Global furniture retailer Wayfair has reported a decline in third quarter sales while overseas remained consistent.
According to its latest trading update for the third quarter ended 30 September 2024, total sales fell 2% to $2.9bn, a decline of $60m against the same period last year.
US sales fell 2.3% to $2.5bn, while International sales remained constant at $372m. Gross profit was $873m, or 30.3% of total net revenue, while net losses stood at $74m, narrowing from a loss of $163m.
Wayfair said that active customers during Q3 totalled 21.7 million, a decrease of 2.7% year-on-year, while orders delivered were 9.3 million, a decrease of 6.1%.
Repeat customers placed 79.9% of total orders delivered in the third quarter of 2024, compared to 79.7% in the third quarter of 2023.
Niraj Shah, CEO, co-founder and co-chairman, Wayfair, said: “Q3 marked another proofpoint of resilience for Wayfair with further market share capture in the face of sustained challenges in the category. Once again, we navigated a dynamic consumer environment while driving further discipline on costs to achieve a mid-single-digit Adjusted EBITDA margin for the second quarter in a row. As I’ve mentioned before, our north star is driving Adjusted EBITDA dollars in excess of equity-based compensation and capital expenditures, and we’re pleased to be making noteworthy improvements across each of these fronts.
“We remain laser-focused on delivering healthy profitability while setting ourselves up for success as the category rebounds. The core goal across each of our initiatives in 2024 is to foster customer loyalty and spur repeat business while driving economic value. We’re not just aiming for short-term gains, but building long-lasting relationships with our customers that will be accretive on both the top and bottom lines.”
