- The stock price of Yelp Inc (NYSE: YELP) increased by over 14% pre-market. This is why it happened.
The stock price of Yelp Inc (NYSE: YELP) increased by over 14% pre-market. Investors are responding positively to the company’s second quarter 2021 financial results. Investors are responding positively to the company’s second quarter results.
Yelp had posted its best quarterly growth since 2015 due to the reopening economy. And for the quarter, Yelp reported revenue of $257.2 million — up 52% compared to a year ago.
The profits were $0.05 per share and adjusted Ebitda was $63.8 million — up from $11.1 million a year ago. For the September quarter, Yelp is projecting revenue at a range of $255 million to $265 million and adjusted Ebitda in the $45 million to $55 million range.
The company is now expecting full-year revenue of $1.01 billion to $1.03 billion, up from a previous estimate of $1 billion to $1.02 billion. And adjusted Ebitda is expected to be between $200 million to $220 million, up from previous estimates of $175 million to $195 million.
“The Yelp of 2021 looks very different than it did when we began implementing our strategic initiatives in 2019, as we continue to connect consumers with local businesses through trusted content and reviews. We elevated the pace of product innovation, and made significant progress on our plan to drive advertising revenue growth from our Services categories as well as our Self-serve and Multi-location channels. This consistent execution of our multi-year strategy has transformed Yelp into a structurally stronger business.”
— Jeremy Stoppelman, Yelp co-founder and CEO
“Our strong second quarter results give us the confidence to raise our full-year outlook. We achieved 52% year-over-year revenue growth and record Adjusted EBITDA, even as we invested behind our initiatives. We continue to see a broad set of opportunities to drive significant returns and shareholder value in the long term.”
— David Schwarzbach, Yelp’s CFO
Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.