Weibo beats Q2 earnings estimates, shares rise 2%

BEIJING - Chinese social media platform Weibo Corporation (NASDAQ:WB ) reported second quarter earnings that beat analyst expectations, sending shares up 2.4% in early trading.

Weibo posted adjusted earnings per share of $0.48, surpassing the analyst consensus estimate of $0.42. Revenue came in at $437.9 million, roughly in line with expectations of $437.97 million but down 1% YoY.

"Our user engagement and operating efficiency have further improved this quarter," said Gaofei Wang, CEO of Weibo. "We are encouraged to see Weibo's strength in hot trends and vertical content ecosystem has become the key driver of topline recovery."

The company reported monthly active users of 583 million in June 2024, while average daily active users were 256 million.

Advertising and marketing revenues decreased 3% YoY to $375.3 million. However, value-added services revenue grew 15% to $62.6 million, driven primarily by growth in membership services.

Weibo's operating margin expanded to 31% from 28% in the same quarter last year. Non-GAAP operating margin rose to 36% from 35%.

The company's cash, cash equivalents and short-term investments totaled $2.8 billion as of June 30, 2024.

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Source: Investing.com