Wayfair Inc. W shares are trading higher on Thursday after reporting first-quarter results.
The company reported adjusted earnings per share of 10 cents, beating the street view of 20 cents loss. Quarterly sales of $2.73 billion (almost flat year over year) outpaced the analyst consensus estimate of $2.71 billion.
U.S. net revenue rose 1.6% year over year to $2.4 billion.
International net revenue fell 10.9% to $301 million. On a constant currency basis, international revenue declined 7.1%.
The company said it recorded net charges of $23 million for the quarter that ended March 31, primarily due to $20 million tied to restructuring efforts and macroeconomic challenges in Germany and $3 million related to changes in sublease market conditions for a U.S. technology center.
Gross profit in the quarter under review increased to $837 million, higher than $819 million in the year-ago period.
As of March 31, active customers totaled 21.1 million, a decrease of 5.4% year over year. Orders delivered in the quarter were 9.1 million, a decrease of 5.2% year over year.
Average order value was $301 in the first quarter, compared to $285 in the first quarter of 2024.
Adjusted EBITDA in the quarter under review increased to $106 million, higher than $75 million a year ago.
Adjusted EBITDA Margin expanded to 3.9% from 2.7% a year ago.
Cash, cash equivalents and short-term investments totaled $1.4 billion and total liquidity was $1.8 billion, including availability under the company’s revolving credit facility.
“Tariffs are clearly top of mind for everyone — while there’s a lot of uncertainty in the broader economy, we have direct line of sight and strong conviction on what we need to do for both our customers and our suppliers,” said Niraj Shah, CEO, co-founder and co-chairman, Wayfair.
Price Action: Wayfair shares are trading higher by 2.65% to $31.10 at last check Thursday.
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