Q4 Net Revenue of $3.1 billion with 21.4 million Active Customers
BOSTON, Feb. 20, 2025 -- Wayfair Inc. ("Wayfair," "we," or "our") (NYSE: W), the destination for all things home, today reported financial results for its fourth quarter and full year ended December 31, 2024.
Fourth Quarter 2024 Financial Highlights
- Total net revenue of $3.1 billion, increased $7 million, up 0.2% year over year
- U.S. net revenue of $2.7 billion, increased $30 million, up 1.1% year over year
- International net revenue of $381 million decreased 23 million, down 5.7% year over year. International Net Revenue Constant Currency Growth was (5.0)%
- Gross profit was $941 million, or 30.2% of total net revenue
- Net loss was $128 million and Non-GAAP Adjusted EBITDA was $96 million
- Diluted loss per share was $1.02 and Non-GAAP Adjusted Diluted Loss Per Share was $0.25
- Net cash provided by operating activities was $162 million and Non-GAAP Free Cash Flow was $102 million
- Cash, cash equivalents and short-term investments totaled $1.4 billion and total liquidity was $1.9 billion, including availability under our revolving credit facility
Full Year 2024 Financial Highlights
- Total net revenue of $11.9 billion decreased $152 million, down 1.3% year over year
- U.S. net revenue of $10.4 billion decreased $109 million, down 1.0% year over year
- International net revenue of $1.5 billion decreased $43 million, down 2.8% year over year. International Net Revenue Constant Currency Growth was (2.7)%
- Gross profit was $3.6 billion or 30.2% of total net revenue
- Net loss was $492 million and Non-GAAP Adjusted EBITDA was $453 million
- Diluted loss per share was $4.01 and Non-GAAP Adjusted Diluted Earnings Per Share was $0.13
- Net cash provided by operating activities was $317 million and Non-GAAP Free Cash Flow was $83 million
"The fourth quarter was a strong conclusion to the year across multiple fronts. From a topline performance perspective, we ended 2024 on a high note - with net revenue showing positive year-over-year growth. These results enabled us to drive nearly $100 million dollars of adjusted EBITDA in the quarter, and deliver on our goal of approximately 50% year-over-year dollar growth for 2024," said Niraj Shah, CEO, co-founder and co-chairman, Wayfair.
Shah continued, "Our strong financial performance enabled us to tap into the high yield markets for the first time, putting us in the strongest balance sheet position in many years. We're making smart, high return investments across the business, and at the same time remain committed to growing adjusted EBITDA dollars year-over-year. We are confident this approach sets us up well for a compelling payoff over 2025 and are excited to bring all of our stakeholders with us on this next leg of the Wayfair journey."
Other Fourth Quarter Highlights
- Active customers totaled 21.4 million as of December 31, 2024, a decrease of 4.5% year over year
- LTM net revenue per active customer was $555 as of December 31, 2024, an increase of 3.4% year over year
- Orders per customer, measured as LTM orders divided by active customers, was 1.85 for the fourth quarter of 2024, compared to 1.84 for the fourth quarter of 2023
- Orders delivered in the fourth quarter of 2024 were 10.7 million, a decrease of 5.3% year over year
- Repeat customers placed 79.4% of total orders delivered in both of the fourth quarters of 2024 and 2023
- Repeat customers placed 8.5 million orders in the fourth quarter of 2024, a decrease of 5.6% year over year
- Average order value was $290 in the fourth quarter of 2024, compared to $276 in the fourth quarter of 2023
- 64.5% of total orders delivered were placed via a mobile device in the fourth quarter of 2024, compared to 62.8% in the fourth quarter of 2023
Key Financial Statement and Operating Metrics
Three Months Ended December 31, | Year Ended December 31, | |||||||
2024 | 2023 | 2024 | 2023 | |||||
(in millions, except LTM net revenue per active customer, average order value and per share data) | ||||||||
Key Financial Statement Metrics: | ||||||||
Net revenue | $ 3,121 | $ 3,114 | $ 11,851 | $ 12,003 | ||||
