Etsy Reports Q1 2022 Earnings With Quarterly Revenues Up 5.2% Year Over Year
Etsy reported financial results for its first quarter which ended March 31, 2022 with revenues of $579 billion (up 5.2% YoY). Consolidated GMS reached $3.3 billion (up 3.5% YoY) and the adjusted EBITDA margin was ~27%.
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Etsy’s community expanded to 95 million active buyers, shopping from 7.7 million active sellers across the Etsy, Reverb, Depop and Elo7 marketplaces, as of 3/31/2022.
Q1 Etsy Marketplace Highlights
- Acquired 7 million new buyers – on top of the 73 million the company added over the last two years.
- Increasing GMS per active buyer, yet again, to $137 (up 10% y-o-y)
- Continued investment in and support for its community:
- Drove top-of-mind awareness through brand and performance marketing channels to attract and retain buyers and deliver more sales for sellers.
- Optimized the buyer experience by improving Search & Discovery and enhancing app features.
- Supported its Ukrainian community by waiving seller balances ($4.6M in investments) and serving as a destination where shoppers could support Ukraine-based small businesses
Today’s earnings webcast will include pre-recorded remarks by CEO Josh Silverman. Here are some excerpts:
“We’ve got a world-class team with the creativity and conviction to invest with purpose on behalf of our seller community. We truly believe we offer something different – across every brand in our House – and that the size of the prize for Etsy is enormous.”
“In the near term, we’ll have to fight harder, and invest more, to continue to earn and grow Etsy’s share of wallet with consumers — which is the only way that our much larger base of sellers can keep growing their sales. We’re up for it.”
Etsy Guidance for Q2
- Consolidated GMS of $2.9 billion to $3.2 billion
- Consolidated revenue $540 million to $590 million
- Adjusted EBITDA of ~25%
Josh Silverman noted regarding Etsy’s outlook: “We are emerging from an unprecedented time – and within that Etsy had unprecedented growth…Despite the near-term uncertainty, we have ample reason to remain very optimistic for the long-term.”
Etsy’s guidance for Q2 is below Wall Street expectations and the stock is being hammered in extended trading, plunging over 14% after gaining nearly 9% during the day.
For full details on the Etsy first-quarter earnings report, please visit the Etsy investor relations site here.
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Editorial Note: This post is from a Company Press Release and may have been modified for clarity.