StubHub Drops Sharply After Wider-Than-Expected Loss Despite Revenue Beat

StubHub (STUB) is sliding sharply in premarket trading after the company reported disappointing earnings results, with losses coming in far deeper than Wall Street projected. Shares were down roughly 20% early Friday morning following the release.

Quarterly Results: EPS Miss, Revenue Beat

Loss per share: $4.27
• vs. $2.87 loss expected by analysts
Revenue: $468 million
• vs. $452 million expected

Management attributed part of the steeper-than-expected loss to costs and expenses associated with its recent initial public offering.

IPO-Related Costs Weighed on Earnings

StubHub noted that several one-time items linked to its IPO contributed to the larger loss. Despite the near-term pressure, revenue trends remained solid, outperforming analyst forecasts.

Industry Context: Peer Also Missed Estimates

Larger competitor Live Nation (LYV) also reported quarterly results earlier this month that fell short of Street estimates, suggesting broader pressure across the live events and ticketing industry.