Wix Q4 Earnings: EPS Beat, Issues Strong 2025 Outlook With Two Products Launch

Wix.com Ltd (WIX), the leading SaaS website builder platform, reported its fiscal fourth-quarter 2024 results on Wednesday, February 19, 2025, with earnings that beat analyst estimates and a strong outlook for 2025 driven by two upcoming product launches.

The company's adjusted EPS of $1.93 surpassed the analyst consensus estimate of $1.59, while revenue of $460.46 million marginally missed the forecast of $461.75 million. Despite the slight revenue miss, Wix's strong performance in key segments, such as Creative Subscriptions and Business Solutions, highlighted the company's resilience and growth potential.

Wix's strong fourth-quarter performance was driven by robust growth in its Creative Subscriptions segment, with revenue increasing 11% year-over-year (YoY) to $329.7 million. The company's Creative Subscriptions bookings climbed 15% YoY to $325.2 million, and the segment's annual recurring revenue (ARR) grew 13% YoY to $1.34 billion. The Business Solutions segment also contributed to Wix's growth, with revenue rising 21% YoY to $130.7 million and bookings jumping 25% YoY to $139.4 million.

Wix's co-founder and CEO, Avishai Abrahami, highlighted the company's exciting innovations in 2024, including the introduction of revolutionary AI solutions such as the new generation AI Website Builder and meaningful enhancements to the Studio platform. Looking ahead to 2025, Abrahami expressed confidence in the company's ability to reimagine and expand the Self Creator experience with the launch of two transformative products planned for the spring and early fall.



Wix's outlook for 2025 is robust, with the company expecting fiscal 2025 revenue of $1.970 billion—$2.000 billion, representing a 12% to 14% increase from 2024. The company also projects 2025 bookings of $2.025 billion—$2.060 billion and expects to generate free cash flow, excluding headquarters costs, of $590 million—$610 million. Wix's first-quarter fiscal 2025 revenue is expected to be $469 million—$473 million, versus a consensus of $481.47 million.

Analysts, such as Raymond James' Josh Beck and JMP Securities' Andrew Boone, noted Wix's market share gains and expressed confidence in the company's ability to continue doing so through 2025, backed by Studio product improvements and potential benefits from the lawsuit and negative headlines surrounding rival WordPress.

In conclusion, Wix's strong fourth-quarter earnings and robust 2025 outlook, driven by two upcoming product launches, position the company well for continued growth and market share gains. The company's AI-driven innovations, such as the AI Website Builder and Studio platform enhancements, contribute to its competitive advantage in the market. As Wix continues to innovate and capitalize on market trends, investors should closely monitor the company's progress and consider its strong growth prospects.