Real estate website Zillow Inc posted first-quarter results above Wall Street estimates and said it bought software start-up RentJuice Corp, its second acquisition since it went public in July last year.
Zillow’s shares rose 8 per cent in extended trading to $38.99. They have nearly doubled in value from their IPO price of $20 per share.
The company earned $1.7 million, or 6 cents a share, compared with a loss of $824,000, or 6 cents a share, a year ago.
The website’s revenue doubled to $22.8 million. Analysts on average expected the company to earn 3 cents a share, on revenue of $21.5 million, according to Thomson Reuters I/B/E/S.
“”Mobile usage and site traffic grew substantially during the first quarter, which led to record revenue,” Chief Executive Spencer Rascoff said in a statement.
Separately, the company said it would buy RentJuice Corp, which provides rental relationship management software, for $40 million in cash.
In November, Zillow bought Diverse Solutions, which helps real estate agents market their business.
Zillow’s shares closed at $36.10 on Wednesday on the Nasdaq.
Source:http://economictimes.indiatimes.com/news/international-business/zillow-earnings-beat-estimates-buys-software-company/articleshow/12974185.cms
