Trustpilot FY adjusted EBITDA seen ahead of expectations

(Sharecast News) - Reviews website operator Trustpilot said on Thursday that full-year adjusted underlying earnings would come in ahead of expectations after it witnessed a 23% uptick in annual revenues. Trustpilot stated revenues had risen about 13% to approximately $149.0m, with annual recurring revenues up 12% to roughly $162.0m, while total bookings increased an estimated 11% to $165.0m.

The London-listed group added that it had benefitted from "a flexible operating model" and, given the uncertain market backdrop, had actively managed its business to deliver operating leverage in H2.

Trustpilot now anticipates that full-year adjusted underlying earnings will be ahead of expectations and added it that had ended the year with "a strong balance sheet" and $73.5m of cash and no debt.

Chief executive Peter Holten Mühlmann said: "Despite the uncertain economic backdrop in the second half of the year we have continued to see robust growth in annual recurring revenue and our subscription model has been resilient, enabling us to maintain a 100% net dollar retention rate.

"This demonstrates the stickiness of our product offering and the measurable value we deliver to our business customers. We are pleased with our performance in 2022, continue to make clear progress on our path to profitability and the board remains confident in our strategy and the significant and growing long-term market opportunity."

As of 0945 GMT, Trustpilot shares had shot up 10.23% to 102.90p.

Reporting by Iain Gilbert at Sharecast.com