NASDAQ$VMEO

Vimeo Inc. · Q4 2024 earnings

Q4 2024 earnings · · After market close · Investor relations

Briefing

Vimeo reported a strong Q4 2024 with growth in bookings and adjusted EBITDA, driven by enterprise segment performance and strategic investments.

Vimeo concluded 2024 with strong financial performance, marked by its highest quarterly bookings in 10 quarters and significant growth in Adjusted EBITDA. The company's Enterprise segment showed robust growth, and strategic investments in AI and product enhancements are expected to drive future growth.

  • Vimeo achieved its highest dollar level of quarterly bookings in 10 quarters, with Q4 bookings growth of 3%.
  • Adjusted EBITDA reached an all-time high of $55 million for the full year, more than triple the total Adjusted EBITDA generated from 2021-2023 combined.
  • Vimeo Enterprise bookings grew over 50% from $100,000+ ARR customers, with revenue increasing by 37% year-over-year in Q4.
  • The company launched AI features including automated video transcription, captioning, social media clip generation, and video translation into over 28 languages.

Headline financials

Total Revenue

$103M

Previous: $106M-2.3%
EPS (adj)

$0.01

Previous: $0.05-80.0%
Self-Serve ARPU

$208.00

No prior period
Self-Serve Subscribers

1.2M

No prior period
Enterprise ARPU

$23.5K

No prior period
Enterprise Subscribers

4.0K

No prior period
OTT ARPU

$1.14K

No prior period
OTT Subscribers

50.0K

No prior period
Adjusted EBITDA

$10.7M

No prior period
Gross Margin

78.0%

No prior period
Net Income

$1.54M

Previous: $8M-80.8%
Operating Income

$1.27M

Previous: $8M-84.2%
Gross Profit

$80.3M

Previous: $82.7M-2.9%

Revenue & EPS history

Vimeo · Revenue · Quarterly

$103M

Q4 2024-2.3%vs Q4 2023
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

Vimeo · $20.8M total across 1 segment · Q3 2023

  • Vimeo Enterprise
    $20.8M

Forward guidance

Vimeo anticipates continued growth in 2025, with a focus on accelerating profitable growth through increased innovation investment and expanding customer base.

Tailwinds

  • Q1 2025 revenue near $100 million, with full-year 2025 revenue expected to grow in the low single digits, accelerating through the year.
  • Adjusted EBITDA for Q1 2025 is expected to be slightly greater than breakeven, with full-year 2025 Adjusted EBITDA projected between $25 million and $30 million.
  • The company expects to end 2025 with line of sight to double-digit growth.
  • Increased innovation investment in key areas like vertical solutions, security features, new video formats, and AI-powered innovations.
  • New go-to-market approach for Vimeo Enterprise and OTT sales teams is expected to drive cross-sell and expansion benefits.

Headwinds

  • Q1 2025 operating loss is projected to be approximately $9 million, and full-year 2025 operating loss approximately $5 million, reflecting increased investment.
  • The company will continue to use its share repurchase authorization to reduce dilution from current and future share issuance, indicating ongoing share-based compensation.
  • Self-Serve & Add-Ons ARPU growth is modest at 2% year-over-year.
  • Self-Serve & Add-Ons subscribers declined by 11% year-over-year.
  • Other revenue and bookings declined year-over-year due to the deprecation of certain products.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 13 quarterly earnings reports · overlaid with Q4 2024

Historical avgQ4 2024

-0.5%

Avg return

Earnings day

+6.7%

Avg return

5 days after

+9.2%

Avg return

30 days after

50%

11 / 22 earnings

Positive

+43.2%

Q3 2024

Best reaction

-28.4%

Q3 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026
Q3 2025-0.4%-0.1%
Q2 2025+8.4%+2.4%+12.1%
Q1 2025-10.1%-9.7%-12.6%
Q4 2024-18.7%-14.6%-19.2%
Q3 2024+43.2%+39.2%+38.4%
Q2 2024+19.0%+30.2%+42.2%
Q1 2024+6.8%+7.4%+4.6%
Q4 2023+4.4%+9.4%+41.8%
Q3 2023+8.5%+8.2%+13.7%
Q2 2023+13.6%+2.9%-3.9%
Q1 2023+10.1%+8.6%+27.5%
Q4 2022+5.8%+8.0%-0.3%
Q3 2022+5.7%+10.6%+16.8%
Q2 2022+6.4%+12.5%-10.6%
Q1 2022-3.9%-14.0%-21.8%
Q4 2019-3.8%
Q4 2021-15.0%
Q3 2020-0.7%
Q3 2021-28.4%
Q4 2020-22.1%
Q2 2020-22.1%
Q2 2021-18.4%
Q1 2021
Q1 2020

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