Weibo Reports Better-Than-Expected Earnings and Outlook

Weibo Corp. reported that first-quarter net revenue grew 42% year-on-year to $458.9 million, beating analysts’ consensus estimate of $429.84 million.

The Twitter-like Chinese microblog social network reported net income of $49.8 million, down 4% from the same period last year. Non-GAAP adjusted net income per share was $0.57, up 90% from a year ago and beating the analysts’ consensus of $0.47.

The company said its monthly active users declined 4% year-over-year to 530 million, and average daily active users dropped 5% to 230 million.

As of March 31, the company reported cash, cash equivalents and short-term investments of $3.41 billion.

For the second quarter, Weibo said it expects net revenue to increase by 25% to 30% year-over-year on a constant currency basis, also above the analysts’ consensus

Weibo’s Nasdaq-listed shares climbed 1.6% to $48.67 Monday.

Contact reporter Denise Jia (huijuanjia@caixin.com) and editor Bob Simison (bobsimison@caixin.com)

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