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Dec 31, 2022

Wayfair Q4 2022 Earnings Report

Wayfair's Q4 2022 earnings were announced, revealing a slight decrease in net revenue but highlighting positive customer response to core improvements.

Key Takeaways

Wayfair reported a decrease in total net revenue to $3.1 billion, a 4.6% decrease year-over-year. The company's active customers totaled 22.1 million, a decrease of 19.0% year-over-year. Despite these declines, Wayfair saw positive customer response to improvements in pricing and delivery times.

Total net revenue decreased by 4.6% year-over-year to $3.1 billion.

U.S. net revenue decreased by 1.8% year-over-year to $2.7 billion.

International net revenue decreased by 19.7% year-over-year to $415 million.

Active customers decreased by 19.0% year-over-year to 22.1 million.

Total Revenue
$3.1B
Previous year: $3.25B
-4.6%
EPS
-$1.71
Previous year: -$0.92
+85.9%
Active Customers
22.1M
Previous year: 27.3M
-19.0%
LTM Net Revenue Per Customer
$553
Previous year: $501
+10.4%
Orders Delivered
11M
Previous year: 12.1M
-9.1%
Gross Profit
$893M
Previous year: $881M
+1.4%
Cash and Equivalents
$1.05B
Previous year: $1.71B
-38.5%
Free Cash Flow
-$19M
Previous year: $15M
-226.7%
Total Assets
$3.58B
Previous year: $4.57B
-21.7%

Wayfair

Wayfair

Wayfair Revenue by Segment

Wayfair Revenue by Geographic Location

Forward Guidance

Wayfair is committed to quickly reaching adjusted EBITDA profitability and then to positive free cash flow, focusing on cost efficiency and customer loyalty.

Positive Outlook

  • Compelling pricing
  • Faster delivery times
  • Increasing availability
  • Market share gains
  • Driving cost efficiency

Challenges Ahead

  • Short-term macroeconomic picture is unpredictable
  • Navigating challenges
  • Achieving adjusted EBITDA profitability
  • Achieving positive free cash flow
  • Macroeconomic factors including inflation and interest rates

Revenue & Expenses

Visualization of income flow from segment revenue to net income