9,755
7,699
Long-term operating lease liabilities
390,931
401,626
Total long-term liabilities
1,064,742
1,069,590
Total liabilities
1,913,719
1,858,621
Shareholders’ Deficiency
Ordinary shares
103
110
Additional paid-in capital
1,682,419
1,539,952
Treasury Stock
(1,025,167)
(558,875)
Accumulated other comprehensive loss
(3,721)
4,192
Accumulated deficit
(976,344)
(1,039,864)
Total shareholders’ deficiency
(322,710)
(54,485)
Total liabilities and shareholders’ deficiency
$1,591,009
$ 1,804,136
Wix.com Ltd.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
Three Months Ended
Six Months Ended
June 30,
June 30,
2024
2023
2024
2023
(unaudited)
(unaudited)
OPERATING ACTIVITIES:
Net income
$ 39,518
$ 33,577
$ 63,520
$ 23,208
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation
6,427
4,497
12,869
9,419
Amortization
1,465
1,489
2,948
2,977
Share based compensation expenses
59,886
53,660
118,028
108,181
Amortization of debt discount and debt issuance costs
791
1,310
1,581
2,618
Changes in accrued interest and exchange rate on short term and long term deposits
890
133
1,770
108
Non-cash impairment, restructuring and other costs
–
330
–
21,164
Amortization of premium and discount and accrued interest on marketable securities, net
3,937
4,132
4,534
4,672
Remeasurement gain on Marketable equity
–
(8,814)
(3,367)
(22,712)
Changes in deferred income taxes, net
(208)
(6,318)
(5,219)
(10,462)
Changes in operating lease right-of-use assets
5,286
5,356
10,310
11,152
Changes in operating lease liabilities
(7,860)
(26,208)
(11,512)
(34,329)
Loss on foreign exchange, net
1,598
–
2,151
–
Decrease (increase) in trade receivables
491
(708)
1,610
(11,182)
Decrease (increase) in prepaid expenses and other current and long-term assets
(28,195)
8,000
(40,763)
(2,858)
Decrease in trade payables
(14,502)
(11,301)
(16,625)
(52,971)
Increase (decrease) in employees and payroll accruals
13,690
(17,932)
11,261
(27,974)
Increase in short term and long term deferred revenues
25,426
12,043
66,745
73,018
Increase (decrease) in accrued expenses and other current liabilities
11,389
(5,485)
14,024
(307)
Net cash provided by operating activities
120,029
47,761
233,865
93,722
INVESTING ACTIVITIES:
Proceeds from short-term deposits and restricted deposits
162
367,610
985
423,701
Investment in short-term deposits and restricted deposits
(11)
(4,480)
(30,173)
(63,460)
Investment in marketable securities
(163,698)
–
(191,545)
–
Proceeds from marketable securities
38,350
115,979
91,155
174,369
Purchase of property and equipment and lease prepayment
(6,871)
(15,175)
(14,586)
(34,749)
Capitalization of internal use of software
(324)
(576)
(734)
(1,934)
Investment in other assets
–
(111)
–
(111)
Proceeds from investment in other assets
550
–
550
–
Proceeds from sale of equity securities
–
17,607
22,148
49,468
Purchases of investments in privately held companies
(460)
–
(1,010)
(7,500)
Net cash provided by investing activities
(132,302)
480,854
(123,210)
539,784
FINANCING ACTIVITIES:
Proceeds from exercise of options and ESPP shares
1,615
1,176
24,243
20,831
Purchase of treasury stock
(225,000)
(50,000)
(466,302)
(68,319)
Repayment of convertible notes
–
(362,667)
–
(362,667)
Net cash provided by (used in) financing activities
(223,385)
(411,491)
(442,059)
(410,155)
Effect of exchange rates on cash, cash equivalent and restricted cash
(1,598)
–
(2,151)
–
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS
(237,256)
117,124
(333,555)
223,351
CASH AND CASH EQUIVALENTS—Beginning of period
513,323
350,913
609,622
244,686
CASH AND CASH EQUIVALENTS—End of period
$ 276,067
$ 468,037
$ 276,067
$ 468,037
Wix.com Ltd.
