Zillow Inc (Z) reports loss due to ad expenses
Zillow Inc (NASDAQ:Z), the popular real estate website, has announced Q1 earnings today. Zillow’s revenue for the quarter increased by 70% to a record $66.2 million from $39 million in the first quarter of 2013. The GAAP loss per share was $0.16 in the Q1 2014 with non-GAAP net income per share at $0.02 in the first quarter. Analysts were expecting Zillow to post a loss of $0.24 for the quarter. Zillow reported a GAAP net loss of $6.3 million in Q1 2014 due to planned increases in advertising expenses compared to GAAP net loss of $3.7 million in Q1 2013.
“The first quarter was a terrific start to 2014 with record traffic, revenue and results that exceeded our expectations and strengthened our lead in the category,” stated Zillow CEO Spencer Rascoff. “A key driver of Zillow’s success lies in attracting audience and delighting our users with great products and services. In March, traffic hit a new high of 77 million monthly unique users as mobile usage more than doubled year over year, and April just broke that record, attracting 79 million unique users.”
Zillow’s display revenue increased 62% to a record $12.9 million from $7.9 million in Q1 2013. Zillow’s traffic on mobile devices and the web hit a record 79 million monthly unique users in April, which is an increase of 50% year-over-year. During Q1 2014, Zillow’s visits through mobile devices doubled year-over-year. Over 460 million homes were viewed on Zillow through a mobile device in April 2014, which is around 178 homes per second. The Zillow Mortgage Marketplace saw 5.8 million loan requests submitted by borrowers, which is up 29% year-over-year.