Etsy, the popular online marketplace, released its earnings report, surpassing analysts' expectations. However, in a surprising turn of events, the company's shares declined in late trading on Wednesday.
Impressive Earnings and Sales
Etsy reported adjusted earnings of 45 cents per share, exceeding the predicted 42 cents per share. Additionally, its sales reached $629 million, surpassing the estimated $619 million. Furthermore, Etsy's gross merchandise sales totaled $3.01 billion, exceeding expectations of $2.98 billion.
Promising Forecast for Third Quarter
For the upcoming third quarter, Etsy anticipates gross merchandise sales to range from $2.95 billion to $3.1 billion, with revenue projected between $610 million and $645 million. Although these figures fall slightly below analyst consensus forecasts of $3.08 billion and $632 million, respectively, the company remains optimistic about its growth potential.
CEO's Encouraging Statement
Josh Silverman, CEO of Etsy, expressed his satisfaction with the company's performance. He emphasized that the active buyer count on the Etsy marketplace reached an all-time high in the second quarter. Silverman also highlighted how this tremendous growth has contributed to a resurgence in their core marketplace's year-over-year gross merchandise sales growth.
Market Reaction
Despite the positive results, Etsy's shares experienced a decline of 5.8% during after-hours trading.
Originally published by Connor Smith at s.com/contact
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