Cricut, Inc. (NASDAQ: CRCT), the creative technology company, saw its stock surge 9% in after-hours trading on Tuesday, March 4, 2025, following the release of its fourth-quarter and full-year 2024 financial results.
The company reported better-than-expected earnings for the fourth quarter, with adjusted earnings per share of $0.06, beating analyst estimates of $0.04. However, revenue for the quarter came in at $209.3 million, slightly missing analyst expectations of $216.47 million.
Despite the revenue miss, Cricut's full-year 2024 performance was strong, with net income increasing by 17% to $62.8 million, or 8.8% of revenue, compared to 2023. The company also saw its paid subscriber base grow by 7% to 2.96 million, indicating continued demand for its products and services.
Cricut's management remained upbeat about the company's prospects, citing the recent launch of two new cutting machines, the Cricut Explore 4 and Cricut Maker 4, which have received positive feedback from retailers and users. The company also plans to increase investments in several areas to drive growth in the second half of 2025, aiming to reach an inflection point for accelerated growth.
Overall, the strong earnings performance and optimistic outlook for the second half of 2025 appear to have fueled investor confidence, resulting in the significant after-hours stock price surge for Cricut.
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