— Yelp Inc. (NYSE: YELP) reported its third-quarter 2019 earnings of $0.14 per share versus $0.19 per share expected.
— Net revenue rose by 9% to $262.47 million versus $262.25 million expected. This was driven primarily by growth in the number of paying advertising locations and improved productivity from its advertising sales force.
— The number of paying advertising locations in the third quarter grew 7% year-over-year to 563,000.
— App unique devices increased by 11% to 38 million. Cumulative reviews grew by 17% to 199 million.
— The company generated 42% more ad clicks for Yelp advertisers than last year, resulting in a 22% year-over-year decrease in the cost per click.
— Looking ahead into the fourth quarter, the company expects net revenue growth in the range of 11-13%. The consensus estimates revenue growth at 14.10%.
— For the full year 2019, the company now expects net revenue growth of 8% compared to the previous estimates of 8-10%. The street predicts revenue growth at 8.50%.
— The adjusted EBITDA margins are anticipated to rise by 2-3 percentage points each for the fourth quarter and the full year 2019.