Stock Faber Jumps about 10% in early trading on Wall Street. The stock has lost about 77% of its value since reaching its peak a year ago. The company, which operates a trading platform to connect freelancers from various fields with clients, was traded a year ago at a value of over $ 11 billion ($ 323 per share), while now worth about $ 3.1 billion ($ 83.8 per share following the jump now).
The peak came against the backdrop of high growth and the earlier transition to profit in 2020, following the corona plague that accelerated the transition to online in all areas of life. Since then, however, investors’ tastes have changed against the backdrop of macroeconomic conditions, and they prefer more stable and older companies, value companies rather than growth companies.
Today (Thursday) Faber published its fourth quarter and 2021 reports in which it significantly exceeded analysts’ forecasts. At the same time, it provided a forecast for continued growth (albeit more moderate than in the past) in 2022.
Revenue for the fourth quarter was $ 79.8 million, up 42.7% from the same quarter last year. According to GAAP, the net loss attributable to shareholders was $ 19.5 million, up from a loss of $ 8.1 million in the same quarter last year. On a non-GAAP basis, after deducting various accounting items, including capital gains for employees, net income was $ 9.2 million, up 93.8% from the same quarter last year, and earnings per share were 22 cents, while analysts expected much more modest earnings, 4 cents only.
The Take Rate, which reflects the amount of commission that Faber charges for each transaction made through it, was 29.2% compared to 27.1% in the corresponding quarter. In 2022 Faber predicts stability with some upside in that figure.
In annual summary, revenue Faber Reached $ 298 million, a growth of 57.1% compared to 2020. The GAAP net loss deepened to $ 65 million, and on a non-GAAP basis the company posted a net profit of $ 24.5 million (60 cents per share), compared to $ 10.4 million in 2020. The company recognized costs of $ 55.4 million for the registration of capital benefits to employees, an increase from $ 15.8 million in 2021. The adjusted annual EBITDA (earnings before interest, taxes, depreciation and amortization) reached $ 22.9 million, an increase of 151%.
During 2021 Faber generated $ 38 million from current operations and at the end of the year it had $ 644 million in cash, compared to a long-term debt of $ 374 million to the convertible bondholders it issued in 2020.
The company’s forecast for the first quarter is for revenue of $ 85-87 million, a growth of 24% -27% compared to the corresponding quarter, with EBITDA of $ 1.5-3.5 million (compared to negative EBITDA in the corresponding quarter). In 2022, revenues will grow by 25% -27% to $ 373-379 million, higher than analysts’ forecasts, and EBITDA will be $ 27-33 million, higher than in 2021.
“We live in a dynamic work environment that is constantly evolving, in which the world adopts the vision that Faber presented 12 years ago,” said Micha Kaufman, CEO and founder of the company. Retaining exceptional customers.