ZipRecruiter (NYSE: ZIP), an online employment marketplace plummeted at the time of writing on Wednesday after the company warned of softer hiring trends. Ian Siegel, CEO of ZipRecruiter commented, “Against a challenging macroeconomic backdrop, ZipRecruiter was able to deliver $14 million of net income and $43 million of Adjusted EBITDA in the second quarter of 2023. The number of job openings and employers’ willingness to pay for those job openings has been declining significantly from the peaks of prior years.”
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The company announced Q2 diluted earnings of $0.14 per share as compared to diluted earnings of $0.11 per share and above Street estimates of $0.08 per share. However, the company’s Q2 revenues fell 29% year-over-year to $170.4 million but beat analysts’ estimates of $169.56 million.
Looking forward, in the third quarter, ZIP continues to expect its revenues to decline in the range of 35% to 33% year-over-year to be between $147 million and $153 million while adjusted EBITDA is projected to be in the range of $37 million to $43 million.
Analysts are bullish about ZIP stock with a Strong Buy consensus rating based on a unanimous three Buys.
