Wix.com Ltd. (WIX) saw its loss narrow to $6.18 million, or $0.14 a share for the quarter ended Dec. 31, 2016. In the previous year period, the company reported a loss of $11.30 million, or $0.28 a share. On an adjusted basis, net profit for the quarter was $2.70 million, when compared with net loss $5.40 million in the last year period.
Revenue during the quarter surged 48.12 percent to $84.18 million from $56.83 million in the previous year period. Gross margin for the quarter expanded 177 basis points over the previous year period to 84.87 percent. Operating margin for the quarter stood at negative 5.63 percent as compared to a negative 17.88 percent for the previous year period.
Operating loss for the quarter was $4.74 million, compared with an operating loss of $10.16 million in the previous year period.
However, the adjusted operating profit for the quarter stood at $3.88 million compared to operating loss of $4.42 million in prior year period.
"Our focused investment in technology and our superior marketing execution continue to have a meaningful positive impact on our growth and financial results," said Avishai Abrahami, Co-founder and chief executive officer of Wix. "In the last twelve months, this strategy delivered innovative products such as Wix ADI and the mobile Wix App, as well as growth in our brand and successful marketing execution, highlighted by our Super Bowl LI campaign. This strategic approach will enable us to further extend our technology leadership, acquire subscriptions efficiently and grow our brand globally in 2017 and beyond."
For financial year 2017, Wix.com Ltd. projects revenue to be in the range of $409 million to $411 million.
For the first-quarter, Wix.com Ltd. projects revenue to be in the range of $89 million to $90 million.
Operating cash flow improves significantly
Wix.com Ltd. has generated cash of $40.57 million from operating activities during the year, up 94.35 percent or $19.70 million, when compared with the last year.
The company has spent $8.39 million cash to meet investing activities during the year as against cash outgo of $28.67 million in the last year.
Cash flow from financing activities was $21.66 million for the year, up 217.66 percent or $14.84 million, when compared with the last year.
Cash and cash equivalents stood at $93.06 million as on Dec. 31, 2016, up 137.25 percent or $53.84 million from $39.23 million on Dec. 31, 2015.
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