Shares of Etsy jumped more than 8% during extended trading after revealing second-quarter results that came in above analyst expectations for both earnings and revenue, as the company earned $0.51 per share on an adjusted basis, beating estimates of $0.31. As for revenue, it collected 585 million dollars during the quarter, compared to expectations of 556 million dollars.
Despite the challenging economic conditions, Etsy’s revenue grew by 10%, which CFO Rachel Glaser attributed this growth to higher Etsy store transaction fees and the company’s addition of Depop and Elo7 business ventures to its House of Brands portfolio. Glaser also highlights the power of Etsy’s advertising business. Read more [ETSY buys fashion reselling app Depop for $1.62 billion].
Etsy reported that total commercial sales came to $3.01 billion, in line with Wall Street analyst expectations, but was 0.4% lower compared to the same period a year ago. Etsy added about 6 million new customers, which the company described as still a high number compared to pre-pandemic levels. Read more [Etsy’s Fourth-Quarter Results Push its Stock Higher].
Etsy is looking to reach total commercial sales of $2.8-3.0 billion during the current third quarter, while analysts see that sales should be about $3.08 billion, and for revenue, Etsy expects it to range between $540-575 million, compared to analyst expectations that were $568 million. Read more [Etsy Sellers Seek to Form a Union Against the Company].