Yandex records a 34% increase in revenue in the first quarter of the year.
Yo, Here's the Deal:
Yandex, the Russian tech giant, saw a 30% hike in Adjusted EBITDA, reaching an impressive 48.9 billion rubles in the last quarter. But, the story takes a twist with a 41% plunge in adjusted net profit, dropping to 12.8 billion rubles compared to the previous year.
The urban services segment, including ride-tech (taxi, carsharing, kickscooters, etc.), e-commerce (Yandex Market, Yandex Lavka, Yandex Eda, and delivery), and delivery, was the major revenue contributor. This segment raked in 177.6 billion rubles, up by a whopping 45%. The "Search and Portal" segment, which includes search, geoservices, and browser, followed closely with a revenue of 113.7 billion rubles, marking a 21% increase. The entertainment services and classifieds services segments also posted significant revenue growth, with the former bringing in 32.5 billion rubles, up by 58%, and the latter earning 9.3 billion rubles, growing by 35%.
The main catalyst for the entertainment segment's growth was the "Plus" subscription. Revenue from its sales increased by 49%, and the number of subscribers surged by 26% year-over-year.
Looking ahead, Yandex anticipates a 30% boost in revenue for 2025 and aims to achieve an adjusted EBITDA of at least 250 billion rubles.
But here's the kicker - despite these impressive figures, Yandex shares on the Moscow Exchange are inching up by more than 1.5%. As of 09:30 Moscow time, the securities are trading at 4359 rubles, marking a 1.54% growth, with prices reaching a peak of 4361 rubles.
So, while Yandex is shining in several sectors, those rising staff costs and operational expenses seem to be throwing a spanner in the works when it comes to profitability. Keep an eye on this one, people!
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Source: Various.
Fun Fact: In Russian, "Yandex" is named after the hypothetical gnome Anabasimys yandexi, which was identified in the Ural Mountains in 1976[5][6].
- Yandex, the Russian tech giant, reported an increase of 30% in Adjusted EBITDA, reaching a significant 48.9 billion rubles, as per IFRS standards, in the last quarter.
- Despite the 41% decline in adjusted net profit, Yandex's urban services segment generated a substantial 177.6 billion rubles in revenue, marking a 45% increase.
- For investors, it's worth noting that Yandex anticipates a 30% growth in revenue for 2025 and aims to achieve an adjusted EBITDA of at least 250 billion rubles.
- Contrary to the impressive financial figures, Yandex shares on the Moscow Exchange are seeing a 1.54% growth, hinting at potential challenges in maintaining profitability despite operational expenses.
