Eventbrite Stock Buoyed by Better than Expected Earnings
Eventbrite stock has ticked upward following the release of the company’s Q2 earnings report, up five pecent at mid-day compared to its close Thursday. Revenue was down 90 percent compared to a year ago – similar to Live Nation’s dismal numbers released Wednesday – but the company lost 44 cents per share, compared to estimates closer to 50 cents.
“Our second quarter results demonstrate the resilience and ingenuity of our creators as well as Eventbrite’s ability to adapt to their needs in any environment,” said Julia Hartz, Eventbrite’s Co-Founder and Chief Executive Officer. “With the help of our platform, creators have turned to online and free events to stay connected with their audiences, who continue to show strong demand for live experiences. Although we expect the near-term environment for in-person events to remain challenging as a result of the ongoing impact of COVID-19, we are encouraged by steadily improving monthly ticket sales on the platform.”
Net revenue was $8.4 million for the second quarter, compared to $80.8 over the same span a year ago. The company saw a net loss of $38.6 million for the quarter, with an adjusted EBITDA loss of $20.6 million. All of the numbers fell within expectations for a company operating in an industry brought to a near-complete halt amid the pandemic.
Eventbrite stock has seen a rough 2020, directly attributable to the pandemic. After hovering around $21 a share in January and most of February, prices plummetted rapidly starting in late February, dropping below $10 by mid-March as the impact of the impending shutdowns began to take shape. After dropping as low as $5.86 in April, prices have rebounded slightly, hovering between $8-9 of late.
Read the full Eventbrite shareholder letter here.