Wix.com Ltd. (NASDAQ: WIX) has begun a modified Dutch auction tender offer to buy back up to $1.75 billion of its ordinary shares. Shareholders may tender shares at any price between $80.00 and $92.00, with no minimum tender requirement or financing contingency. The offer will close at 11:59 p.m. New York City time on April 1 2026 unless extended or terminated.
Wix’s Q4 2025 earnings report showed a non‑GAAP EPS of $1.81, beating the consensus estimate of $1.36 by $0.45 or 33%. Revenue of $524.3 million fell 0.7% to $528.03 million, missing the consensus estimate by roughly $4 million. Management guided for healthy mid‑teens top‑line growth in 2026 and projected a free‑cash‑flow margin in the low‑to‑mid‑20% range, signaling confidence in continued expansion.
The earnings beat was driven largely by strong performance of Wix Harmony and Base44, which together added $100 million in ARR and generated higher conversion and monetization rates. Core Creative Subscriptions and Business Solutions segments also contributed to revenue growth, while the legacy Wix platform experienced modest headwinds from a shift toward longer‑term subscription packages. The company’s non‑GAAP gross margin of 68% in Q4 2025 was slightly lower than the prior year, reflecting investment costs in Base44 but offset by higher margin mix in the AI‑enabled products.
Management highlighted the strategic importance of the share repurchase. CEO Avishai Abrahami said, “2026 marks a defining new chapter for Wix as we enter an era of the internet that is evolving exponentially faster through AI advancements, with Wix Harmony and Base44 leading our roadmap.” CFO Lior Shemesh added, “We exited 2025 with healthy momentum, setting us up for continued growth in 2026.” The company also noted that the tender offer accelerates the completion of its existing buyback program and reflects confidence in long‑term growth prospects.
Investors responded positively to the earnings beat and the capital‑return initiative. Analysts emphasized the EPS beat and the company’s commitment to shareholder value through the share repurchase, while also noting the modest revenue miss and the continued investment in AI products as key factors shaping the market’s reaction.
The tender offer, combined with the strong earnings performance and forward guidance, underscores Wix’s strategy to leverage AI‑driven products to expand its total addressable market. The $250 million equity investment led by Durable Capital Partners further strengthens the company’s balance sheet, positioning Wix to sustain growth, invest in new capabilities, and deliver shareholder value through disciplined capital allocation.
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