Weibo stock price rose 19.06% after IPO to USD 20.24, and Weibo’s market value reached USD 4.1 billion on 18 April, 2014.
Three days ago, Weibo released its Q1 financial report. It first quarter revenue was USD 67.5 million, decreasing 5% compared to last quarter’s 71.42 million but had a 161% YoY increase. Advertising revenue reached USD 51.9 million, decreasing 7% compared to last quarter and growing with a 177% YoY increase. Advertising revenue accounted for 76.9% of total revenue.
Weibo explained that the drop in first quarter was naturally because it was slack season for advertising.
In Q1 2014, Weibo had significant net loss of USD 47.4 million with net profit rate of -70.2%. Last quarter, Weibo’s net profit reached USD 24.56 million. The reason for last quarter’s net profit was because it added Alibaba’s investment which brought USD 19.5 million revenue.