KEY PERFORMANCE METRICS
(In thousands)
Three Months Ended
Six Months Ended
June 30,
June 30,
2024
2023
2024
2023
(unaudited)
(unaudited)
Creative Subscriptions
312,125
287,089
616,418
565,219
Business Solutions
123,621
102,888
239,104
198,834
Total Revenues
$ 435,746
$ 389,977
$ 855,522
$ 764,053
Creative Subscriptions
328,967
293,929
663,604
607,358
Business Solutions
129,432
104,570
252,076
206,046
Total Bookings
$ 458,399
$ 398,499
$ 915,680
$ 813,404
Free Cash Flow
$ 112,834
$ 32,010
$ 218,545
$ 57,039
Free Cash Flow excluding HQ build out and restructuring costs
$ 117,797
$ 49,093
$ 228,870
$ 93,122
Creative Subscriptions ARR
$ 1,276,493
$ 1,159,744
$ 1,276,493
$ 1,159,744
Wix.com Ltd.
RECONCILIATION OF REVENUES TO BOOKINGS
(In thousands)
Three Months Ended
Six Months Ended
June 30,
June 30,
2024
2023
2024
2023
(unaudited)
(unaudited)
Revenues
$ 435,746
$ 389,977
$ 855,522
$ 764,053
Change in deferred revenues
25,426
12,043
66,745
73,018
Change in unbilled contractual obligations
(2,773)
(3,521)
(6,587)
(23,667)
Bookings
$ 458,399
$ 398,499
$ 915,680
$ 813,404
Three Months Ended
Six Months Ended
June 30,
June 30,
2024
2023
2024
2023
(unaudited)
(unaudited)
Creative Subscriptions Revenues
$ 312,125
$ 287,089
$ 616,418
$ 565,219
Change in deferred revenues
19,615
10,361
53,773
65,806
Change in unbilled contractual obligations
(2,773)
(3,521)
(6,587)
(23,667)
Creative Subscriptions Bookings
$ 328,967
$ 293,929
$ 663,604
$ 607,358
Three Months Ended
Six Months Ended
June 30,
June 30,
2024
2023
2024
2023
(unaudited)
(unaudited)
Business Solutions Revenues
$ 123,621
$ 102,888
$ 239,104
$ 198,834
Change in deferred revenues
5,811
1,682
12,972
7,212
Business Solutions Bookings
$ 129,432
$ 104,570
$ 252,076
$ 206,046
Wix.com Ltd.
RECONCILIATION OF COHORT BOOKINGS
(In millions)
Six Months Ended
June 30,
2024
2023
(unaudited)
Q1 Cohort revenues
$ 21
$ 20
Q1 Change in deferred revenues
22
23
Q1 Cohort Bookings
$ 43
$ 43
Wix.com Ltd.
RECONCILIATION OF REVENUES AND BOOKINGS EXCLUDING FX IMPACT
(In thousands)
Three Months Ended
June 30,
2024
2023
(unaudited)
Revenues
$ 435,746
$ 389,977
FX impact on Q2/24 using Y/Y rates
664
–
Revenues excluding FX impact
$ 436,410
$ 389,977
Y/Y growth
12 %
Three Months Ended
June 30,
2024
2023
(unaudited)
Bookings
$ 458,399
$ 398,499
FX impact on Q2/24 using Y/Y rates
2,194
–
Bookings excluding FX impact
$ 460,593
$ 398,499
Y/Y growth
16 %
Wix.com Ltd.
