Loading...
•
Dec 31, 2022
Nextdoor Q4 2022 Earnings Report
Revenue declined due to reduced advertising spend, while weekly active users grew.
Key Takeaways
Nextdoor's Q4 2022 revenue decreased by 10% year-over-year to $53 million, impacted by reduced advertising spend in key verticals. However, weekly active users (WAU) grew by 11% year-over-year to 40 million. The company focused on operational efficiency and product development to drive engagement and future revenue growth.
Q4 revenue decreased 10% year-over-year to $53M, impacted by reduced advertising spend from financial services, home services, and real estate verticals.
Weekly Active Users (WAU) grew 11% year-over-year to 40 million, driven by growth in U.S. neighbor engagement.
ARPU declined 19% year-over-year to $1.33 due to WAU growth in less-monetized international markets and lower average spend per customer.
Operating expenses were held constant year-over-year through headcount management and selective hiring in critical areas.
Forward Guidance
In 2023, Nextdoor is focused on growing its user base and engagement, with the goal of returning to strong revenue growth and profitability.
Positive Outlook
- Focus on growing base of neighbors and organizations.
- Increasing engagement on the platform.
- Returning to strong revenue growth.
- Supporting path to profitability.
- Expect to return to revenue growth and adjusted EBITDA margin improvement for the full year 2023.
Challenges Ahead
- Revenue is expected to be $46M–$47M for Q1 2023.
- Adjusted EBITDA loss is expected to be $27M–$26M for Q1 2023.
- Stock-based compensation expense is impacted by the future fair market value of our common stock and other factors, all of which are difficult to predict, subject to frequent change, or not within our control.
- The actual amount of these expenses during 2023 will have a significant impact on our future GAAP financial results.
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...