Business
MarketWise Reports Financial Results for Third Quarter 2021
~ Third Quarter 2021 Revenue Increase of 43% Year-Over-Year to $141 Million ~ ~ Third Quarter 2021 ARPU Increase of 3% Year-Over-Year to $772 ~ ~ Paid
About this update from Marketwise, Inc.
[{"type":"text","content":"~ Third Quarter 2021 Revenue Increase of 43% Year-Over-Year to $141 Million ~ ~ Third Quarter 2021 ARPU Increase of 3% Year-Over-Year to $772 ~ ~ Paid Subscribers Grew 23% Year-Over-Year to 965 Thousand ~ BALTIMORE, Maryland, Nov. 10, 2021 (GLOBE NEWSWIRE) -- MarketWise, Inc. (NASDAQ: MKTW) (“MarketWise” or the “Company”), formerly known as Beacon Street Group, LLC, a leading multi-brand digital subscription services platform that provides premium financial research, software, education, and tools for self-directed investors, today reported financial results for the three and nine months ended September 30, 2021. Third Quarter 2021 Key Performance Highlights 3Q 2021 3Q 2020 YTD 3Q 2021 YTD 3Q 2020Total Subscribers (in thousands) 13,766 8,934 Paid Subscribers (in thousands) 965 786 Billings (in millions) $138.1 $149.9 $578.5 $390.5 ARPU $772 $752 CFFO (in millions) $(92.6) $47.8 $58.6 $73.0 Adjusted CFFO (in millions) $34.7 $55.0 $192.1 $118.3 Third Quarter 2021 Highlights(1) Total revenue increased by $42.5 million, or 43.3%, to $140.7 million in third quarter 2021 compared to $98.2 million in third quarter 2020Total Billings decreased by $11.8 million, or 7.9%, to $138.1 million in third quarter 2021 compared to $149.9 million in third quarter 2020Total net loss was $366.3 million in third quarter 2021 compared to a loss of $68.3 million in third quarter 2020; the net loss this quarter was driven by $412.6 million in stock-based compensation, which was primarily a result of the culmination of our go-public Transaction (refer to “Significant Third Quarter Events” below for more details) on July 21, 2021, while stock-based compensation was $73.5 million in third quarter 2020Cash flow from operations (“CFFO”) was $(92.6) million in third quarter 2021 compared to $47.8 million in third quarter 2020; the negative CFFO this quarter was driven by the $117.3 million profits distributions to Class B unitholders at the time of our go-public Transaction; under our original operating agreement, profits distributions to Class B unitholders were expensed as stock based compensation; this original operating agreement was replaced upon the consummation of our Transaction and there will be no further stock based compensation associated with these prior Class B unitholdersCFFO margin was (65.8)% in third quarter 2021 as compared to 48.7% in thir...