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Mar 31, 2024

Coupang Q1 2024 Earnings Report

Coupang's Q1 2024 financial results were announced, demonstrating substantial revenue growth and improved profitability.

Key Takeaways

Coupang reported a strong first quarter in 2024, with net revenues increasing by 23% year-over-year to $7.1 billion. The company's gross profit rose by 36% to $1.9 billion, and it achieved a net income of $5 million. Excluding Farfetch, net income attributable to Coupang stockholders was $98 million.

Net revenues increased by 23% year-over-year to $7.1 billion, or 28% on an FX-neutral basis.

Gross profit grew by 36% year-over-year to $1.9 billion, with a gross profit margin of 27.1%.

Product Commerce Active Customers reached 21.5 million, a 16% increase year-over-year.

Developing Offerings segment net revenues increased by 337% year-over-year to $620 million.

Total Revenue
$7.11B
Previous year: $5.8B
+22.7%
EPS
$0.05
Previous year: $0.05
+0.0%
Active Customers
21.5M
Previous year: 19.01K
+112998.4%
Revenue per Customer
$302
Previous year: $305
-1.0%
Gross Profit
$1.93B
Previous year: $1.42B
+35.9%
Cash and Equivalents
$5.23B
Previous year: $3.79B
+37.8%
Free Cash Flow
$107M
Previous year: $451M
-76.3%
Total Assets
$14.9B
Previous year: $9.71B
+53.9%

Coupang

Coupang

Coupang Revenue by Segment

Forward Guidance

Coupang estimates that its 2024 adjusted EBITDA losses for Developing Offerings will be around $750 million, an increase of just $100 million. The company also anticipates that Farfetch will achieve close to positive adjusted EBITDA on a run-rate basis by the end of 2024.

Positive Outlook

  • Focus on customer experience and operational excellence.
  • Commitment to wowing customers.
  • Single-digit share of a massive and highly fragmented $560 billion commerce opportunity in Korea.
  • Even smaller share in Taiwan.
  • Farfetch will achieve close to positive adjusted EBITDA on a run-rate basis by the end of 2024.

Challenges Ahead

  • 2024 adjusted EBITDA losses for Developing Offerings will be around $750 million, an increase of just $100 million.

Revenue & Expenses

Visualization of income flow from segment revenue to net income