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5 Insightful Analyst Questions From Vimeo’s Q1 Earnings Call

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Vimeo’s first quarter results reflected a mixed picture, with revenue coming in above Wall Street’s expectations but declining year-on-year. The market responded negatively, as investors focused on margin pressures and a challenging operating environment. CEO Philip Moyer highlighted the return to growth in self-service bookings—the first in three years—and noted that recent price increases, combined with enhanced features, have helped reduce customer churn. He pointed out, “We increased prices by as much as 20% for some customers, but saw lower churn rates as we provided more value.”

Is now the time to buy VMEO? Find out in our full research report (it’s free).

Vimeo (VMEO) Q1 CY2025 Highlights:

  • Revenue: $103 million vs analyst estimates of $101.4 million (1.8% year-on-year decline, 1.6% beat)
  • EPS (GAAP): -$0.02 vs analyst estimates of -$0.03 (in line)
  • Adjusted EBITDA: $4.80 million vs analyst estimates of $1.08 million (4.7% margin, significant beat)
  • EBITDA guidance for the full year is $27.5 million at the midpoint, below analyst estimates of $28.28 million
  • Operating Margin: -5.9%, down from 2.5% in the same quarter last year
  • Market Capitalization: $665.6 million

While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.

Our Top 5 Analyst Questions Vimeo’s Q1 Earnings Call

  • Tom Champion (Piper Sandler) asked about the impact and sustainability of recent self-service pricing changes. CEO Philip Moyer responded that price increases have cycled through much of the base, with lower churn rates and continued plans to adjust prices for higher-tier plans.
  • Tom Champion (Piper Sandler) inquired about the $30 million investment plan. CFO Gillian Munson explained the company is carefully reviewing projects and aims not to spend the entire amount unless justified by clear growth opportunities.
  • Youssef Squali (Truist) probed on macroeconomic impacts and customer sentiment across segments. Moyer reported steady conditions in self-service, but some enterprise deals delayed due to economic uncertainty and organizational changes.
  • Youssef Squali (Truist) asked about the slowdown in enterprise bookings growth and expectations for the next quarter. Moyer noted enterprise sales are lumpy, with bookings not always translating to revenue immediately, but the team maintains aggressive growth targets.
  • Bill Kerr (TD Cowan) questioned the uptake of GenAI features and upcoming product roadmap items. Moyer highlighted strong interest in translation and video discovery tools and teased future launches involving agentic video and video analytics.

Catalysts in Upcoming Quarters

In the upcoming quarters, the StockStory team will be monitoring (1) the continued adoption and monetization of Vimeo’s AI-driven features across both enterprise and self-service customer segments, (2) the stabilization of operating margins as investment levels remain elevated, and (3) progress on expanding larger enterprise contracts and improving customer retention. Execution on these fronts will be key markers of whether Vimeo’s strategic shift is translating into sustainable growth.

Vimeo currently trades at $4.03, down from $5.16 just before the earnings. Is the company at an inflection point that warrants a buy or sell? Find out in our full research report (it’s free).

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