World

Etsy earnings Q221, stocks plummet with weak guidance

Employees are Etsy Inc at the company’s headquarters in Brooklyn. You will pass the quilt displaying the sign.

Victor J. Blue / Bloomberg via Getty Images

Etsy report After Wednesday’s bell, second-quarter results were better than expected, but provided guidance this quarter to suggest that the pandemic-fueled commerce boom may be stagnant.

Stocks fell 14% in overtime trading.

Here’s how the company works.

  • Revenue: 68 cents per share vs. expected 63 cents per share, according to analysts surveyed by Refinitiv
  • Revenue: Expected $ 528.9 million vs. $ 524.7 million, according to analysts surveyed by Refinitiv

Revenue growth slowed to 23.4% year-on-year during the quarter. This is a significant slowdown from the last quarter, with sales growth exceeding 100% in each of the last four quarters.

The results underscore concerns that the pandemic surge in e-commerce activity is diminishing as vaccinated consumers spend less online and more on travel and other services. I am. Last week, Etsy shares, eBay When Wayfair All dragged down rear Amazon Report sales, Below expectations..

Known for its handmade and personalized products, Etsy operates an online marketplace and is one of the biggest beneficiaries of the pandemic, with shoppers visiting the site for face masks, household items and more.

“Etsy’s second-quarter 2021 performance is very noteworthy in terms of how dramatically the world has changed over the last year,” said Etsy CEO Josh Silverman. Stated in a statement. “We are deeply grateful to me and our entire team for reporting strong year-over-year growth, with GMS and revenue increasing by about 13% and 23%, respectively. In fact, in the same period last year, the Etsy market Place’s second quarter GMS increased 31%. “

This quarter, Etsy expects revenue to be between $ 500 million and $ 525 million, showing a year-on-year growth rate of 13.5% at the midpoint. Analysts surveyed by StreetAccount expected third-quarter sales to reach $ 527.5 million.

Etsy earnings Q221, stocks plummet with weak guidance

Source link Etsy earnings Q221, stocks plummet with weak guidance

Back to top button