Weibo Shares Drop 8% as Earnings Miss Despite Revenue Beat

Core Viewpoint - Weibo Corporation reported fourth-quarter results that missed earnings expectations despite exceeding revenue forecasts, leading to a significant drop in share price [1] Financial Performance - Adjusted earnings per share for the fourth quarter were $0.25, below the analyst consensus estimate of $0.33 [1] - Revenue for the fourth quarter was $473.3 million, surpassing the estimate of $444.84 million and reflecting a 4% year-over-year increase [1] - Advertising and marketing revenue increased by 5% to $403.8 million, driven by strong demand from e-commerce and local services sectors [2] - Value-added services revenue declined by 2% to $69.5 million [2] - Total costs and expenses rose by 13% year over year to $381.7 million, primarily due to higher advertising production and marketing costs [2] - Adjusted operating income decreased to $100.4 million from $136.2 million in the prior year, with adjusted operating margin contracting to 21% from 30% [2] Annual Performance - For the full fiscal year 2025, Weibo reported revenue of $1.76 billion, flat compared to the prior year [3] - Adjusted earnings per share for the full year declined to $1.65 from $1.82 in 2024 [3] - The company's board approved an annual dividend of $0.61 per American Depositary Share, totaling approximately $150 million, payable around May 22, 2026 [3] - Weibo reported 567 million monthly active users in December 2025, with average daily active users reaching 252 million [3]