By Sabela Ojea
Vimeo reported a drop in profit after its number of subscribers fell, and np
guided for lower revenue in the current quarter.
The provider of online video software and services on Wednesday posted a fourth-quarter net profit of $1.5 million, or 1 cent a share, compared with $8.4 million, or 5 cents a share, for the same period a year earlier. Analysts polled by FactSet had forecast earnings of 3 cents.
Revenue fell to $103.2 million from $105.5 million for the same period a year earlier, but beat the $100.6 million expected by analysts surveyed by FactSet. Vimeo had most recently guided for revenue of $100 million.
The company said that Vimeo Enterprise revenue rose 37% to $23 million with bookings, the fixed fees for software services that subscribers have paid or committed to pay, increasing 39%. Its self-serve and add-ons unit saw a 8% drop in revenue to $65 million, as well as a 6% decline in bookings to $64 million.
Vimeo is forecasting revenue for the first quarter of $100 million, with full-year revenue expected to grow in the low- single-digit range.
Wall Street anticipates first-quarter revenue of $102.9 million and a 2025 topline performance of $423.1 million, up 1.5% from $417 million in 2024.
The company's stock fell 8.6% to $6.20 in post-market trading. Through Wednesday's close shares are up 5.6% this year, and 84% in the past 12 months.
Write to Sabela Ojea at sabela.ojea@wsj.com; @sabelaojeaguix
(END) Dow Jones Newswires
February 19, 2025 17:27 ET (22:27 GMT)
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