TOTAL ADJUSTMENTS GAAP TO NON-GAAP
(In thousands)
Three Months Ended
Six Months Ended
June 30,
June 30,
2024
2023
2024
2023
(1) Share based compensation expenses:
(unaudited)
(unaudited)
Cost of revenues
$ 3,516
$ 3,479
$ 7,106
$ 7,717
Research and development
30,782
28,778
61,884
57,072
Selling and marketing
9,206
9,652
19,689
19,210
General and administrative
16,382
11,751
29,349
24,182
Total share based compensation expenses
59,886
53,660
118,028
108,181
(2) Amortization
1,465
1,489
2,948
2,977
(3) Acquisition related expenses
1
244
6
440
(4) Amortization of debt discount and debt issuance costs
791
1,310
1,581
2,618
(5) Impairment, restructuring and other costs
–
330
–
25,668
(6) Sales tax accrual and other G&A expenses
237
157
358
465
(7) Unrealized gain on equity and other investments
831
(8,814)
(2,536)
(22,712)
(8) Non-operating foreign exchange income
(2,921)
(1,843)
(7,584)
(5,505)
(9) Provision for income tax effects related to non-GAAP adjustments
(191)
(2,022)
583
(6,153)
Total adjustments of GAAP to Non GAAP
$ 60,099
$ 44,511
$ 113,384
$ 105,979
Wix.com Ltd.
RECONCILIATION OF GAAP TO NON-GAAP GROSS PROFIT
(In thousands)
Three Months Ended
Six Months Ended
June 30,
June 30,
2024
2023
2024
2023
(unaudited)
(unaudited)
Gross Profit
$ 294,072
$ 262,083
$ 576,551
$ 506,681
Share based compensation expenses
3,516
3,479
7,106
7,717
Acquisition related expenses
–
183
–
207
Amortization
668
667
1,335
1,334
Non GAAP Gross Profit
298,256
266,412
584,992
515,939
Non GAAP Gross margin
68 %
68 %
68 %
68 %
Three Months Ended
Six Months Ended
June 30,
June 30,
2024
2023
2024
2023
(unaudited)
(unaudited)
Gross Profit – Creative Subscriptions
$ 259,086
$ 235,039
$ 508,576
$ 455,685
Share based compensation expenses
2,519
2,562
5,188
5,713
Non GAAP Gross Profit – Creative Subscriptions
261,605
237,601
513,764
461,398
Non GAAP Gross margin – Creative Subscriptions
84 %
83 %
83 %
82 %
Three Months Ended
Six Months Ended
June 30,
June 30,
2024
2023
2024
2023
(unaudited)
(unaudited)
Gross Profit – Business Solutions
$ 34,986
$ 27,044
$ 67,975
$ 50,996
Share based compensation expenses
997
917
1,918
2,004
Acquisition related expenses
–
183
–
207
Amortization
668
667
1,335
1,334
Non GAAP Gross Profit – Business Solutions
36,651
28,811
71,228
54,541
Non GAAP Gross margin – Business Solutions
30 %
28 %
30 %
27 %
Wix.com Ltd.
RECONCILIATION OF OPERATING INCOME (LOSS) TO NON-GAAP OPERATING INCOME
(In thousands)
Three Months Ended
Six Months Ended
June 30,
June 30,
2024
2023
2024
2023
(unaudited)
(unaudited)
Operating income (loss)
$ 28,605
$ 12,976
$ 38,275
$ (20,357)
Adjustments:
Share based compensation expenses
59,886
53,660
118,028
108,181
Amortization
1,465
1,489
2,948
2,977
Impairment, restructuring and other charges
–
330
–
25,668
Sales tax accrual and other G&A expenses
237
157
358
465
Acquisition related expenses
1
244
6
440
Total adjustments
$ 61,589
$ 55,880
$ 121,340
$ 137,731
Non GAAP operating income
$ 90,194
$ 68,856
$ 159,615
$ 117,374
Non GAAP operating margin
21 %
18 %
19 %
15 %
Wix.com Ltd.
RECONCILIATION OF NET INCOME TO NON-GAAP NET INCOME AND NON-GAAP NET INCOME PER SHARE
(In thousands, except per share data)
Three Months Ended
Six Months Ended
June 30,
June 30,
2024
2023
2024
2023
(unaudited)
(unaudited)
Net income
$ 39,518
$ 33,577
$ 63,520
$ 23,208
Share based compensation expenses and other Non GAAP adjustments
60,099
44,511
113,384
105,979
Non-GAAP net income
$ 99,617
$ 78,088
$ 176,904
$ 129,187
Basic Non GAAP net income per share
$ 1.80
$ 1.38
$ 3.17
$ 2.28
Weighted average shares used in computing basic Non GAAP net income per share
55,361,595
56,744,007
55,730,296
56,576,286
Diluted Non GAAP net income per share
$ 1.67
$ 1.26
$ 2.96
$ 2.08
Weighted average shares used in computing diluted Non GAAP net income per share
59,526,418
62,186,895
59,800,202
62,149,558
Wix.com Ltd.
