GigaCloud Technology Inc. (GCT) has experienced a significant surge in its stocks today, following the report of better-than-expected fourth-quarter FY 2023 earnings and the issuance of its 2024 guidance. The company’s revenue saw a year-over-year rise of 94.8% to $244.7 million, surpassing the consensus of $224.2 million, driven by increased demand for large parcel merchandise in the market.
Moreover, GigaCloud Marketplace’s gross merchandise value (GMV) reached $794.4 million in the 12 months ending on December 31, 2023, reflecting a 53.3% increase from the previous year. The company also experienced a 20.5% year-over-year growth in active buyers, reaching a total of 5,010 in the same period. Gross profit saw a significant 161.4% increase year-over-year, amounting to $69.8 million, with the margin increasing to 28.5% from 21.2% in the previous year. Adjusted EBITDA also experienced a substantial 188.2% year-over-year increase to $43.8 million, and the earnings per share (EPS) of $0.87 surpassed the consensus of $0.58.
Furthermore, GigaCloud Technology reported an operating cash flow of $133.5 million for the year, with a cash balance of $183.3 million and restricted cash of $0.9 million as of December 31, 2023. Larry Wu, the Founder, Chairman, and Chief Executive Officer, expressed the company’s expansion through the integration of Noble House and Wondersign, which has broadened their global presence, product portfolio, and business network.
In terms of share repurchase, GigaCloud Technology did not repurchase any shares in the fourth fiscal quarter of 2023. However, from the launch of the share repurchase program on June 14, 2023, to December 31, 2023, the company managed to repurchase shares worth around $1.6 million. Looking ahead, the company is expecting revenues of $230 million to $240 million for the first quarter of 2024, surpassing the consensus of $210.2 million.
Given these positive updates, GCT shares have surged by 14.2% to £39.96 as of the last check on Friday, reflecting the market’s favourable response to the company’s performance. It is important to note that Benzinga.com, the source of this information, does not provide investment advice and all rights are reserved.
In conclusion, GigaCloud Technology’s remarkable financial results and optimistic outlook for 2024 have contributed to the surge in its stocks today. The integration of Noble House and Wondersign has paved the way for the company’s global expansion, providing them with a competitive edge in the market. With their strong financial position and strategic initiatives, GigaCloud Technology is evidently poised for further growth and success in the coming year.
+ There are no comments
Add yours