What happened
Shares of Fiverr International (FVRR 3.74%) jumped 17% on Thursday after the online freelance services marketplace announced stronger-than-expected fourth-quarter 2019 results.
So what
Fiverr's quarterly revenue increased 43% year over year to $29.5 million, translating to an adjusted (non-GAAP) net loss of $2.7 million, or $0.08 per share. Analysts, on average, were anticipating a wider net loss of $0.14 per share on revenue closer to $28.7 million.
IMAGE SOURCE: GETTY IMAGES.
"2019 was a landmark year for Fiverr as we completed a successful IPO, expanded the Fiverr ecosystem with new products, increased our international reach, and most importantly, continued our extraordinary growth momentum and march toward profitability," added CEO Micha Kaufman. "As global businesses continue to embrace the digital workforce as part of their growth strategy, we believe our Service-as-a-Product model and unique product offerings are helping to accelerate that change."
Now what
What's more, Fiverr told investors to expect first-quarter 2020 revenue of $32 million to $33 million, up 35% to 39% year over year and well above consensus estimates for revenue of $29.9 million. Fiverr also called for full-year 2020 revenue to arrive in the range of $139 million to $141 million, good for growth of 30% to 32% from 2019 and comfortably ahead of the $135.7 million Wall Street was modeling.
In the end, after coupling that outlook with Fiverr's impressive end to 2019, investors had little choice but to bid up the budding tech stock in response.
