Wix Results Presentation Deck slide image

Wix Results Presentation Deck

First Quarter Highlights Strong start to the year with all key metrics once again exceeding high end of expectations ● ● ● ● Record conversion drove strong user cohort performance Conversion of registered users to premium subscriptions continued to increase through Q1 driven by continued product development and outstanding execution of our data-driven marketing strategy The Q1 2018 user cohort is off to a stronger start than any prior cohort and is expected to generate approximately $370 million in collections over the next eight years based on current cohort data Over the last three years, we have increased the users in our Q1 user cohorts by 30% while increasing the premium subscriptions in the first quarter by 107% Our prior cohorts continue to behave in a predictable, stable way Retention was again very strong and improving, demonstrating that users are higher quality, are staying longer and that they are finding value in the product ● ● The continued improvements across products, marketing execution and increasing strength in our brand drove strong financial results in Q1 Revenue in Q1 was $137.8M, up 49% y/y and ahead of the top end of guidance ● Collections in Q1 were $159.7M, up 39% y/y and above our expectations Improvements to existing products and new product development continue to be the primary drivers of conversion and retention exceeding expectations. Improved marketing execution and continued strength of our brand also contributed to the outperformance this quarter Free cash flow of $21.4 million is the highest ever in a quarter Y/Y growth in FCF was 45%, reflecting leverage in our business model, specifically over investments in marketing and R&D Wix.com - 2- Q1 Results vs. Guidance GAAP Revenue Actual Results $137.8 million Prior Guidance $135-136 million Collections Actual Results $159.7 million Prior Guidance $157-158 million Free Cash Flow Actual Results $21.4 million
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