Fiverr International Shares Plunge As Q3 Guidance Trails Consensus After Q2 Earnings Beat

  • Fiverr International Ltd (NYSE:FVRRreported second-quarter FY21 revenue growth of 60% year-on-year to $75.3 million, beating the analyst consensus of $74.82 million.
  • Active buyers increased 43% Y/Y to 4 million, Spend per buyer rose 23% Y/Y to $226. Take rate expanded by 80 bps to 27.8%.
  • Non-GAAP gross margin remained flat at 84.4%, while the adjusted EBITDA margin expanded 310 bps to 9.8%.
  • Non-GAAP EPS of $0.19 beat the analyst consensus of $0.10.
  • Fiverr generated $15.5 million in operating cash flow and held $563.8 million in cash and equivalents.
  • Fiverr delivered another outstanding quarter as it saw robust revenue growth of 60% y/y driven by strong, active buyer growth as businesses continue turning to Fiverr to access digital service providers, CEO Micha Kaufman stated.
  • Outlook: Fiverr sees Q3 revenue of $68.0 million - $72.0 million, below the analyst consensus of $80.21. The guidance reflects reduced online activity as people spend more time out of home and less time on screens following ease in the pandemic restrictions.
  • Price action: FVRR shares traded lower by 19.30% at $186 in the premarket session on the last check Thursday.
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