Business
Wix Reports Third Quarter 2022 Results
Total revenue of $345.8 million up 8% y/y, which is $350.8 million and up 10% y/y on a constant currency basisCost reduction plan drove improved operating
About this update from Wix.com Ltd.
[{"type":"text","content":"Total revenue of $345.8 million up 8% y/y, which is $350.8 million and up 10% y/y on a constant currency basisCost reduction plan drove improved operating leverage – increasing gross margins q/q and generating positive non-GAAP net income and free cash flow in Q3Expecting a return to non-GAAP operating income profitability in Q4'22, positioning company to achieve FY23 FCF margin targets as well as full year non-GAAP operating income profitability outlined in three-year planNEW YORK, Nov. 10, 2022 /PRNewswire/ -- Wix.com Ltd. (Nasdaq: WIX) today reported financial results for the third quarter ended September 30, 2022. In addition, the Company provided its initial outlook for the fourth quarter. Please visit the Wix Investor Relations website at https://investors.wix.com/ to view the Q3'22 Shareholder Update and other materials.\n\n \n \n \n \n \n \n\n \n\"Wix continues to be the preferred platform for millions globally. Demand for building, maintaining, and growing an online presence remains healthy, driving strong business fundamentals for Wix this quarter,\" said Avishai Abrahami, Wix Co-founder and CEO. \"As the operating environment remains dynamic and uncertainties persist, we focused on carrying out the cost savings plan introduced last quarter, while continuing to execute on strategic initiatives. Through the team's hard work, profitability improved this quarter while we simultaneously made meaningful strides in product innovation.\"\nLior Shemesh, CFO at Wix, added, \"Revenue came in above expectations this quarter as some stability settled in despite macro headwinds. More importantly, we are already seeing leverage and significant impact from our cost reduction plan, implemented earlier this summer. This resulted in a ~280 bps q/q improvement in non-GAAP operating margin in Q3 and sets us up to generate an anticipated $47-50 million of free cash flow (excluding HQ capex) in Q4, which would make it the most profitable quarter on a free cash flow basis in our history. We also expect to return to non-GAAP operating income profitability in Q4, the first time since 2019. We expect this profitability to continue through 2023, positioning us to achieve the FCF margin target outlined in our three-year plan.\"\n\"Confident in our ability to generate cash flow, our board authorized a $300 million share repurchase plan, underscori...