RECONCILIATION OF NET CASH PROVIDED BY OPERATING ACTIVITIES TO FREE CASH FLOW
(In thousands)
Three Months Ended
Six Months Ended
June 30,
June 30,
2024
2023
2024
2023
(unaudited)
(unaudited)
Net cash provided by operating activities
$ 120,029
$ 47,761
$ 233,865
$ 93,722
Capital expenditures, net
(7,195)
(15,751)
(15,320)
(36,683)
Free Cash Flow
$ 112,834
$ 32,010
$ 218,545
$ 57,039
Restructuring and other costs
–
2,453
–
4,504
Capex related to HQ build out
4,963
14,630
10,325
31,579
Free Cash Flow excluding HQ build out and restructuring costs
$ 117,797
$ 49,093
$ 228,870
$ 93,122
View original content to download multimedia:https://www.prnewswire.com/news-releases/wix-reports-second-quarter-2024-results-302216281.html
SOURCE Wix.com Ltd
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Technology
POLLSTAR UNVEILS REFRESHED BRAND, DIGITAL TRANSFORMATION & ENHANCED DATA CAPABILITIES STRENGTHENING POSITION AS THE LEADING VOICE IN LIVE ENTERTAINMENT
Published
6 minutes agoon
January 7, 2025By
World’s Premiere Concert Platform To Rollout New Brand, New Website, Premium Digital Edition
& Greater Data Proficiencies
VenuesNow To Merge Under The Pollstar Brand
LOS ANGELES, Jan. 7, 2025 /PRNewswire/ — Pollstar, the trusted voice and leading resource for the live entertainment industry, is proud to announce a bold new chapter in its storied history. The new Pollstar will feature a refreshed brand reinvention, digital platform and data resources, while remaining the premier publication for the global live industry.
As part of this transformation, and aligning with its sustainability commitment, beginning mid-February 2025 Pollstar will shift to a monthly print schedule and introduce a new weekly digital edition exclusively for subscribers to deliver timely reporting and personalized features. These leading-edge services will include predictive analytics and query-based global insights derived from Pollstar’s industry-leading database spanning the last 43 years of live entertainment. Rounding out the new offerings is a redesigned and streamlined website that will deliver faster access to breaking news, data, and analytics while also creating a seamless user journey for subscribers and casual visitors alike. These updates reflect Pollstar’s unwavering commitment to delivering unparalleled insights, analysis, and industry-leading reporting.
“Pollstar has been the most trusted resource for the live entertainment industry for decades, and this evolution marks an exciting new chapter,” said Andy Gensler, Editor-in-Chief, Pollstar. “Digital adoption has soared over the past decade fundamentally changing the way our subscribers and the larger consumer market engage with our content and data. With this new digital overhaul, we’re adapting to these shifts by leaning heavily into digital technology, data-driven personalization and a new enhanced website. These new features will allow us to deliver first-class editorial, reporting, and experiences that meet the needs of today’s industry professionals and live entertainment enthusiasts ensuring that Pollstar remains the Voice of Live for decades to come.”
As part of this transition, VenuesNow will merge into Pollstar, further strengthening Pollstar’s editorial excellence and expanding the VenuesNow brand reach through cutting-edge digital platforms. Pollstar subscribers will now enjoy VenuesNow content enabling readers to stay current on the ever-evolving venue side of the live industry ecosystem as venues continue to look to ways to enhance the artist and fan experience. Pollstar is upgrading its leading-edge live industry data with more streamlined reporting, integration of AI and in-depth industry analysis that will also include greater global market coverage. Additionally, Pollstar will remain committed to publish its special issues, including Impact 50, Women of Live, VN All-Stars and NextGen, as well as our industry-leading directories.
