Online recommendations site Yelp reported third-quarter results late Thursday that topped Wall analyst expectations for earnings and revenue. Yelp stock was up in after-hours trading following the report.
For the quarter ended Sept. 30, Yelp earned an adjusted 79 cents per share on sales of $345 million. Analysts were expecting the San Francisco-based company to post EPS of 34 cents on sales of $341 million, according to FactSet.
For the same quarter last year, Yelp reported earnings per share of 13 cents and sales of $309 million.
On the stock market today, Yelp shares were up 2.9% in after-hours trading. Prior to its earnings, Yelp stock closed Thursday at 42.79, up 2.4% on the day.
Yelp Stock: Steady Double-Digit Growth
Further, Yelp raised its outlook for total 2023 revenue to $1.332 billion to $1.337 billion, compared with analyst expectations of $1.330 billion.
David Schwarzbach, Yelp's chief financial officer, noted in the company's earning release that it has recorded double-digit revenue growth for 10 straight quarters.
Yelp's advertising revenue from services businesses increased by 14% year over year, led by approximately 20% year-over-year growth in the home services category, the company said.
The company said it is seeing results from a Yelp Guaranteed program focused on home services. It expanded the service nationwide in August.
Further, advertising revenue from restaurant, retail and other businesses increased by 10% year over year to a record $124 million
So far this year, Yelp stock is up 56%.
This article has been updated to correct the timing of the Yelp Guaranteed program, as well as figures on advertising revenue growth from the company's services and home services category.