Weibo shares surge over 4% as Q1 results top estimates

Published 21/05/2025, 10:24
Weibo shares surge over 4% as Q1 results top estimates

BEIJING - On Wednesday, Weibo Corporation (NASDAQ:WB) reported first quarter 2025 results that beat analyst expectations, driven by solid advertising performance and progress on artificial intelligence initiatives.

The Chinese social media company’s shares jumped 4.51% in pre-market trading after the earnings release.

Weibo posted adjusted earnings per share of $0.45, surpassing the consensus estimate of $0.40. Revenue came in at $396.9 million, slightly above analyst projections of $394.24 million and flat YoY.

Advertising and marketing revenues, which make up the bulk of Weibo’s business, were $339.1 million, flat compared to the same period last year. However, advertising revenue from Alibaba (NYSE:BABA) surged 89% to $42.6 million, offsetting weakness in other sectors.

"We are pleased with our progresses made on the AI product front," said Gaofei Wang, CEO of Weibo. "On the AI application front, we have made Weibo Intelligent Search, our AI-powered search function, available to all users. During the first quarter, both the user base and daily search queries of Weibo Intelligent Search achieved decent sequential growth."

The company reported 591 million monthly active users in March 2025, with 261 million average daily active users.

Weibo’s operating margin expanded to 28% from 25% last year, reflecting improved efficiency. The company ended the quarter with $2.08 billion in cash and short-term investments.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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