Etsy Shares Climb After Mixed Q3 Results: EPS Miss, Revenues Beat

by Erica Kollmann Benzinga Staff Writer

Zinger Key Points

Etsy reports quarterly earnings of 45 cents per share which missed the analyst consensus estimate of 55 cents.
Quarterly revenue comes in at $662.4 million which beat the analyst consensus estimate of $652.81 million.
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Etsy, Inc. ETSY reported its third-quarter results after Wednesday's closing bell. Here's a look at the details from the report.

The Details: Etsy reported quarterly earnings of 45 cents per share, which missed the analyst consensus estimate of 55 cents. Quarterly revenue came in at $662.4 million, which beat the analyst consensus estimate of $652.81 million and is an increase over sales of $636.3 million from the same period last year.

Consolidated GMS was $2.9 billion, down 4.1% year-over-year and down 4.4% on a currency-neutral basis.
Consolidated GMS performance includes a small headwind from the divestiture of Elo7.
Etsy marketplace GMS was $2.5 billion, down 6.0% year-over-year and down 6.3% on a currency-neutral basis.
Active buyers decreased 0.4% year-over-year to 91.2 million.
6.4 million buyers were reactivated, up 5.6% from the prior year period, and acquired 5.3 million new buyers.
GMS per active buyer on a trailing 12-month basis for the Etsy marketplace declined 3.4% year-over-year to $123 in the third quarter.
The number of habitual buyers was 6.8 million, down 4.8% year-over-year.
U.S. domestic GMS represented 51% of overall GMS and GMS ex-U.S. domestic was 49% of overall GMS.

“Our third quarter consolidated results came in roughly as anticipated, with some incremental pressure on Etsy marketplace year-over-year GMS, healthy growth in revenue and continued strength in our adjusted EBITDA profitability,” said Josh Silverman, Etsy CEO.

“We made excellent progress improving Etsy marketplace customer experiences — from Gifting, to Quality, a new loyalty program, investing in our app, and more — all of which we believe will drive engagement and frequency over time. While 2024 has been a challenging period for discretionary goods, we are investing with discipline and focus to make Etsy even more Etsy — which we believe will lift our boat when the tide comes back in again,” Silverman added.

ETSY Price Action: According to Benzinga Pro, Etsy shares are up 11.79% after-hours at $53.65 at the time of publication Wednesday.

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