Weibo Corporation (NASDAQ: WB) on Tuesday reported fourth quarter earnings that beat analysts’ estimates, sending its stock up more than 8 percent.
Beijing-based Weibo said revenue jumped 77 percent to $377.4 million in the quarter ended December 31, 2017. Analysts polled by Zacks Investment Research projected revenue of $365 million.
Adjusted net income was 64 cents per share, compared with 34 cents per share a year earlier.
"We are pleased to announce that we have achieved an important milestone as our total revenues for full-year 2017 surpassed $1 billion. Revenues from SMEs, key accounts and non-advertising all saw robust growth, while our profit and user base reached new highs." said Gaofei Wang, CEO of Weibo. "Weibo's powerful network effect combined with our continued user growth and user engagements as well as breadth of ad offerings have solidified Weibo as an essential element of mobile marketing in China further strengthens Weibo's leading position in the social media industry at large."
The better-than-expected earnings were driven by strong growth in its advertising and value-added service revenue. Fourth quarter advertising and marketing revenue jumped 77 percent year-over-year. While Value-added service ("VAS") revenues surged 81 percent to $45.1 million.