In this photo illustration, the StubHub logo and webpage appear on a cell phone and computer monitor on April 17, 2024 in Los Angeles, California.
Tama Mario | Getty Images
stub hubThe company’s stock plunged 24% on Friday after the company withheld its financial outlook for the current quarter, citing a “long-term” focus.
StubHub CEO Eric Baker told investors on a conference call Thursday that ticket release dates can change from quarter to quarter, making it difficult to predict consumer demand.
Baker reiterated that demand for live events has been “tremendous,” adding that the company plans to provide its outlook for 2026 when it reports fourth-quarter results.
“We’re seeing some changes in the timing of sales this year,” Chief Financial Officer Connie James told investors on a conference call. “Several major tours that would normally be released in the fourth quarter took place as early as late September. It remains to be seen how the timing of this concert release will impact November and December.”
Wedbush analysts said in a note to investors on Friday that they were “surprised” by StubHub executives’ decision not to provide guidance.
“The lack of forward guidance has weighed on stock prices, and investors are increasingly concerned about the lack of near-term visibility,” analysts said. They have an Outperform rating on StubHub stock.
The lack of guidance overshadowed StubHub’s stronger-than-expected performance in its first earnings report as a public company. The company held an initial public offering in September, raising $800 million.
StubHub had a lackluster start in the public markets, in contrast to other newcomers to the market such as online lenders. Klarnaa design software company figma and stablecoin issuers circlewhich rose rapidly with its debut work.
StubHub stock has fallen nearly 40% from its IPO price of $23.50.
LSEG said third-quarter sales rose 8% year over year to $468.1 million, beating analysts’ average estimate of $452 million.
Total merchandise sales, which represent the total amount paid by ticket buyers, increased 11% year over year to $2.43 billion. That beat Wall Street’s $2.36 billion estimate, according to FactSet.
The ticketing company posted a net loss of $1.33 billion, or $4.27 per share, due to one-time stock-based compensation expense related to the IPO.
1-day chart of StubHub stock price.
