Wix.com (NASDAQ: WIX) has released its financial results for the second quarter of 2024, showcasing an outstanding performance driven by strategic initiatives and product innovations.
The company experienced significant growth in key metrics, with total bookings reaching $458.4 million, a 15% year-over-year increase. This growth was fueled by the success of Wix Studio subscriptions, improved retention rates, and an expansion of the commerce platform.
Wix’s total revenue for the quarter exceeded expectations, reaching $435.7 million, reflecting a 12% year-over-year increase. Creative Subscriptions revenue grew by 9% to $312.1 million, while Business Solutions revenue surged by 20% to $123.6 million.
The company also saw continued margin expansion, with a free cash flow margin of 27% for the quarter, positioning Wix to achieve the Rule of 40 milestone ahead of schedule.
Wix.com Beats Expectations with Strong EPS and Revenue Performance
Wix outperformed expectations in the second quarter, reporting a non-GAAP EPS of $1.67, surpassing the expected $1.35. The company also exceeded revenue expectations, achieving $435.7 million compared to the projected $433.77 million.
This impressive performance was driven by growth in both the Creative Subscriptions and Business Solutions segments, with total bookings surpassing the previous year’s figures. The success of Wix’s AI strategy and commerce platform expansion contributed to this growth, with a record take rate of 1.68%.
Wix’s ability to exceed both EPS and revenue expectations demonstrates the effectiveness of its strategic initiatives and solid business model.
Wix Updates Guidance for Strong Growth in Second Half of 2024
Wix has revised its guidance for the second half of 2024 and the full year, anticipating continued growth. The company expects full-year bookings to be in the range of $1,802 to $1,822 million, reflecting 13-14% year-over-year growth.
Wix’s updated guidance reflects the momentum built in the first half of the year and the success of key product initiatives. The company is poised for continued growth, with expectations of achieving a non-GAAP total gross margin of 68-69% for the full year.
Overall, Wix.com’s strong performance in Q2 2024, beating expectations and providing optimistic guidance for the future, showcases its resilience, strategic focus, and potential for growth in the coming months.