Wayfair (NYSE:) shares jumped more than 14% on Thursday after the e-commerce company reported earnings per share (EPS) and revenue that beat analysts’ estimates for the first fiscal quarter of 2024.
The company reported a first-quarter loss per share of $0.32, slightly beating analysts’ estimates of a loss per share of $0.33. Revenue was $2.7 billion, beating the consensus estimate of $2.64 billion.
Adjusted EBITDA for the quarter was $75 million, a significant improvement from the $14 million year-over-year loss and slightly above estimates of $73.8 million.
Adjusted EBITDA margin was 2.7%, slightly below expectations of 2.76%.
Gross margin increased to 30% from 29.6% in the same period last year, although it fell short of the 30.6% expected.
The number of orders delivered remained stable year-over-year at 10 million, beating the estimate of 9.64 million.
“The first quarter ended on an upswing,” said Niraj Shah, CEO, co-founder and co-chairman of Wayfair.
“Our first quarter revenue was down just under 2% year-over-year, marking the sixth consecutive quarter of gains for the stock. Shoppers are increasingly choosing Wayfair, with year-over-year active customer growth once again positive and accelerating compared to last year. quarter.”
KeyBanc analysts said after the report that “results were better than expected, primarily driven by higher revenues despite an industry environment that remains challenging.”
“The results are consistent with comments we heard at High Point Market about the industry still being weak but with digital stores outperforming,” KeyBanc added.