Wix.com (NASDAQ:WIX) reported better-than-expected Q1 results and raised its full-year revenue outlook to send its shares over 4% higher in pre-market trading.
The company reported EPS of $0.91, which may not compare to the consensus for a profit of $0.14 per share. Revenue for the quarter came in at $374.07 million, ahead of the consensus at $369.36M.
"With today's emerging generative AI technologies, we have a tremendous opportunity to reduce even more friction, further increasing the value of our platform and the size of our market. Our first version of AI website creation, Wix ADI, was launched seven years ago, and we have since been trailblazing with new AI technologies that have greatly benefited our users' experience,” Avishai Abrahami, Wix co-founder and CEO, said.
For this quarter, the company sees revenue in the range of $380-385M while full-year sales are now seen between $1.522B and $1.543B. Analysts were expecting $377.6M and $1.522B, respectively.
Raymond James analysts said WIX delivered solid results.
“We maintain our Outperform rating as we believe WIX’s valuation is attractive at current levels (~4x 2024E EV/Gross Profits) given our expectation for 10%+ long-term revenue and ~30% long-term EBITDA margins,” they wrote.