Wix.com Q1 Loss Widens, But Loss/shr Narrows; Lifts 2014 Revenues Outlook

(RTTNews) - Wix.com Ltd. (WIX), global web development platform, reported wider net loss for the first quarter ended March 31, 2014 and raised its 2014 financial outlook for collections and revenues.

GAAP net loss for the quarter was $14.9 million or $0.40 per share, compared to a net loss of $4.9 million or $0.83 per share, for the first quarter of 2013. Non-GAAP net loss was $11.3 million or $0.30 per share, compared to a non-GAAP net loss of $4.4 million, or $0.76 per share for the first quarter of 2013.

Revenues for the quarter increased 86% to $28.8 million from $15.5 million last year. Collections increased 91% to $37.5 million from $19.7 million in the prior year.

"We are pleased to announce that we are raising guidance of collections and revenues for the full year 2014 due to the momentum we are experiencing in the business. We will also continue to invest in growing our engineering talent base and in expanding marketing and branding activities to capture the large opportunity ahead," said Lior Shemesh, Wix's Chief Financial Officer.

Analysts polled by Thomson Reuters expected the company to report a loss of $0.36 per share and revenues of $26.92 million for the quarter. Analysts' estimates typically exclude special items.

For the second quarter of 2014, the company expects collections to be in the range of $38 million to $39 million, and revenues of $31 million to $32 million. Analysts expect the company to report revenues of $30.72 million for the second quarter.

For the full year 2014, the company increased its outlook for collections and revenues and reiterated its outlook for adjusted EBITDA. Collections are now expected to be in the range of $155 million to $160 million, representing year-over-year growth of 57% to 62%. Revenues are now expected to be in the range of $130 million to $133 million, representing year-over-year growth of 62% to 65%. Analysts project annual revenues of $129.11 million.

Previously, the company expected annual revenues to be in the range of $127 million to $130 million, representing year-over-year growth of 58% to 62%. Annual Collections were expected to be in the range of $145 million to $150 million, representing year-over-year growth of 47% to 52%.

Annual Adjusted EBITDA is still expected to be in the range of negative $38 million to negative $42 million.