Revenue growth remains muted at 1.6% in 2025Q2, though the company maintains structural resilience with a 76.7% gross margin.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 |
|---|
| Sales/Revenue | 1.76B | 1.76B | 1.75B | 1.76B | 1.84B | 2.26B | 1.69B | 1.77B | 1.72B | 1.15B | 655.8M | 477.89M | 334.17M | 188.31M | 65.93M |
| Revenue Growth % | 1.37% | 0.41% | -0.29% | -4.17% | -18.64% | 33.56% | -4.36% | 2.82% | 49.43% | 75.37% | 37.23% | 43.01% | 77.46% | 185.63% | - |
| Cost of Goods Sold | 385.16M | 422.95M | 369.52M | 374.28M | 400.58M | 403.84M | 302.18M | 328.83M | 277.65M | 231.25M | 171.23M | 141.96M | 83.6M | 59.89M | 46.43M |
| COGS % of Revenue | - | 24.01% | 21.06% | 21.27% | 21.81% | 17.89% | 17.88% | 18.61% | 16.16% | 20.11% | 26.11% | 29.71% | 25.02% | 31.8% | 70.42% |
| Gross Profit | 1.38B | 1.34B | 1.39B | 1.39B | 1.44B | 1.85B | 1.39B | 1.44B | 1.44B | 918.8M | 484.57M | 335.93M | 250.57M | 128.42M | 19.5M |
| Gross Margin % | 78.15% | 75.99% | 78.94% | 78.73% | 78.19% | 82.11% | 82.12% | 81.39% | 83.84% | 79.89% | 73.89% | 70.29% | 74.98% | 68.2% | 29.58% |
| Gross Profit Growth % | - | -3.34% | -0.03% | -3.5% | -22.53% | 33.54% | -3.5% | -0.19% | 56.82% | 89.61% | 44.25% | 34.07% | 95.12% | 558.57% | - |
| Operating Expenses | 862.72M | 872.86M | 890.83M | 912.62M | 955.28M | 1.16B | 880.95M | 840.5M | 831.61M | 511.25M | 343.59M | 298.43M | 272.68M | 187.03M | 117.34M |
| OpEx % of Revenue | - | 49.54% | 50.77% | 51.86% | 52.02% | 51.21% | 52.13% | 47.57% | 48.39% | 44.45% | 52.39% | 62.45% | 81.6% | 99.32% | 177.99% |
| Selling, General & Admin | 552.29M | 547.78M | 582.09M | 579M | 529.91M | 725.16M | 556.84M | 556.06M | 571.18M | 317.85M | 189.5M | 154.98M | 146.03M | 85.59M | 46.16M |
| SG&A % of Revenue | - | 31.09% | 33.17% | 32.9% | 28.86% | 32.13% | 32.95% | 31.47% | 33.24% | 27.64% | 28.9% | 32.43% | 43.7% | 45.45% | 70.01% |
| Research & Development | 310.42M | 325.08M | 308.75M | 333.63M | 415.19M | 430.67M | 324.11M | 284.44M | 249.87M | 193.39M | 154.09M | 143.44M | 125.83M | 100.74M | 71.19M |
| R&D % of Revenue | - | 18.45% | 17.6% | 18.96% | 22.61% | 19.08% | 19.18% | 16.1% | 14.54% | 16.82% | 23.5% | 30.02% | 37.65% | 53.5% | 107.97% |
| Other Operating Expenses | 0 | 0 | 0 | 0 | 10.18M | 0 | 0 | 0 | 10.55M | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | 515.08M | 466.05M | 494.32M | 472.93M | 480.47M | 697.41M | 506.8M | 597.58M | 609.26M | 407.55M | 140.98M | 37.5M | -22.1M | -58.61M | -97.84M |
| Operating Margin % | 29.22% | 26.45% | 28.17% | 26.87% | 26.16% | 30.9% | 29.99% | 33.82% | 35.45% | 35.44% | 21.5% | 7.85% | -6.61% | -31.12% | -148.41% |
| Operating Income Growth % | - | -5.72% | 4.52% | -1.57% | -31.11% | 37.61% | -15.19% | -1.92% | 49.49% | 189.09% | 275.92% | 269.67% | 62.29% | 40.1% | - |
| EBITDA | 593.17M | 524.19M | 566M | 545.24M | 546.62M | 758.64M | 542.88M | 627.15M | 629.11M | 422.88M | 154.96M | 58.45M | 957K | -37.08M | -81.46M |
| EBITDA Margin % | 33.65% | 29.75% | 32.26% | 30.98% | 29.77% | 33.61% | 32.12% | 35.49% | 36.61% | 36.77% | 23.63% | 12.23% | 0.29% | -19.69% | -123.55% |
| EBITDA Growth % | -9.86% | -7.39% | 3.81% | -0.25% | -27.95% | 39.74% | -13.44% | -0.31% | 48.77% | 172.89% | 165.11% | 6007.94% | 102.58% | 54.48% | - |
| D&A (Non-Cash Add-back) | 0 | 58.13M | 71.68M | 72.3M | 66.16M | 61.23M | 36.08M | 29.57M | 19.85M | 15.33M | 13.98M | 20.95M | 23.06M | 21.53M | 16.39M |
| EBIT | 593.17M | 607.2M | 526.05M | 622.85M | 199.68M | 621.72M | 433.34M | 632.29M | 684.23M | 421.31M | 140.98M | 37.5M | -22.1M | -58.61M | -97.84M |
