Core Insights - Vimeo, Inc. has elected three new members to its Board of Directors: Adam Cahan, Lydia Jett, and Kirsten Kliphouse, during the Annual Stockholder Meeting on June 9, 2025 [1][2] - The company also announced the departure of two Board members, Alesia J. Haas and Ida Kane, who had been with Vimeo since its spin-off in 2021 [1][2] Board Member Profiles - Adam Cahan brings over 25 years of experience in media technology and telecommunications, having held senior roles at companies like Yahoo, MTV Networks, Google, and NBC Universal [4] - Lydia Jett is a Founding Partner at Softbank Investment Advisors with over 20 years of experience in investing and serving on boards of leading technology businesses [4] - Kirsten Kliphouse recently served as President of Google Cloud Americas and has held leadership positions at Red Hat and Microsoft, as well as being CEO of Yardarm Technologies [4] Company Overview - Vimeo is recognized as one of the largest private video networks globally, serving millions of users, including creative storytellers and large corporations, with videos receiving billions of views monthly [3]

Financial Data and Key Metrics Changes - Proxies representing more than 91% of the shares of the company's outstanding capital stock eligible to vote have been received, indicating strong shareholder engagement [6] - Preliminary voting results show that each of the nine director nominees is elected to the board, the appointment of Ernst and Young is ratified, and the compensation of named executive officers is approved [14] Business Line Data and Key Metrics Changes - No specific financial data or key metrics related to individual business lines were provided in the meeting [1][2] Market Data and Key Metrics Changes - No specific market data or key metrics were discussed during the meeting [1][2] Company Strategy and Development Direction and Industry Competition - The company aims to be one of the most trusted video platforms globally, focusing on child safety and compliance with laws and industry practices [18] - The management emphasizes a commitment to supporting customers and creators with diverse opinions while avoiding political positions [18] Management Comments on Operating Environment and Future Outlook - Management acknowledges the importance of child safety and the company's investment in ensuring compliance with relevant policies and laws [18] - The company is focused on maintaining a neutral stance on divisive social issues while serving a wide variety of content [18] Other Important Information - The meeting was conducted virtually, and only stockholders of record as of April 21, 2025, or their appointed proxies were allowed to ask questions and vote [3][4] Q&A Session All Questions and Answers Question: Will Vimeo move back to neutrality and avoid radical divisive activist posturing? - Management responded that the company takes child safety seriously and does not take political positions, focusing instead on supporting a variety of opinions within legal frameworks [18]

Core Insights - Vimeo, a leading private video network, announced participation in upcoming financial conferences [1][3] - The company emphasizes its role as an innovative video experience platform serving millions of users [2] Company Participation in Conferences - Vimeo's CFO, Gillian Munson, will participate in the Jefferies Public Technology Conference on May 28, 2025, at 8:30 AM ET [3] - Additionally, Vimeo will be present at the TD Cowen 53rd Annual Technology, Media & Telecom Conference on May 29, 2025, at 1:15 PM ET [3] Company Overview - Vimeo is recognized as the world's most innovative video experience platform, enabling high-quality video creation [2] - The platform serves a diverse community, including creative storytellers and large global teams, with videos receiving billions of views monthly [2]

Core Viewpoint - Tough macroeconomic conditions are significantly impacting struggling companies in the small/mid-cap tech sector, with Vimeo identified as one of the companies nearing a critical point [1]. Company Analysis - Vimeo is highlighted as a struggling company within the small/mid-cap tech space, facing challenges due to adverse macroeconomic conditions [1]. - The article suggests that Vimeo may be at a pivotal moment, indicating potential risks for investors [1]. Industry Context - The article reflects on the broader challenges faced by small/mid-cap tech companies, emphasizing that many are nearing the end of their operational viability due to tough economic conditions [1].

Core Insights - Vimeo has been recognized for its achievements in video innovation, being included in Fast Company's World's Most Innovative Companies 2025 list [1] - The company has received multiple awards, including recognition for its AI-powered video hub, Vimeo Central, which was named Best Digital Video Platform and Best Use of AI at the 2025 Digiday Streaming and Video Awards [2] - Vimeo earned Honoree distinctions at the 29th Annual Webby Awards for its "Best of the Year 2024" campaign and a hero video for the REFRAME conference [3] User Feedback and Market Position - Vimeo has achieved the 1 ranking in the video platforms category on G2, reflecting high user satisfaction and market leadership [5] - The company received 50 badges across various categories, including Leader badges for Enterprise and Mid-Market segments, and awards for ease of use and best estimated ROI [5][4] - User feedback on G2 highlights Vimeo's strengths in customer satisfaction and usability, reinforcing its market presence [4] Company Vision and Commitment - The CEO of Vimeo emphasized the importance of video as a medium for storytelling and expressed pride in the company's recognition for innovation and customer focus [6] - Vimeo is committed to leading the next generation of video technology, aiming to support professional video storytellers [6]

