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The shares of Fitbit Inc. (FIT) were inflated by investors Thursday, November 1, after the company announced quarterly earnings above expectations, which allowed the fitness electronics manufacturer to achieve profitability for the first time in two years.
Fitbit has announced an adjusted profit of 4 cents per share, against a loss of 1 cent per consensus. Revenues were $ 394 million for the quarter, exceeding expectations of $ 381.2 million, according to data compiled by Bloomberg. The company also announced an annual business turnover of 1.5 billion USD, slightly higher than the analysts' expectations of 1.49 billion USD.
The results represent the first time since the third quarter of 2016 that the San Francisco-based manufacturer of fitness monitoring technologies and related software has posted positive results. The shares of Fitbit rose more than 7% to close the day of Wednesday, October 31 to $ 4.73; the stock continued its climb Thursday, rising 20.5% to $ 5.70.
The actions of Fitbit have been mistreated in the last 12 months, down 23%.
Fitbit sold 3.5 million units in the third quarter, up from 2.7 million in the prior period. Its average selling price rose 3% over the same quarter last year, reaching $ 108 per device, "driven by a growing number of smartwatches," the company said in a statement.
The company also noted the success of its expansion in the medical technology sector in the third quarter. In September, Fitbit launched a new platform called Fitbit Care, which offers support to help users track their fitness and chronic disease programs with their smart devices, as well as a new app that pulls their data. of a Fitbit monitor or a blood pressure monitor.
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