Pollstar will continue to host its highly anticipated annual panels and conferences, which have long been a cornerstone of thought leadership and innovation in the live entertainment industry, including the upcoming Production Live!, Pollstar Live!, and VenuesNow Conference. As part of the rebrand, these events will be enhanced to deliver even greater value, including expanded opportunities for networking and collaboration, with upgraded programming and experiences. These enhancements reinforce Pollstar’s commitment to being the trusted industry leader and innovator in creating spaces where live professionals can come together to share insights, address challenges and shape the future of live entertainment.
Pollstar’s rebrand recognizes the rapidly evolving motivations and expectations of its subscribers and the increasing interest of live event enthusiasts to continue delivering exceptional reporting and multidimensional data insights. Pollstar remains committed to its pillars of data and innovation, leveraging enhanced capabilities to foster deeper connections with its audiences and stronger industry partnerships. These efforts will ensure Pollstar remains the go-to source for live entertainment while expanding its reach through digital channels and ensure it continues to lead the conversation in live entertainment for years to come.
For more information visit pollstar.com.
About Oak View Group
Oak View Group (OVG) is the global leader in live experience venue development, management, premium hospitality services, and 360-degree solutions for a collection of world-class-owned venues and a client roster of arenas, stadiums, convention centers, music festivals, performing arts centers, and cultural institutions. Founded by Tim Leiweke and Irving Azoff in 2015, OVG is the leading developer of major new venues either open or under development across four continents. Visit OakViewGroup.com, and follow OVG on Facebook, Instagram, LinkedIn, and X.
Pollstar Live!, the world’s premier gathering of live entertainment professionals, returns to the Beverly Hilton in Los Angeles on February 18-20, 2025. With over 30 years of history, this three-day event offers compelling discussions led by industry visionaries, beginning with Production Live! a full day dedicated to those “in the trenches” in live events. Starting Wednesday, Pollstar Live! takes center stage, delving into the most relevant and informative topics for live entertainment professionals. The conference will focus on artist development, data, research, and the visionary strategies driving the global live entertainment industry to unprecedented heights. A perennial highlight of the conference, the annual Pollstar Awards celebration will commemorate the year’s top achievements. Go to Pollstar.live to register and for the latest announcements about keynote speakers, panelists, session topics, and more.
About Pollstar
Since its founding in 1981, Pollstar, “The Voice of Live,” has been the premier publication dedicated to covering the worldwide concert industry. Pollstar data is the leading resource for the touring industry encompassing box office numbers, routing, and directories and produces the world’s largest gathering of live music industry professionals – Pollstar Live! and VenuesNow Conference. Follow Pollstar on Facebook, Instagram, X, and LinkedIn.
Media Contacts:
Scoop Marketing for Oak View Group
Erik Stein / estein@solters.com
Larry Solters / solters@solters.com
Sam Threadgill / sthreadgill@solters.com
View original content to download multimedia:https://www.prnewswire.com/news-releases/pollstar-unveils-refreshed-brand-digital-transformation–enhanced-data-capabilities-strengthening-position-as-the-leading-voice-in-live-entertainment-302344945.html
SOURCE Oak View Group
Technology
Stagwell (STGW) to Participate in the 27th Annual Needham Growth Conference
Published
6 minutes agoon
January 7, 2025By
NEW YORK, Jan. 7, 2025 /PRNewswire/ — Stagwell (NASDAQ: STGW), the challenger network built to transform marketing, today announced Chairman and CEO Mark Penn will attend the 27th Annual Needham Growth Conference in New York City.
Penn will participate in a fireside chat on January 15, 2025, at 12:45 p.m. ET. Penn will also be available for 1×1 meetings with investors.
The fireside chat will be webcast and can be accessed here. The recording will be available for 90 days following the event.
Visit this page to view upcoming investor events and programming from Stagwell. Reach out to ir@stagwellglobal.com with questions.
About Stagwell
Stagwell is the challenger holding company built to transform marketing. We deliver scaled creative performance for the world’s most ambitious brands, connecting culture-moving creativity with leading-edge technology to harmonize the art and science of marketing. Led by entrepreneurs, our specialists in 35+ countries are unified under a single purpose: to drive effectiveness and improve business results for our clients. Join us at www.stagwellglobal.com.
