Ticketing service provider Eventbrite has said that it will lay off around 8% of the company’s workforce to cut costs.
As reported by Reuters, Eventbrite is also planning to relocate about 30% of the remaining roles, including moving development roles to Spain and India from Argentina and the US. The company will also relocate nearly all of the customer support and operations roles to outside of the US.
The announcement followed the release of Eventbrite’s full-year and quarterly financial results, with quarterly net revenue up 20% to reach $71.5m ($59m/€67m) and full year net revenue up 39% year-on-year to total $260.9m.
Paid ticket volume equalled 25.1 million in the fourth quarter of 2022, an increase of 14% based on year-on-year growth. Paid ticket volume declined sequentially month-over-month during the quarter.
Gross profit for the fourth quarter of 2022 amounted to $47.3m compared to $39.3m during the same period in 2021. Operating expenses in the fourth quarter totalled $52.8m compared to $51.7m the year prior. Product development expenses equalled $23m, an increase of 29% on the same period in 2021.
Sales, marketing and support expenses were $7.4m compared to $12.6m in the fourth quarter of 2021. General and administrative expenses totalled $22.4m compared to $21.3m in the same period the year prior.
Net income for the fourth quarter of 2022 totalled $4m compared to a net loos of $16.8m in the same period the year prior.
Adjusted EBITDA for the fourth quarter amounted to $11.1m compared to an adjusted EBITDA of $4m in the fourth quarter of 2021.
Julia Hartz, Eventbrite co-founder and chief executive, said: “Our strong fourth quarter and full year financial results reflect great execution in enabling creator success and growth. We powered the experience economy with $3.3 billion of ticket sales in 2022 as consumers attended 5 million total events offered by our creators. New tools, like Ads, are making an impact for creators who rely on Eventbrite to build their audience using our scale and marketplace.
“As industry leaders, we will continue to innovate on marketing and demand generation capabilities that help creators share their unique content with a bigger audience of consumers. We’ve taken the difficult and important steps to restructure our business to accelerate toward a two-sided marketplace and our long-term financial targets. We are focused on the opportunity to help our customers grow faster while driving improved profitability, sustainable growth and increased shareholder value.”