Wix.com sees FY24 revenue $1.74B-$1.76B, consensus $1.75B

Sees FY24 bookings $1.78B-$1.81B. The company said, “Coming off of a strong year of significant product launches and strengthening fundamentals, we believe our business will experience strong top line growth of bookings in 2024 and more significantly in the second half of the year. This positive trend in bookings growth is expected to translate into y/y revenue growth acceleration in 2025. This growth, paired with improved profitability targets due to a high degree of operating efficiency, leads to our expectation that our financial performance in 2024 and in 2025 will surpass the three-year plan we shared at our Analyst & Investor Day in August. We now expect to significantly exceed the Rule of 40 in 2025. We are reintroducing bookings guidance as we enter 2024 with improved visibility and a tremendous amount of confidence in our business as a result of a stable and positively-trending macro environment, strong cohort behavior, particularly in our Partners business, and most notably, ramping benefits from Studio and the milestone AI initiatives launched in 2023. Our outlook for the full year 2024 is as follows: We expect total bookings of $1.78 – $1.81 billion, up 12 – 14% y/y, an acceleration from 2023. We expect y/y growth of total bookings to accelerate in the second half of 2024 to 15% at the high end of the guidance range, positioning the business to achieve accelerating y/y revenue growth in 2025. In particular, the acceleration is expected to be primarily in Creative Subscription bookings, bringing it to double digit y/y growth in the 2H24. We expect total revenue to be $1.73 – $1.76 billion, up 11 – 13% y/y. We expect total revenue in Q1 2024 of $415 – $419 million, up 11 – 12% y/y. We continue to operate the business in an efficient manner as evidenced by the meaningful operating leverage — on both a GAAP and non-GAAP basis — generated throughout 2023 compared to 2022. We plan to operate with the same efficiency in 2024 and expect strong gross profit growth due to gross margin improvements on a y/y basis as well as minimal incremental operating expenses this year. We expect non-GAAP total gross margin of 68 – 69% with non-GAAP business solutions gross margin to exceed 30% for the full year. We expect non-GAAP operating expenses to be 51 – 52% of revenue for the full year, with non-GAAP sales and marketing to remain similar to 2023 at roughly 23 – 24% of revenue.”