Wix.com, which supports small businesses construct and operate websites, reported a smaller-than-anticipated drop in Q4 net revenue and forecasted a revenue rise of around 25% this year to almost $1 billion as it evolves into the professional web creator industry.
Israel-based Wix posted Thursday a quarterly net revenue of 39 cents per share, excluding one-time items, in contrast with 42 cents a year earlier.
Revenue hiked 19% to $204.6 million. Analysts had been forecasting adjusted EPS of 31 cents on revenue of $205.6 million.
Wix offers free primary features for organizing websites; however, customers should pay for extra providers such as shopping carts, individual net addresses, and website visitors analysis.
The corporate added a net 89,000 premium subscribers in the October-December interval to reach 4.5 million paying users, up 13% over a year earlier.
Chief Financial Officer (CFO) Lior Shemesh stated the conversion rate to paying clients has elevated annually since Wix became a full functioning system to run small companies’ websites and never just a website developer.
Earlier this month, Wix kicked off its Editor X product as it targets professional web developers and agencies, which the agency thinks will help drive growth this year.
For 2020 Wix, which has noted its shares soar 27% thus far this year after a 35% leap last year, expects income of $946 million to $956 million, up 24% to 26% from last year.