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Wednesday, February 13, 2019

Yelp jumps on earnings and says its increasing share buyback by $250 million

Yelp shares jumped more than 7 percent after releasing its earnings report Wednesday where it announced it is increasing its share buyback by $250 million. The company handily beat analyst expectations on both revenue and earnings per share.

Here are the numbers Yelp posted compared to analyst expectations:

Earnings per share: $0.37 per share vs. estimate of $0.10 per share, per Refinitiv

Revenue: $244 million vs. estimate of $241 million, per Refinitiv

Yelp's board had previously authorized a $250 million share repurchase program but announced Wednesday that the board is doubling the buyback program to a total of $500 million. Yelp pointed to strategies that it believes will increase its shareholder value, including expanding business offerings and continuing and seeking effective partnerships like the one it has with Grubhub.

The company also announced three new board members. Twilio COO George Hu, Stripes Group Operating Partner and former Starbucks CMO and CPO Sharon Rothstein and serial HomeAway co-founder Brian Sharples were appointed to the board and will begin their terms on March 1. On that day, they will replace current board members Geoff Donaker, Jeremy Levine and Peter Fenton, Yelp said.

This story is developing. Please check back for updates.

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