Shares of Trustpilot Group saw a significant boost as the company announced better-than-expected adjusted earnings for the full year. Alongside this positive news, Trustpilot Group also reported a narrowed first-half pretax loss and increased revenue.
Pretax Loss Reduction and Revenue Growth
In comparison to the previous year, Trustpilot Group managed to decrease its pretax loss from $9.2 million to $4.0 million. This favorable outcome can be attributed to their revenue growth, which rose to $84.6 million from $73.4 million. Notably, bookings increased by 16% on a constant-currency basis, reaching $99.2 million from $86.7 million. Trustpilot Group highlighted that this growth demonstrates their resilience in the face of challenging macroeconomic conditions.
Positive Outlook for the Full Year
Trustpilot Group maintains their optimistic outlook for the full year, forecasting mid-teens constant-currency revenue growth. With anticipated operating leverage in the second half of the year, the company expects its adjusted earnings before interest, taxes, depreciation, and amortization to surpass the current market expectations.
While Trustpilot Group did not disclose a specific figure, analysts from FactSet predict adjusted Ebitda of approximately $6.35 million for 2023. This further boosts investors' confidence in the company's potential.
"The board remains confident in the business delivering sustainable growth and operating leverage over the long term and in the significant and growing long-term market opportunity," stated Trustpilot Group.