| Net Interest Income | -68.28M | 125.31M | 17.94M | -1.86M | 33.84M | 6.27M | 28.4M | 55.49M | 42.58M | 15.26M | 8.76M | 6.34M | 6.78M | -2.87M | -4.85M |
| Interest Income | 36.39M | 125.31M | 123.34M | 118.21M | 105.43M | 77.28M | 85.83M | 85.39M | 57.97M | 19.45M | 8.76M | 6.34M | 6.78M | 0 | 0 |
| Interest Expense | 104.67M | 0 | 105.4M | 120.07M | 71.6M | 71.01M | 57.43M | 29.9M | 15.39M | 4.2M | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -26.58M | 141.14M | -73.67M | 29.85M | -352.38M | -146.69M | -130.88M | 4.81M | 59.58M | 9.56M | -31M | -723K | -42.24M | 17.94M | -6.19M |
| Pretax Income | 488.5M | 607.2M | 420.65M | 502.78M | 128.09M | 550.72M | 375.91M | 602.4M | 668.84M | 417.11M | 109.98M | 36.78M | -61.51M | -37.84M | -104.04M |
| Pretax Margin % | 27.71% | 34.46% | 23.97% | 28.57% | 6.98% | 24.4% | 22.24% | 34.09% | 38.92% | 36.27% | 16.77% | 7.7% | -18.41% | -20.1% | -157.8% |
| Income Tax | 108.23M | 144.9M | 110.55M | 145.29M | 30.28M | 138.84M | 61.32M | 109.56M | 96.22M | 66.75M | 4.32M | 2.59M | 1.13M | 271K | -1.55M |
| Effective Tax Rate % | 22.15% | 23.86% | 26.28% | 28.9% | 23.64% | 25.21% | 16.31% | 18.19% | 14.39% | 16% | 3.92% | 7.04% | -1.83% | -0.72% | 1.49% |
| Net Income | 372.08M | 450.21M | 300.8M | 342.6M | 85.56M | 428.32M | 313.36M | 494.68M | 571.82M | 352.59M | 108.03M | 34.74M | -65.33M | -39.79M | -102.49M |
| Net Margin % | 21.11% | 25.55% | 17.14% | 19.47% | 4.66% | 18.98% | 18.54% | 28% | 33.27% | 30.66% | 16.47% | 7.27% | -19.55% | -21.13% | -155.45% |
| Net Income Growth % | 15.52% | 49.67% | -12.2% | 300.44% | -80.03% | 36.68% | -36.65% | -13.49% | 62.18% | 226.39% | 210.91% | 153.19% | -64.17% | 61.18% | - |
| Net Income (Continuing) | 380.28M | 462.29M | 310.11M | 357.5M | 97.81M | 411.88M | 314.6M | 492.83M | 572.56M | 350.37M | 105.79M | 34.2M | -65.47M | -40.94M | -102.49M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 78.59M | 86.83M | 96.11M | 118.88M | 60.29M | 94.2M | 73.91M | -1.45M | 2.68M | 2.21M | 4.13M | 7.36M | 1.05M | 0 | 0 |
| EPS (Diluted) | 1.39 | 1.70 | 1.16 | 1.43 | 0.36 | 1.86 | 1.38 | 2.18 | 2.46 | 1.56 | 0.48 | 0.16 | -0.34 | -0.17 | -0.45 |
| EPS Growth % | 10.02% | 46.55% | -18.88% | 297.22% | -80.65% | 34.78% | -36.7% | -11.38% | 57.69% | 225% | 200% | 147.06% | -100% | 62.22% | - |
| EPS (Basic) | - | 1.89 | 1.27 | 1.45 | 0.36 | 1.87 | 1.38 | 2.19 | 2.56 | 1.60 | 0.50 | 0.17 | -0.34 | -0.17 | -0.45 |
| Diluted Shares Outstanding | 268.35M | 268.56M | 265.24M | 239.97M | 236.41M | 230.21M | 227.64M | 226.41M | 232.68M | 225.36M | 222.86M | 217.92M | 186.88M | 229.76M | 229.76M |
| Basic Shares Outstanding | 238.63M | 238.79M | 237.32M | 235.56M | 235.16M | 228.81M | 226.92M | 225.45M | 223.75M | 220.56M | 214.75M | 208.16M | 186.64M | 228.19M | 228.19M |
| Dividend Payout Ratio | - | 43.46% | 64.63% | 58.42% | - | - | - | - | - | - | - | - | - | - | - |
Stagnant Ad Market Competition
According to recent quarterly financial disclosures, Weibo's top-line performance remains largely stagnant, with the most recent period showing a marginal 1.6% year-over-year revenue increase, highlighting the difficulty of achieving meaningful scale in a saturated Chinese digital advertising market facing intense competition from short-video platforms.
The company's inability to consistently drive positive year-over-year growth suggests that its core advertising model may be reaching a structural ceiling. Investors should monitor whether this lack of momentum reflects a permanent shift in advertiser preference toward video-centric formats or merely a temporary cyclical trough in domestic consumption.
