One of China’s earliest social media companies said most of its major metrics were flat in its latest quarterly report, as it remains reliant on advertising for 85% of its revenue
Key Takeaways:
- Weibo’s revenue fell 1% in the fourth quarter, as a 4% drop in its core advertising business was partly offset by a rise in its smaller value-added services
- More than half of the 21 analysts polled by Yahoo Finance rate the company a “hold” or worse, reflecting bearishness on its stock and ability to revive its prospects
Which way, Weibo?
Both analysts and investors seem undecided these days on Weibo Corp. (WB.US; 9898.HK), one of China’s earliest and most enduring social media companies that started out as a knockoff of Twitter, now known as X. Many might argue that like X, Weibo is currently in need of a major overhaul, which might be better done out of the public eye as a private rather than publicly traded company.
Weibo’s woes were on display in its latest quarterly results released last Thursday, which repeated a frequent refrain of recent years portraying a company mired in stagnation. All these years after first exploding on the scene after the original Twitter was blocked in China in 2009, Weibo still relies on advertising for the big majority of its revenue, accounting for 85% in the latest quarter.
That business has fallen flat these days, and was actually down 4% in the fourth quarter to $385.9 million from $403.7 million a year earlier. The company’s overall revenue for the quarter was down by a milder 1% to $456.8 million from $463.7 million a year earlier, saved by an 18% rise in value-added services that are its other main revenue source.
The investment community’s mixed feelings on this company are nicely reflected in its split profile among analysts. Of the 21 polled by Yahoo Finance, 10 rate Weibo a “hold,” one gives it an “underperform” and one …
Full story available on Benzinga.com
One of China’s earliest social media companies said most of its major metrics were flat in its latest quarterly report, as it remains reliant on advertising for 85% of its revenue
Key Takeaways:
- Weibo’s revenue fell 1% in the fourth quarter, as a 4% drop in its core advertising business was partly offset by a rise in its smaller value-added services
- More than half of the 21 analysts polled by Yahoo Finance rate the company a “hold” or worse, reflecting bearishness on its stock and ability to revive its prospects
Which way, Weibo?
Both analysts and investors seem undecided these days on Weibo Corp. (WB.US; 9898.HK), one of China’s earliest and most enduring social media companies that started out as a knockoff of Twitter, now known as X. Many might argue that like X, Weibo is currently in need of a major overhaul, which might be better done out of the public eye as a private rather than publicly traded company.
Weibo’s woes were on display in its latest quarterly results released last Thursday, which repeated a frequent refrain of recent years portraying a company mired in stagnation. All these years after first exploding on the scene after the original Twitter was blocked in China in 2009, Weibo still relies on advertising for the big majority of its revenue, accounting for 85% in the latest quarter.
That business has fallen flat these days, and was actually down 4% in the fourth quarter to $385.9 million from $403.7 million a year earlier. The company’s overall revenue for the quarter was down by a milder 1% to $456.8 million from $463.7 million a year earlier, saved by an 18% rise in value-added services that are its other main revenue source.
The investment community’s mixed feelings on this company are nicely reflected in its split profile among analysts. Of the 21 polled by Yahoo Finance, 10 rate Weibo a “hold,” one gives it an “underperform” and one …
Full story available on Benzinga.com
One of China’s earliest social media companies said most of its major metrics were flat in its latest quarterly report, as it remains reliant on advertising for 85% of its revenue
Key Takeaways:
Weibo’s revenue fell 1% in the fourth quarter, as a 4% drop in its core advertising business was partly offset by a rise in its smaller value-added services
More than half of the 21 analysts polled by Yahoo Finance rate the company a “hold” or worse, reflecting bearishness on its stock and ability to revive its prospects
Which way, Weibo?
Both analysts and investors seem undecided these days on Weibo Corp. (WB.US; 9898.HK), one of China’s earliest and most enduring social media companies that started out as a knockoff of Twitter, now known as X. Many might argue that like X, Weibo is currently in need of a major overhaul, which might be better done out of the public eye as a private rather than publicly traded company.
Weibo’s woes were on display in its latest quarterly results released last Thursday, which repeated a frequent refrain of recent years portraying a company mired in stagnation. All these years after first exploding on the scene after the original Twitter was blocked in China in 2009, Weibo still relies on advertising for the big majority of its revenue, accounting for 85% in the latest quarter.
That business has fallen flat these days, and was actually down 4% in the fourth quarter to $385.9 million from $403.7 million a year earlier. The company’s overall revenue for the quarter was down by a milder 1% to $456.8 million from $463.7 million a year earlier, saved by an 18% rise in value-added services that are its other main revenue source.
The investment community’s mixed feelings on this company are nicely reflected in its split profile among analysts. Of the 21 polled by Yahoo Finance, 10 rate Weibo a “hold,” one gives it an “underperform” and one …Full story available on Benzinga.com Read MoreAsia, contributors, Earnings, Equities, WB, WB, Dividends, Tech, WB, US9299031024, Earnings, Equities, Asia, Dividends, Tech, Benzinga Asia
