Wayfair announced results for its third quarter ended September 30, posting what it characterized as its strongest sales expansion since the pandemic period. The home furnishings retailer demonstrated resilience in a soft housing market by capturing additional market share from competitors.
Domestic revenue climbed to approximately $3 billion, representing an 11.4% year-over-year increase. However, international operations faced headwinds, with net revenue declining 2.3% compared to the prior year to $380 million. On an overall basis, total revenue grew 9.7% year over year to $3.42 billion. The company’s stock gained approximately 11% on the day of the announcement.
Wayfair returned to profitability during the quarter, reporting net income of $62 million, or 45 cents per share, compared with a net loss of $99 million, or 76 cents per share, in the year-ago period. The company expanded its active customer base by 4.7% year over year to 22.2 million customers, while orders delivered increased 12.2% to roughly 11 million.
Chief Financial Officer Kate Gulliver attributed the company’s gains to multiple factors, including a loyalty program, new store openings, expansion of its luxury furniture offerings, and a value-oriented pricing strategy. She noted that the overall U.S. consumer market in the category remained relatively flat, making Wayfair’s growth particularly notable. The company maintained promotional activity levels consistent with the prior year and expressed confidence heading into the fourth quarter and holiday season, citing its diverse product range and pricing options.
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