Core Insights - The future of entertainment is expected to be free for consumers, with a focus on diversity in storytelling and audience tastes, moving away from traditional Hollywood norms [2][3] - Competition in the media landscape should not dictate strategy; companies should leverage their strengths and focus on unique value propositions [5][6][9] Company Overview - Anjali Sud became CEO of Vimeo at 33 and took the company public in 2021; she is now leading Fox Corp.'s Tubi, which has seen rapid growth, reaching nearly 100 million monthly active users [3] - Tubi hosted the Super Bowl, marking a significant streaming event, showcasing its growing influence in the streaming market [3] Industry Trends - The need for more tools and space for creators is driving business strategies, with a focus on enabling diverse creators to produce high-quality content [6][7] - Understanding customer needs is fundamental for developing successful business strategies [8] Leadership Philosophy - Companies should prioritize internal debate and encourage dissenting views to foster innovation [12][13] - A balance between urgency in execution and patience in vision is essential for long-term success [15] Personal Insights from Leadership - Imposter syndrome is a common experience for CEOs, and embracing authenticity can enhance leadership effectiveness [16][18] - The importance of sleep as a key factor in maintaining productivity and managing work-life balance is emphasized [20][21] Gender and Leadership - Sud aims to create opportunities for women in leadership roles, reflecting on her own experiences as a young female CEO [22]

Core Insights - Vimeo, Inc. reported revenue of $103.03 million for Q1 2025, a year-over-year decline of 1.8% and an EPS of -$0.02 compared to $0.04 a year ago, with a revenue surprise of +1.66% over the Zacks Consensus Estimate of $101.36 million and an EPS surprise of +33.33% [1] Financial Performance - The company’s revenue metrics show that Vimeo Enterprise generated $24.42 million, exceeding the average estimate of $24.29 million, representing a year-over-year increase of +32.3% [4] - Self-Serve & Add-Ons revenue was reported at $64.69 million, slightly above the average estimate of $63.07 million, but this reflects a year-over-year decline of -7.5% [4] - The Average Revenue Per User (ARPU) for Vimeo Enterprise was $24,624, surpassing the estimated $23,397.16, while the ARPU for Self-Serve & Add-Ons was $189, below the estimated $209.53 [4] Stock Performance - Vimeo shares have returned +7.8% over the past month, outperforming the Zacks S&P 500 composite, which saw a change of +0.4% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market in the near term [3]

Core Viewpoint - Vimeo, Inc. reported a quarterly loss of $0.02 per share, which was better than the Zacks Consensus Estimate of a loss of $0.03, indicating an earnings surprise of 33.33% [1][2] Financial Performance - The company posted revenues of $103.03 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 1.66%, although this represents a decline from year-ago revenues of $104.91 million [2] - Over the last four quarters, Vimeo has surpassed consensus EPS estimates three times and topped consensus revenue estimates four times [2] Stock Performance - Vimeo shares have declined approximately 20% since the beginning of the year, contrasting with the S&P 500's decline of -3.3% [3] Future Outlook - The company's earnings outlook is crucial for investors, with current consensus EPS estimates indicating breakeven on $105.19 million in revenues for the coming quarter and $0.02 on $424.87 million in revenues for the current fiscal year [7] - The estimate revisions trend for Vimeo is currently mixed, resulting in a Zacks Rank 3 (Hold), suggesting shares are expected to perform in line with the market in the near future [6] Industry Context - The Technology Services industry, to which Vimeo belongs, is currently in the top 28% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8]

