MORRISVILLE – As the global pandemic drives more consumers to become more reliant on internet commerce, ChannelAdvisor continues to grow its ecommerce services business.
The latest positive news came Thursday as ChannelAdvisor Corp. (ECOM) reported third-quarter profit of $3.7 million.
The Morrisville-based company said it had net income of 12 cents per share. Earnings, adjusted for stock option expense and costs related to mergers and acquisitions, came to 20 cents per share.
The results exceeded Wall Street expectations. The average estimate of three analysts surveyed by Zacks Investment Research was for earnings of 18 cents per share.
And CEO David Spitz was signing his company’s praises.
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“We delivered strong financial results again in the third quarter, with revenue and adjusted EBITDA [Earnings Before Interest, Taxes, Depreciation, and Amortization] that both exceeded our guidance for the quarter,” Spitz said in a statement.
“What excites me even more is the strong performance we had in sales, especially with brands, and overall outstanding revenue retention for the quarter, both of which combined to drive an acceleration in fixed revenue growth. Our strategic shift towards brands has continued to pay off, with revenue growth from brands accelerating to 29% year over year for the quarter, and our solid overall execution in the quarter positions us for continued strong performance as we close out the year.”
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ChannelAdvisor posted revenue of $35.3 million in the period, also exceeding Street forecasts. Three analysts surveyed by Zacks expected $34.7 million.
For the current quarter ending in December, ChannelAdvisor said it expects revenue in the range of $37.3 million to $38.3 million.
ChannelAdvisor shares have more than doubled since the beginning of the year. The stock has increased 91% in the last 12 months.
You can read the full earnings report online.
The Associated Press contributed to this story.
