by US revenues fall by 2.3% while international revenues remain stable
BOSTON — Online home furnishings retailer Wayfair had a 2% drop in revenues and also cut its net loss by more than half for the third quarter ended Sept. 30.
Its total net revenue was $2.9 billion, down 2% from $2.94 billion the same period last year, a $60 million decrease.
U.S. revenues totaled $2.5 billion, also down by $60 million, or 2.3%, while international net revenues remained stable at $372 million.
Meanwhile, its net loss totaled $74 million, or 60 cents per share, compared with a net loss of $163 million, or $1.40 per share last year. It reported a gross profit of $873 million, or 30.3% of total net revenue, down 4.8% from $917 million last year, or 31.1% of revenue.
“Q3 marked another proofpoint of resilience for Wayfair with further market share capture in the face of sustained challenges in the category,” said Niraj Shah, CEO, co-founder and co-chairman of Wayfair. “Once again, we navigated a dynamic consumer environment while driving further discipline on costs to achieve a mid-single-digit adjusted EBITDA margin for the second quarter in a row. As I’ve mentioned before, our north star is driving adjusted EBITDA dollars in excess of equity-based compensation and capital expenditures, and we’re pleased to be making noteworthy improvements across each of these fronts.”
“We remain laser-focused on delivering healthy profitability while setting ourselves up for success as the category rebounds,” he added. “The core goal across each of our initiatives in 2024 is to foster customer loyalty and spur repeat business while driving economic value. We’re not just aiming for short-term gains, but building long-lasting relationships with our customers that will be accretive on both the top and bottom lines.”
Other highlights of the report were as follows:
+ The company said it had 21.7 million active customers as of Sept. 30, down 2.7% from last year.
+ Last 12 Month (LTM) net revenue per active customer was $545 as of Sept. 30, up 1.3% year over year.
+ Orders per customer, measured as LTM orders divided by active customers, was 1.85 for the third quarter of 2024, up slightly from 1.83 in last year’s third quarter.
+ There were 9.3 million orders delivered in the third quarter of 2024, down 6.1% year over year.
+ Repeat customers placed 79.9% of total orders delivered in the third quarter of 2024, compared to 79.7% in the third quarter of 2023.
+ Repeat customers placed 7.4 million orders in the third quarter of 2024, down 6.3% year over year.
+ The average order value was $310 in the third quarter of 2024, compared to $297 in the third quarter of 2023.
+ 63% of total orders delivered were placed via a mobile device in the third quarter of 2024, compared to 61.7% in the third quarter of 2023.
