Yelp reported first-quarter net income of $1 million, or 2 cents a share, vs. a net loss of $2 million, or 3 cents a share, in the comparable year-earlier quarter. Analysts polled by FactSet had been expecting earnings of 1 cent a share.
Revenue came in at $236 million for the first quarter, up 6% from the $223 million the company posted in the first quarter of 2018 and at the high of its first-quarter outlook range. Analysts polled by FactSet had been expecting revenue of $235.3 million.
"We are encouraged by the progress we have made on our plan to drive sustainable, profitable long-term growth for our shareholders," Yelp CEO Jeremy Stoppelman said in a statement, noting that growth in its lineup of offerings and will "accelerate growth in the second half of the year."
Yelp reiterated its 2019 outlook, noting that it expects revenue growth of 8%-10% with adjusted earnings before income, taxes, depreciation and amortization (EBITDA) margins to increase by 2-3 percentage points over 2018 levels.
One negative, however, were total costs and expenses, which increased to $240 million in the first quarter vs. $228 million in the comparable year-earlier period, the company said.
Shares of Yelp opened down nearly 10% on Friday at $35.83 on the New York Stock Exchange. They ended the day Thursday down 2% at $39.73.