Wix revenue grows 48%

Wix management Photo: PR

One factor in Wix's better results was the addition of 171,000 premium subscribers, giving the company 2.5 million premium subscribers

Wix.com Ltd. (Nasdaq: WIX), which provides a global platform for building and designing websites, today published its results for the fourth quarter of 2016 and all of 2016. The company reported that its fourth quarter revenue totaled $84.2 million, up 48%, compared with $56.8 million in the corresponding quarter in 2015. The company also issued a very optimistic forecast for the first quarter of 2017.

Wix also reported a $3.9 million non-GAAP operating profit in the fourth quarter, compared with a $4.4 million operating loss in the fourth quarter of 2015. Its fourth non-GAAP net profit was $2.7 million, amounting to $0.06 per share, compared with a $5.4 million net loss in the fourth quarter of 2015 ($0.13 per share). The company reported a $6.2 million net GAAP loss, amounting to $0.14 per share, compared with an $11.3 million net GAAP loss ($0.28 per share) in the corresponding quarter in 2015.

One factor in Wix's better results was the addition of 171,000 premium subscribers in the fourth quarter, giving the company a total of 2.5 million premium subscribers as of the end of the quarter, 39% more than in the corresponding quarter in 2015. The company also gained five million registered users, giving it a total of 97 million registered users as of December 31, 2016, 27% more than it had on December 31, 2015.

According to the 2017 forecast published by Wix together with its financial statements, its revenue will rise 45-46% to $89-90 million in the first quarter, and 41-42% to $409-411 million in 2017 as a whole.

"Our focus and investment in technology and our excellent marketing performance continue to have a positive impact on our growth and financial results," Wix cofounder and CEO Avishai Abrahami said. "Over the past 12 months, this strategy led to innovative products such as Wix ADI and Wix App, while also strengthening our brand and marketing success, with an emphasis on the Superbowl campaign. From 2017 on, this strategic approach will enable us to consolidate the company's standing as a technological leader, increase the number of users, and strengthen the brand all over the world."

Wix's share price soared 173% over the past year, pushing its market cap up to $2.25 billion. During this period, the company acquired flok, a platform enabling business owners to connect with their customers, and announced a cooperative venture with Square, which will enable Wix users who are retailers and entrepreneurs in North America to conduct transactions in a new way.

Published by Globes [online], Israel Business News - www.globes-online.com - on February 15, 2017

© Copyright of Globes Publisher Itonut (1983) Ltd. 2017

Wix management Photo: PR
Wix management Photo: PR
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