Digital payments and point of sales processor (POS) Square $SQ reported better than expected third quarter earnings after the close Wednesday. $SQ successfully launched the Everbrite IPO in the quarter. However it guided lower than expectations for the fourth quarter.
Digital payments and point of sales processor (POS) Square $SQ reported better than expected third quarter earnings after the close Wednesday. $SQ successfully launched the Everbrite IPO in the quarter. However it guided lower than expectations for the fourth quarter.
Square Inc NYSE: SQ Reported Earnings After Close Wednesday
$0.13 Beat Exp $0.11 EPS on $431 Million in Revenue
Earnings
Square (SQ) reported net income of $19.6 million or $0.04 per share compared to a loss of $16.1 million or $0.04 per share in the previous year quarter. The latest quarter results included gains from the IPO and subsequent mark-to-market valuation of its Eventbrite investment.
Square said adjusted earnings were 13 cents a share, up 86% from a year ago, with revenue rising 51% to $882 million beating estimates of 11 cents on sales of $861 million which was up 51% and adjusted revenue soared 68% to $431 million. Gross Payment Volume (GPV), which is a key metric tracked by the investors, rose 29% to $22.5 billion on the continued contribution from large sellers.
Square Inc NYSE: SQ Market Reaction : After hours 32.35 −0.58 (-1.76%)
Highlights
Outlook
SQ expects its fourth-quarter adjusted earnings to be in the range of $0.12 to $0.13 per share trailing analyst consensus of $0.15 per share. Adjusted EBITDA is forecasted to be between $75 million to $80 million. Adjusted revenues outlook came in better than street estimates in the range of $446 million and $451 million.
For 2018, Square has lifted the adjusted revenue guidance to the range of $1.569 billion to $1.574 billion from the prior range of $1.52 billion to $1.54 billion. Adjusted EPS outlook was lifted to the range of $0.45 to $0.46 from the previous range of $0.42 to $0.46. Adjusted EBITDA estimates were raised to the range of $250 million to $255 million from the prior forecast of $240 million to $250 million.
Source: Square Inc https://squareup.com/about/investors