Financial Data and Key Metrics Changes - Self-service bookings grew by 6%, marking the first growth in three years, a significant improvement from a negative 10% decline in year-over-year bookings in Q2 2023 [3][4] - Vimeo Enterprise revenue increased by 32%, with bookings up 13%, and quarterly revenue in this segment was more than double the level from two years ago [4] Business Line Data and Key Metrics Changes - The self-service segment showed a notable recovery with reduced revenue decline, while the Enterprise segment demonstrated strong growth in both revenue and bookings [4][5] - The company is focusing on adjusting KPIs to better reflect operational performance as the Enterprise business grows more complex [4] Market Data and Key Metrics Changes - The company is experiencing consistent macro conditions in the self-service business, with good retention rates, while some enterprise deals have slowed down due to macroeconomic factors [17][20] - The enterprise business is expected to have solid growth goals despite some deals slipping into Q2 [22] Company Strategy and Development Direction - The company is making calculated investments in critical areas to drive growth, with a commitment to achieving profitable growth in 2025 [5] - There is a strong focus on expanding average revenue per user (ARPU) and average order value (AOV) in the enterprise business, with an emphasis on building larger relationships with customers [22][24] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the unpredictable economy but remains optimistic about the potential for cost savings for customers through their offerings [20] - The introduction of new leadership in the enterprise sales team is expected to enhance customer relationships and drive future growth [18][20] Other Important Information - The company is rolling out new AI features, including translation capabilities, which are generating interest among customers and are expected to contribute to revenue growth [29][31] - The company filed a recent proxy statement and announced new board member nominations, indicating ongoing governance changes [41] Q&A Session Summary Question: Impact of pricing changes on self-service business - Management noted that a price increase of up to 20% has led to lower churn rates and is expected to continue driving growth in self-service bookings [8][10] Question: Investment plans and financial guidance - The company has an appetite for up to $30 million in investments, with a focus on being responsible with spending and evaluating each project carefully [11][12] Question: Customer feedback on macroeconomic conditions - Management reported consistent macro conditions in self-service, while some enterprise deals have slowed down, but they remain optimistic about future growth [16][20] Question: AI features and customer interest - AI features, particularly translation capabilities, have seen significant interest, with plans for further rollout and monetization strategies [29][31] Question: Industry strength and softness - The company is seeing strong interest from marketing, education, and regulated industries, leveraging AI capabilities for compliance and discovery [38][39]

Revenue Performance - Total revenue for the three months ended March 31, 2025, was $103.034 million, a decrease of $1.876 million or 2% compared to $104.910 million in 2024[112] - Self-Serve revenue decreased by $3.0 million or 5%, primarily due to an 11% decline in Average Subscribers, partially offset by an 8% increase in ARPU[113] - Vimeo Enterprise revenue increased by $6.0 million or 32%, driven by a 15% increase in Average Subscribers and a 16% increase in ARPU[113] - Total bookings for the three months ended March 31, 2025, were $103.034 million, a decrease of 2% compared to the previous year[112] Profitability and Loss - Gross profit for the three months ended March 31, 2025, was $78.980 million, a decrease of $2.487 million or 3% compared to $81.467 million in 2024[114] - Operating loss for the three months ended March 31, 2025, was $6.092 million, a decrease of $8.681 million compared to an operating income of $2.589 million in 2024[118] - Adjusted EBITDA for Q1 2025 was $4.8 million, a decrease of $7.4 million (61%) from $12.2 million in Q1 2024, representing 5% of revenue compared to 12% in the prior year[121] - Net loss for Q1 2025 was $3.9 million, compared to net earnings of $6.1 million in Q1 2024[126] Expenses - Operating expenses increased by $6.194 million or 8%, totaling $85.072 million, primarily due to increased investment in products and stock-based compensation[118] - Research and development expenses increased by $3.051 million or 11%, primarily due to increased investment in products[116] Subscriber Metrics - Average Subscribers for Self-Serve decreased to 1,205.4 thousand in 2025 from 1,357.1 thousand in 2024, reflecting an 11% decline[104] Cash Flow and Capital Management - Cash and cash equivalents totaled $289.0 million as of March 31, 2025, down from $325.3 million at the end of 2024[134] - Net cash used in operating activities for Q1 2025 was $2.1 million, compared to net cash provided of $5.6 million in Q1 2024[135] - Net cash used in investing activities included $2.0 million for capitalized internal-use software development costs in Q1 2025[137] - The company expects existing cash and cash equivalents to be sufficient to fund operations and capital expenditures for at least the next twelve months[143] - Changes in working capital for Q1 2025 included a decrease of $14.4 million in accounts payable and other liabilities[136] - The company may need to raise additional capital in the future due to potential decreases in demand or unexpected expenses[144] Share Repurchase - The company repurchased 3.9 million shares at an average cost of $6.10 per share for a total of $23.5 million during Q1 2025[141] - A new stock repurchase program of up to $50 million was authorized on April 29, 2025[141] Taxation - Income tax provision increased by $0.073 million or 22%, primarily due to higher foreign withholding taxes[120]