Vimeo, Inc. (NASDAQ:VMEO) Q4 2023 Earnings Conference Call February 21, 2024 5:00 PM ET
Company Participants
Adam Gross - Interim CEO
Gillian Munson - CFO
Conference Call Participants
Tom Champion - Piper Sandler
Cory Carpenter - JPMorgan
Brian Fitzgerald - Wells Fargo
William Kerr - TD Cowen
David Lustberg - Jefferies
Operator
Hello, and thank you for joining Vimeo's Q4 and Full Year 2023 Earnings Live Q&A. Before we begin a few comments First, this session will be recorded and available on the Vimeo Investor Relations site later today. Second, we will discuss Vimeo's outlook and future performance. These forward-looking statements typically may be preceded by words such as we expect, we believe, we anticipate or other such statements.
These forward-looking views are subject to risks and uncertainties, and our actual results could differ materially from the views expressed today. We've also provided information regarding certain key metrics and our non-GAAP financial measures including certain forward-looking measures. These should be considered in addition to and not as a substitute for or in isolation from GAAP measures.
Additional information regarding Vimeo's financial performance, including reconciliations with comparable GAAP measures, can be found in our shareholder letter and Vimeo's filings with the SEC as well as in supplemental information posted on the Investor Relations section of our website.
With that, I'll turn it over to our CFO, Gillian.
Gillian Munson
Hello, and thank you for joining Vimeo's Q4 2023 earnings Q&A session. I'm Gillian Munson, CFO, and I'm happy to be joined by Adam Gross, our Interim CEO.
You can find our Q4 '23 shareholder letter and additional financial materials on our Investor Relations website. As a reminder, in this session, we will talk through some non-GAAP terms and you can find the closest GAAP terms and reconciliations in our shareholder letter.
Before we jump into Q&A, a few points on the quarter. In 2023, Vimeo made significant strides in improving profitability while also showing bookings, revenue and some encouraging product metric improvements in the second half of the year. We delivered solid results in Q4 with revenue flat year-over-year, adjusted EBITDA of $13 million and $10 million in free cash flow, ending the year with over $300 million in cash.
As we look at our bookings, a couple of key items stand out. Vimeo Enterprise continued its strong double-digit growth trajectory with net revenue retention of 103% and some impressive customer wins in the quarter. In self-serve and add-ons, we saw some green shoots that our bet on product-led growth is the right one, partial offsetting top of the funnel pressure, conversion and AOV improved. And most exciting for us, the team delivered retention improvements in all cohorts in the self-serve business and in aggregate.