IR Contact
Ben Allanson
ir@stagwellglobal.com
View original content to download multimedia:https://www.prnewswire.com/news-releases/stagwell-stgw-to-participate-in-the-27th-annual-needham-growth-conference-302343952.html
SOURCE Stagwell Inc.
Technology
Veteran Scripps leader Lyn Plantinga promoted to lead local media operations
Published
6 minutes agoon
January 7, 2025By
CINCINNATI, Jan. 7, 2025 /PRNewswire/ — The E.W. Scripps Company (NASDAQ: SSP) has promoted veteran Scripps local television leader Lyn Plantinga to the role of senior vice president of local media, effective immediately. In this role, Plantinga will lead local media operations, overseeing Scripps’ team of regional vice presidents.
Plantinga also will continue to serve as general manager for WTVF, Nashville’s CBS-affiliated local television station owned by Scripps.
She has served as regional vice president and general manager for the last year, overseeing Scripps’ local television stations in Nashville, Lexington, Cleveland, Buffalo and Cincinnati.
Plantinga will report to Dean Littleton, who was promoted to executive vice president of media broadcast operations last month.
“Lyn is a seasoned local media leader, committed to operational excellence, strong financial performance and leading teams to deliver quality, objective journalism,” Littleton said. “This new role will allow her to work closely with all of Scripps’ local stations, our employees and the communities Scripps serves.”
Plantinga got her start in broadcast television as an intern at WTVF more than 30 years ago. She held a number of leadership roles at the station – including assistant news director, national sales manager and station manager – before being named the station’s vice president and general manager in 2015.
NewsChannel 5 is the top-rated Nashville station in every local daypart and has generated strong connections in the community. Plantinga’s team has raised money to give more than 40,000 books to children in Title One schools in the area. After reporting on medical costs and their impact, the station purchased and eliminated more than $1.8 million in medical debt for their neighbors. NewsChannel 5’s “Safe Places” initiative led the way for new storm shelters in 48 Middle Tennessee counties. Under her leadership, WTVF also has been honored with the most prestigious awards in journalism, including national Peabody awards; Alfred I. duPont-Columbia University awards; the National Headliner Award; the National Edward R. Murrow Award; and several regional Murrow and Emmy awards.
Plantinga serves on the boards of the Scripps Howard Fund and the General Hospital Foundation, where she is past board chair. She is past board president of the Tennessee Association of Broadcasters, past news committee chair of the CBS Affiliates Board and has held board leadership positions with Second Harvest Food Bank, Adventure Science Center and Leadership Nashville. She holds a Bachelor of Arts degree from Vanderbilt University.
Media contact: Molly Miossi, The E.W. Scripps Company, 513-977-3713, molly.miossi@scripps.com
About Scripps
The E.W. Scripps Company (NASDAQ: SSP) is a diversified media company focused on creating a better-informed world. As one of the nation’s largest local TV broadcasters, Scripps serves communities with quality, objective local journalism and operates a portfolio of more than 60 stations in 40+ markets. Scripps reaches households across the U.S. with national news outlets Scripps News and Court TV and popular entertainment brands ION, ION Plus, ION Mystery, Bounce, Grit and Laff. Scripps is the nation’s largest holder of broadcast spectrum. Scripps is the longtime steward of the Scripps National Spelling Bee. Founded in 1878, Scripps’ long-time motto is: “Give light and the people will find their own way.”
View original content to download multimedia:https://www.prnewswire.com/news-releases/veteran-scripps-leader-lyn-plantinga-promoted-to-lead-local-media-operations-302344969.html
SOURCE The E.W. Scripps Company
POLLSTAR UNVEILS REFRESHED BRAND, DIGITAL TRANSFORMATION & ENHANCED DATA CAPABILITIES STRENGTHENING POSITION AS THE LEADING VOICE IN LIVE ENTERTAINMENT
Stagwell (STGW) to Participate in the 27th Annual Needham Growth Conference
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