From NASDAQ.: 2025-05-02 11:17:00

Wayfair reported first-quarter 2025 non-GAAP earnings of 10 cents per share, beating estimates of a loss of 18 cents. Net revenues of $2.7 billion exceeded expectations, driven by a strong U.S. segment. However, the active customer base declined by 5.4% year over year to 21.1 million.

In the United States, net revenues increased 1.6% to $2.4 billion, while international net revenues dropped 10.9% to $301 million. Wayfair’s first-quarter gross margin improved to 30.7%, and adjusted EBITDA rose to $106 million. The company incurred a GAAP operating loss of $122 million.

As of March 31, 2025, Wayfair had cash, cash equivalents, and short-term investments totaling $1.4 billion. The company reported a free cash flow of negative $138 million in the first quarter. For Q2 2025, Wayfair expects revenues to remain flat year-over-year with a gross margin of 30-31%.

Wayfair currently holds a Zacks Rank #3 (Hold). Investors interested in the sector may consider better-ranked stocks like Carvana, Alibaba, and On Holding, each with a Zacks Rank #2 (Buy). Carvana, Alibaba, and On Holding are set to report their first-quarter results in May.



Read more at NASDAQ.: Wayfair’s Q1 Earnings Beat Estimates, Revenues Barely Increase Y/Y