As reported in financial statements, Weibo maintains a robust gross margin profile, consistently hovering around the 76% to 80% range, which underscores the inherent operating leverage of its digital platform despite the ongoing challenges in expanding the overall revenue base during recent fiscal quarters.
This high gross margin indicates that the platform's underlying infrastructure remains efficient, allowing for significant contribution from incremental revenue. However, the stability of these margins warrants further investigation into whether the company can maintain this level of profitability while simultaneously increasing investment in content moderation and regulatory compliance.
Based on the provided income statement data, Weibo's operating income has shown significant volatility, with operating margins fluctuating between 23% and 33% over the last ten quarters, suggesting that the company struggles to consistently scale its operating expenses in lockstep with its gross profit generation.
The periodic spikes in SG&A expenses appear to periodically erode the benefits of the platform's high gross margins, indicating that management may be forced into defensive spending to protect market share. This lack of consistent operating leverage may imply that the business model requires high, non-discretionary overhead to remain relevant in a competitive landscape.
Analysis of the company's net income history reveals substantial quarterly fluctuations, with net margins swinging from as low as 1.9% in 2024Q4 to 28.3% in 2025Q2, largely driven by non-operating items and investment gains that complicate the assessment of core operational profitability.
The significant variance in net income suggests that headline EPS figures may not accurately reflect the company's recurring cash-generating capability. Investors should exercise caution when interpreting these bottom-line results, as they appear heavily influenced by factors outside of the core advertising and value-added services business.
While Weibo retains its status as a public square, the persistent deceleration in revenue growth suggests that short-sellers may be correct in focusing on the platform's declining pricing power as advertisers migrate budgets toward more engaging, algorithmic-driven video platforms that offer superior conversion metrics.
The shift in advertiser preference toward social search and video formats may indicate that Weibo's moat is narrowing, potentially leading to long-term margin compression. If the company cannot successfully pivot its product mix to compete with these newer formats, the current valuation may be vulnerable to further downward revisions.
Quick answers to the most common questions about buying WB stock.
For fiscal year 2025, Weibo Corporation (WB) reported total revenue of $1.76B. This represents a 2572.4% increase compared to $65.9M in 2012.
Weibo Corporation (WB) is profitable, generating $450.2M in net income for the fiscal year ending 2025 with a net profit margin of 25.6%.
Weibo Corporation (WB) reported an operating income of $466.1M, resulting in an operating profit margin of 26.5%. This margin reflects the operational efficiency of the business before interest and taxes.
Weibo Corporation (WB) generated $1.34B in gross profit for the year, representing a gross profit margin of 76.0%. This demonstrates the company's core pricing power and production efficiency.