Cardlytics Inc. shares were shooting toward their best day on record Tuesday after the digital-advertising company boosted its quarterly forecast.
Cardlytics
CDLX,
now expects $63.5 million to $66.5 million in revenue for the first quarter. Its prior outlook was for $54 million to $63 million.
The company also expects $93 million to $97 million in bookings, which take into account consumer incentives. Cardlytics, which works with financial institutions to help run customer loyalty programs, gave an earlier bookings forecast of $84 million to $93 million for the quarter.
“Despite a difficult macroeconomic environment, our shift to a product-led operating structure is already yielding positive results,” Chief Executive Karim Temsamani said in a release. “Our improved top-line guidance is driven by better-than-expected growth in the U.S. business and the product optimizations discussed on our last earnings call.”
Cardlytics shares were up 82% in Tuesday afternoon action and on pace to easily post their largest single-day percentage gain on record, which would require besting the 43% gain seen on Nov. 13, 2019.
The stock is on track to rise for the fifth straight session. Cardlytics shares are up 8.5% so far this year, though they’ve declined 89% over a 12-month span.
Management also now anticipates a $5 million to $8 million loss on the basis of adjusted earnings before interest, taxes, depreciation and amortization (Ebitda), while its previous outlook called for a $10 million to $17 million loss on the metric.
Temsamani noted Cardlytics’ “rigorous approach in managing [its] cost structure,” which involved “implementing $3.5 million of one-time savings during the first quarter.”
See also: Cardlytics seeks new CFO after current one announces resignation
This post was originally published on Market Watch
