Two subscription-based companies have put forth Q3 earnings after Tuesday's closing bell, with mostly better-than-expected results for both companies. They also saw subscriber growth increase year over year, always a good sign for such business models.
Match.com ((MTCH - Free Report) ), parent company of a variety of dating platforms, including Tinder and OK Cupid, posted 51 cents per share for its Q3 earnings, on $541.5 million in quarterly reveunes. These totals beat the 47 cents per share (itself a 20.5% rise year over year) and $539.25 million anticipated. Subscriber growth overall was 19% year over year to 9.6 million; international was up 29% from a year ago.
This marks the latest in a series of positive earnings surprises for Match.com, which last came up short of estimates in Q4 of 2017, which was the last of 4 straight misses. Match.com had carried a Zacks Rank #2 (Buy) rating with a Value-Growth-Momentum score of B ahead of the earnings release.
WW International ((WW - Free Report) ), formerly known as Weight Watchers, beat on its Q3 bottom line by a penny to 68 cents per share, on revenues of $349 million in the quarter, down a bit from the $356.6 million in the Zacks consensus, which itself was down 2.5% from year-ago sales tallies. Its 4.4 million end-of-period subscribers was up 6% year over year. Its sales on Digital platforms rose, while overall Operating and Net Income tumbled 20% and 30%, respectively.
A big push from Oprah Winfrey is setting the table for WW, which the company hopes will drive subscriber growth going forward. The company, which sported a Zacks Rank #1 (Strong Buy) rating and a Value-Growth-Momentum score of A ahead of the earnings release, has fallen 12% in late trading Tuesday.
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