MORRISVILLE — Global ecommerce services provider ChannelAdvisor seems to be on a roll.
On Wednesday, the Morrisville-based company reported fourth-quarter earnings of $5.4 million. had profit of 19 cents per share. Earnings, adjusted for stock option expense, were 24 cents per share.The results exceeded Wall Street expectations. The average estimate of four analysts surveyed by Zacks Investment Research was for earnings of 21 cents per share.
“Revenue came in at the high end of our guidance range and Adjusted EBITDA substantially exceeded our guidance range, demonstrating our ability to increase the efficiency of our business and to drive solid margin improvement,” said David Spitz, chief executive officer of ChannelAdvisor, in a statement.
“As we enter 2020, we believe we are well-positioned to improve our revenue growth due to our focus on brands, our increased sales capacity, and our planned launch of Starter Edition with ShipStation.”
The provider of cloud-based e-commerce services posted revenue of $34.8 million in the period, also exceeding Street forecasts. Three analysts surveyed by Zacks expected $34.5 million.
For the year, the company reported net income of $3.5 million, or 12 cents per share, swinging to a profit in the period. Revenue was reported as $130 million.
The news comes the same day it announced a strategic partnership with ShipStation to bring to market ChannelAdvisor Starter Edition, a new, simplified version of its e-commerce platform.
Under the arrangement, ChannelAdvisor can offer ShipStation customers access to the new ChannelAdvisor Starter Edition, including a webstore and global marketplaces such as Amazon and eBay.
“The core ChannelAdvisor platform is designed for larger brands and retailers who require extensive functionality and configurability,” Spitz said. “ChannelAdvisor Starter Edition is designed to be a lightweight, simpler solution geared towards getting smaller brands and retailers – who are getting started on a multi-channel journey – launched and selling in a matter of minutes. With a shipping solution that scales up as merchants grow, ShipStation is the ideal strategic partner to address this market. Through this new alliance, ChannelAdvisor and ShipStation are bringing together best-in-class channel management and shipping management capabilities to help our joint customers succeed.”