Yelp reports record results for third quarter

2 Nov 2012

Local reviews network Yelp has reported a healthy third quarter, with increases in net revenue, cumulative reviews, average monthly unique visitors, and active local business accounts.

Rob Krolik, Yelp’s chief financial officer, said Yelp achieved record results in all of its financial and key operating metrics, with both revenue and adjusted EBITDA ahead of its guidance.

For Yelp, the third quarter ended 30 September 2012 yielded net revenue of US$36.4m, reflecting 63pc growth in net revenue from the same period last year.

Cumulative reviews grew 49pc year-over-year to more than 33m.

Average monthly unique visitors grew 37pc year-over-year to about 84m, and active local business accounts grew 82pc year-over-year to about 35,500.

Yelp’s net loss in Q3 totalled US$2.0m or US$0.03 per share, compared to a net loss of US$3.8m, or US$0.24 per share.

Adjusted EBITDA amounted to about US$2.2m, compared to a loss of $882,000 for Q3 of 2011.

“We had a great quarter, fuelled by the rich, authentic local content created by Yelpers around the world,” said Jeremy Stoppelman, Yelp’s chief executive officer. “Our innovative drive and focus on community are key to capturing the opportunity before us.

“Mobile remains a top priority and we expect it to be a key driver of engagement and success in the future. As we continue to build Yelp communities around the world and connect consumers with great local businesses, we further fulfil our mission to be the de facto local search engine.”

Tina Costanza was a journalist and sub-editor at Silicon Republic