Trustpilot Group PLC (LSE:TRST) shares jumped over 8% after the company unveiled plans for a new US$23 million (£20 million) share buyback on stronger-than-expected profitability over the first half.
Adjusted pre-tax earnings of US$10.6 million outdid expectations, the review platform group reported on Wednesday, up 86% from a year earlier.
This was on the back of a 20% uptick in bookings to US$117.5 million, driven by growth of 23% in North America, 19% in the UK and 16% elsewhere.
There was a swing to an operating profit of US$1.8 million from a US$2.1 million loss last year.
“When I joined Trustpilot a year ago, I said that I aimed to bring greater strategic clarity, rigorous execution, and increasing profitability,” said chief executive Adrian Blair. “We have made good progress across these areas.”
He added monthly users increased by 28% over the first half, while new products for businesses providing the likes of consumer behaviour and market dynamics insights had been received well.
Trustpilot’s latest buyback mirrors a repurchase completed over the first half, with group cash sitting at US$76 million as of June.
Guidance was laid out for adjusted pre-tax earnings to be at the top end of market expectations of between US$18 million and US$22 million.
Shares jumped 8.3% on Wednesday following the update.