Published on April 3rd, 2017 | by Daily Station Team
TubeMogul Posts Better-Than-Expected Q4 Results But FY 2015 Guidance Sub Par Leading to 27 Pc Drop in Shares After Hours
TubeMogul (TUBE) recently reported their financial results for their fourth quarter of the 2014 fiscal year, which ended on December 31st, 2014. The company’s results exceeded analyst and market expectations, but their outlook for 2015 missed the mark.
Thus, the company reported they achieved revenues of $36.1 million, which was higher than analysts were expecting, which was $32.2 million. This figure also represented a significant increase over the same quarter of the previous year, or a 64 percent rise, to be more precise, over the $22 million the company achieved during Q4 of 2013.
TubeMogul’s total expenditure was $82.6 million, representing an 85 percent rise over the fourth quarter of 2013, when the company’s expenditure was $44.7 million.
The company incurred a loss per share of $0.14, which was less than analysts were expecting, namely a loss per share of $0.17. TubeMogul posted a net loss of $4 million for the quarter, compared to the net income of $0.1 million they achieved in the fourth quarter of FY 2013.
TubeMogul posted a gross profit of $25.7 million, representing a growth of 77 percent over the same quarter of the previous year, when gross profit worked out to $14.5 million.
Brett Wilson, the Chief Executive Officer of TubeMogul stated that the company saw solid adoption of their software during Q4 by agencies as well as brands. This indicates that both agencies and brands are more and more aware of the benefits of having a centralized purchasing platform, offering them the opportunity to garner a greater degree of control over their media expenditure. He further explained that TubeMogul is in a good position to become their partners as they are making the transition to an ad platform that is driven by software. The company’s outlook for FY 2015 is exciting, stated Wilson, because they are starting to make progress in gaining access to TV ad budgets, ad displays and social ad formats and offering them on their software platforms.
For the first quarter of the new fiscal year, the company is expecting a total expenditure between $68 million and $70 million, with their revenues coming in between $28 million and $30 million. Analysts are expecting revenues to come in at $31.58 million.
The company’s gross profit for the first quarter is expected to come in between $20 million and $22 million, while adjusted EBITDA is supposed to come in at a loss between negative $5 million and negative $3 million.
For the entire 2015 fiscal year, the company is expecting total expenditure between $360 million and $370 million, while revenues are expected to come in between $142 million and $152 million. Analysts are expecting the company’s overall revenue for FY 2015 to come in at $154.21 million.
The company posted guidance for FY 2015 gross profit between $101 million and $111 million, while adjusted EBITDA is expected to result in a loss between $19 million and $9 million.
TubeMogul’s stock was trading at $13 per share, indicating a decline of 27.54 percent. The company has been trading between $8.15 and $23.83 over the past 52 weeks. TubeMogul has a market cap of $411.73 million.