06:32 AM EDT, 05/20/2024 (MT Newswires) -- Wix.com ( WIX ) raised its full-year bookings and revenue outlooks Monday after the Israeli software company recorded higher first-quarter results that topped Wall Street's estimates.

The firm, which provides cloud-based web development services, now anticipates bookings to come in between almost $1.8 billion and $1.83 billion for 2024 versus the prior forecast of $1.78 billion and $1.81 billion. The consensus on Visible Alpha is for nearly $1.8 billion in bookings.

The higher guidance reflects annual bookings growth acceleration in the second half from the company's self-creators and partners business. Self-creators gains are set to be driven by artificial intelligence products, while a more meaningful contribution than initially planned from studio ramping is expected to boost partners growth acceleration, according to Wix.

"This improved bookings trend is expected to translate into strong (year on year) revenue growth acceleration in 2025," Chief Financial Officer Lior Shemesh said in a statement. For the current year, the company projects revenue between $1.74 billion and $1.76 billion, compared with the previous outlook of $1.73 billion and $1.76 billion. The consensus on Capital IQ is for $1.75 billion. Wix's US-listed shares spiked 6.9% in Monday's premarket activity.

For the three months through March, revenue jumped 12% to $419.8 million, beating the Street's view for $417.9 million. Revenue from the creative subscriptions segment climbed 9% to $304.3 million, with annualized recurring revenue rising 10%. Business solutions revenue surged 20% to $115.5 million, while partners revenue soared 33% to $138.4 million.

Total bookings came in at $457.3 million, up from $414.9 million in the prior-year quarter. Analysts on Visible Alpha estimated bookings of $451.4 million. Adjusted earnings advanced to $1.29 per share from $0.91, ahead of the market's view for $1.04.

"(First-quarter) results outperformed expectations across the board," Chief Executive Avishai Abrahami said. "This outperformance was underpinned by robust business fundamentals as well as strong product traction, particularly for our expansive AI product offering and Wix Studio."

For the ongoing quarter, Wix expects revenue of $431 million to $435 million, reflecting a yearly growth of 11% to 12%. The Street is looking for $434.9 million.

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