StubHub Fails to Turn 2Q Profit as Costs Outpace Revenue Growth

Dow Jones
Aug 13
 

StubHub Holdings wasn't able to turn a profit in the second quarter despite surging revenue from the World Cup as costs climbed.

The company, which connects buyers with ticket resellers, posted a loss attributable to common stockholders of $40,000, or 0 cents a share, compared with a loss of $75.9 million, or 25 cents a share, in the same quarter a year earlier.

Analysts polled by FactSet had been expecting the company to report a profit of 11 cents a share.

Revenue climbed 33% to $573.1 million, well ahead of analyst forecasts for $513.3 million.

Total costs and expenses grew even faster, jumping 37% for the quarter. The company's income from operations dropped 29% year over year.

Shares fell 15% to $7.25 after hours.

Gross merchandise sales, a measure of the total value of goods sold on the platform, were up 34% year over year at $3.1 billion.

Chief Executive Eric Baker said the World Cup drove its record-high revenue performance. The company raised its outlook for gross merchandise sales this year.

 
 
 
 
 
 

At the request of the copyright holder, you need to log in to view this content

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10