Keep pulling the thread on Daniel Mahncke.
Wix's stock price decreased by 30% in the week prior to this recording following its earnings report.
Wix has a net retention rate of approximately 105%.
Wix's stock has declined by 70% over the past year.
Wix is currently trading at a valuation of approximately 4 to 5 times its free cash flow.
Wix CEO Avishai Abrahami stated that the company's proprietary LLM for Wix Harmony will give it more control over AI inference costs and reduce reliance on third-party models.
In the most recent quarter, Wix's partner revenue was nearly flat on a quarter-over-quarter basis for the first time.
Wix's premium subscriber count peaked at approximately 6.3 million in 2023 and has since declined by 200,000.
Wix's free cash flow margins have significantly increased, moving from 2% in 2022 to 30% at the time of the podcast.
Wix's free cash flow has increased 19-fold over the last three years.
Wix acquired AI tool builder Base44 in mid-2023 for approximately $80 million upfront in cash, plus performance-based earnouts running through 2029.
Within 12 weeks of its launch, Base44 reached 150,000 subscribers and approximately $1 million in Annual Recurring Revenue (ARR).
One year after its acquisition by Wix, Base44 is reportedly generating $150 million in Annual Recurring Revenue (ARR).