Shutterstock, Inc. (NYSE: SSTK) has released its financial results for the full year and fourth quarter ended December 31, 2023. CEO Paul Hennessy commented, "Shutterstock delivered record revenues and profitability in 2023 and significantly exceeded our targets set out at the beginning of the year. Our success in building a leading content platform has allowed us to make key investments in data, distribution, and services where we have an exciting growth opportunity supported by strong industry tailwinds and a large TAM."
For the full year 2023, the company reported a 6% increase in revenue to $874.6 million. Income from operations decreased by 27% to $68.4 million, while net income increased by 45% to $110.3 million. The adjusted EBITDA increased by 10% to $240.8 million. However, in the fourth quarter of 2023, revenues decreased slightly to $217.2 million and the company reported a net loss of $1.0 million.
The full year revenue growth was primarily driven by a 5% increase in constant currency revenue. Revenue generated from content product offering decreased by 7% compared to 2022, while revenue from data, distribution, and services product offering increased by 256%. Net income and income per diluted share increased significantly, driven by the growth in the data, distribution, and services product offering.
The company also provided its 2027 long-term financial targets, including a revenue growth CAGR of 10% with 2027 revenues of $1.2 billion and an adjusted EBITDA margin expansion from 28% to 30% with 2027 EBITDA of $350 million.
Shutterstock's CEO, Paul Hennessy, expressed optimism for the future, saying, "Going forward, we’ll be shining a light on these exciting growth businesses, and providing revenue breakouts across two categories – content and data, distribution, and services."
The company's full 8-K submission is available here.
