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Wayfair sales jump 10% as furniture retailer says it’s winning share of sluggish market
Wayfair reported its strongest sales growth since the pandemic, saying it is gaining customers and market share despite a sluggish housing market. The online furniture retailer’s US revenue rose by double digits, while its shares closed about 11% higher after the results.
For the quarter ended 30 September, revenue increased 9.7% year on year to $3.42 billion, and Wayfair reported net income of $62 million, compared with a $99 million loss a year earlier. Active customers grew 4.7% to 22.2 million, and orders delivered rose 12.2% to about 11 million. International revenue fell 2.3% to $380 million; the company said it would keep promotions at a similar level for the holiday season.
In short
- Wayfair revenue rose 9.7% to $3.42 billion.
- The retailer reported $62 million in net income.
- International revenue fell 2.3%.
Explained simply
Wayfair is a US-based online retailer that sells furniture and home goods. It competes with other retailers for customers who are furnishing or decorating their homes.
Demand for furniture can be affected by the housing market: people may buy more when they move house, while high costs or fewer home sales can make shoppers cautious. Wayfair also operates outside the US, where its sales can move differently from its main market.
The company’s performance matters to investors and to other retailers because it offers a picture of how people are spending on their homes. Its results can also show how an online retailer is competing for customers when the wider market is slow.