Wix results, guidelines exceed estimates


The Israeli website development company Wix.com (Nasdaq: WIX) reported results for the fourth quarter of 2020 and the full year that exceed its guidelines. Total revenue in the fourth quarter of 2020 was $ 282.5 million, compared to $ 204.6 million in the fourth quarter of 2019, an increase of 38%.

Under GAAP, the company made a net loss of $ 62.8, or $ 1.13 per share, for the quarter, compared to a net loss of $ 21.6 million, or $ 0.42 per share, for fourth quarter of 2019. On non-GAAP, the net loss was $ 1.6 million, or $ 0.03 per share, and compared to net income of $ 19.9 million, or $ 0.39 per share, for fourth quarter of 2019. The average estimate of analysts was for a loss per share other than GAAP of $ 0.11 on revenue of $ 270.22 million.

For 2020, overall revenue was $ 988.8 million, 30% more than $ 761.1 million for 2019. Based on GAAP, Wix made a net loss of $ 216.5 million in 2020, or $ 216.5 million. (3.98) USD per share, which is compared to a net loss of 86.4 million dollars or 1.71 dollars per share for 2019. On a non-GAAP basis, the net loss for 2020 was $ 24.2 million, or $ 0.44 per share, and is compared to a gain of $ 59.1 million, or $ 1.17 per share, for 2019. year.

Net cash provided by operating activities for the full year 2020 amounted to USD 148.0 million, while capital expenditures amounted to USD 18.9 million, which led to a free cash flow of USD 129.2 million, 1.3% more than 127.5 million free cash flow for 2019.

Wix added 185,000 net subscriptions to the net in the fourth quarter of 2020, to reach 5.5 million at the end of the quarter. 22% more than at the end of 2019. It added 7.4 million registered users in the fourth quarter of 2020, to reach 196.7 million at the end of the quarter, which is 19% more than at the end of 2019.

Wix CEO and co-founder Avishai Abrahami said, “We have concluded the most successful year in our company’s history. In 2020, more than 31 million new registered users joined Wix, added nearly a million new subscriptions and exceeded $ 1 billion from the first annual collection. .It was really humble to help start millions of businesses during an extremely challenging year, and I am especially proud of our team that has maintained focus and commitment throughout the year.

“Clearly we can now become the dominant player on the Internet and I expect to significantly strengthen this position in the next decade. Wix will now strive to become a major engine of the Internet, democratizing access and providing a place where most people will build their web presence. My goal and The belief is that at this rate of growth, in the next 5-7 years, 50% of everything newly built on the Internet will work on Wix. “

Wix recently launched its Editor X product from beta and introduced a new suite of collaboration editing tools, which it claims makes it the only fully collaborative web development platform in the world. He says Editor X already has more than 200,000 users.

For 2021, Wix predicts revenue of $ 1.27-1.29 billion, an increase of 29-30% over 2020. The current average analyst estimate is for revenue of $ 1.26 billion in 2021, and that company break even if not GAAP basis.

Wix has a market capitalization of $ 15.56 billion. Its share price rose sharply between the end of March and the end of June last year and has been fairly stable since then. It closed at $ 279.46 yesterday, down 4.56% on the day.

Posted by Globes, business news in Israel – en.globes.co.il – February 17, 2021

© Copyright Globes Itonut (1983) Ltd. 2021

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