25 May 2024, 11:22
By Furniture News Nov 03, 2022

Wayfair reports Q3 loss as transformation continues

Wayfair's total net revenue fell by $281m to $2.8b in Q3 (ended 30th September 2022), a decrease of -9% YoY.

US net revenue was down 6% YoY, while international net revenue fell $126m to $0.4b (down -24% YoY).

Gross profit was $824m (29% of total net revenue), yet Wayfair reported a net loss of $283m.

Niraj Shah, CEO, co-founder and co-chairman, says: “We’re continuing the work we set out last quarter to control the controllables and orienting Wayfair in this environment around three key principles – driving cost efficiency, nailing the basics, and earning customer and supplier loyalty every day. We are all focused on taking the steps needed to reach adjusted EBITDA profitability and cash flow neutrality in short order.

“We have direct visibility to over half a billion dollars of savings, with work well under way to deliver this target in 2023. However, we are not stopping there, and have identified meaningful incremental efficiency opportunities, which we are also actioning as we speak. Our execution against these initiatives is thoughtful and deliberate to ensure that we make progress toward our profitability targets without compromising the long-term growth potential in front of us.”

Wayfair's active customer base totalled 22.6 million as of 30th September, a decrease of -22.6% YoY.

AOV in Q3 was $325, compared to $283 in Q3 2021.

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