One site for Breaking News, Politics, Sports, Entertainment & more!

Newz Chooze
Back

Yelp Inc. shares dove more than 25% in extended trading Thursday after the online-reviews site reported disappointing sales in a quarterly earnings report. Yelp reported net income of $15 million, or 17 cents a share, on sales of $241.1 million, up from $223.3 million a year ago. Analysts on average expected earnings of 10 cents a share on sales of $245.4 million. Chief Executive Jeremy Stoppelman acknowledged the revenue miss, and said that weakness will continue into the holiday quarter. "While the shift to non-term advertising has opened our sales funnel, it has also made our results more sensitive to short-term operational issues," he said in the release. "We have begun to address a number of the issues that impacted our third quarter results; however, we expect them to affect our fourth quarter results as well, as reflected in our business outlook." Yelp planned to reveal its fourth-quarter forecast in a later conference call. Yelp stock closed with a 3% decline at $43.49, then fell lower than $33 in immediate after-hours trading. Shares are up 3.7% so far in 2018, while the S&P 500 index has gained 5.3%. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.