Gross profit | $ 941 | $ 944 | $ 3,574 | $ 3,667 | ||||
Loss from operations | $ (117) | $ (172) | $ (461) | $ (813) | ||||
Net loss | $ (128) | $ (174) | $ (492) | $ (738) | ||||
Loss per share: | ||||||||
Basic | $ (1.02) | $ (1.49) | $ (4.01) | $ (6.47) | ||||
Diluted | $ (1.02) | $ (1.49) | $ (4.01) | $ (6.47) | ||||
Net cash provided by operating activities | $ 162 | $ 158 | $ 317 | $ 349 | ||||
Key Operating Metrics: | ||||||||
Active customers (1) | 21 | 22 | 21 | 22 | ||||
LTM net revenue per active customer (2) | $ 555 | $ 537 | $ 555 | $ 537 | ||||
Orders delivered (3) | 11 | 11 | 40 | 41 | ||||
Average order value (4) | $ 290 | $ 276 | $ 300 | $ 292 | ||||
Non-GAAP Financial Measures: | ||||||||
Adjusted EBITDA | $ 96 | $ 92 | $ 453 | $ 306 | ||||
Free Cash Flow | $ 102 | $ 62 | $ 83 | $ (2) | ||||
Adjusted Diluted (Loss) Earnings per Share | $ (0.25) | $ (0.11) | $ 0.13 | $ (1.13) | ||||
(1) | The number of active customers represents the total number of individual customers who have purchased at least once directly from our sites during the preceding twelve-month period. The change in active customers in a reported period captures both the inflow of new customers as well as the outflow of existing customers who have not made a purchase in the last twelve months. We view the number of active customers as a key indicator of our growth. |
(2) | LTM net revenue per active customer represents our total net revenue in the last twelve months divided by our total number of active customers for the same preceding twelve-month period. We view LTM net revenue per active customer as a key indicator of our customers' purchasing patterns, including their initial and repeat purchase behavior. |
(3) | Orders delivered represent the total orders delivered in any period, inclusive of orders that may eventually be returned. As we ship a large volume of packages through multiple carriers, actual delivery dates may not always be available, and as such we estimate delivery dates based on historical data. We recognize net revenue when an order is delivered, and therefore orders delivered, together with average order value, is an indicator of the net revenue we expect to recognize in a given period. We view orders delivered as a key indicator of our growth. |
(4) | We define average order value as total net revenue in a given period divided by the orders delivered in that period. We view average order value as a key indicator of the mix of products on our sites, the mix of offers and promotions and the purchasing behavior of our customers. |
Webcast and Conference Call
Wayfair will host a conference call and webcast to discuss its fourth quarter and full year 2024 financial results today at 8 a.m. (ET). Investors and participants should register for the call in advance by visiting https://events.q4inc.com/attendee/117874179. After registering, instructions will be shared on how to join the call. The call will also be available via live webcast at https://registrations.events/direct/Q4I5693292. An archive of the webcast conference call will be available shortly after the call ends on Wayfair's Investor website at investor.wayfair.com. Important information may be disseminated initially or exclusively via the Investor website; investors should consult the site to access this information.
About Wayfair
Wayfair is the destination for all things home, and we make it easy to create a home that is just right for you. Whether you're looking for that perfect piece or redesigning your entire space, Wayfair offers quality finds for every style and budget, and a seamless experience from inspiration to installation.
The Wayfair family of brands includes:
- Wayfair: Every style. Every home.
- AllModern: Modern made simple.
- Birch Lane: Classic style for joyful living.
- Joss & Main: The ultimate style edit for home.
- Perigold: The destination for luxury home.
- Wayfair Professional: A one-stop Pro shop.
Wayfair generated $11.9 billion in net revenue for the year ended December 31, 2024 and is headquartered in Boston, Massachusetts with global operations.
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