Squarespace Reports Higher Sales in Q3 Amid Strong Demand for Online-Creator Tools

Squarespace, the leading provider of website-building and online-commerce tools, announced robust sales growth in the third quarter driven by strong demand for its innovative online-creator tools. Despite reporting a loss of $16.5 million, or 12 cents a share, compared to a profit of $10.1 million, or 7 cents a share, during the same period last year, the company posted impressive revenue of $257.1 million, surpassing analysts' expectations of $251.9 million. Additionally, bookings increased by 18% to $267.0 million.

The company's quarterly loss can be attributed to a provision of $41.2 million for income taxes. However, Squarespace remains optimistic about its performance and is on track to exceed $1 billion in annual revenue for this year, according to Chief Executive Anthony Casalena. Chief Financial Officer Nathan Gooden attributes the continued growth to strong demand and high customer retention rates.

Squarespace's commerce business witnessed a revenue growth of 15% from the previous year, generating $77.6 million. On the other hand, the digital-presence business reported revenues of $179.5 million, reflecting an impressive growth rate of 20%.

With its consistent innovation and commitment to customer satisfaction, Squarespace continues to solidify its position as a leader in the industry.