Etsy's Q2 2024 Report – $647.8M Revenue, 96.6M Active Buyers

By Tamara Parker • Thursday, August 01 08:07 • Permanent Link

Etsy, Inc. has recently released its 10-Q report, offering a detailed look into the company's financial performance and operations. Etsy operates online marketplaces connecting buyers and sellers globally, including Etsy.com, Reverb, Depop, and Elo7. The company generates revenue primarily from marketplace activities, including transaction, payments processing, and listing fees, as well as from optional seller services. Etsy's strategy focuses on building a sustainable competitive advantage, growing its marketplace in core geographies, and leveraging its expertise across its "House of Brands."

In the second quarter of 2024, Etsy's marketplaces connected 8.8 million active sellers and 96.6 million active buyers, generating Gross Merchandise Sales (GMS) of $2.9 billion. The company reported total revenue of $647.8 million and net income of $53.0 million for the quarter. Additionally, Etsy had cash and cash equivalents of $1.0 billion as of June 30, 2024, with positive operating cash flows of $220.1 million in the first half of 2024.

Key operating and financial metrics for the second quarter of 2024 include a 3.0% increase in revenue compared to the same period in 2023, with marketplace revenue accounting for 72.6% of total revenue. The company's Gross Profit reached $463.7 million, and it recorded non-GAAP Adjusted EBITDA of $179.4 million. Etsy's active sellers increased by 5.9% year-over-year to 8.8 million, while active buyers grew by 0.4% to 96.6 million. Notably, approximately 45% of Etsy's GMS in the second quarter of 2024 came from transactions outside the United States.

Etsy's financial report also detailed a 2.1% decline in GMS for the second quarter of 2024, primarily driven by a decrease in Etsy marketplace GMS, partially offset by an increase in GMS for the Depop marketplace. Additionally, the company highlighted the impact of macroeconomic factors on its business, including consumer discretionary product spending and global geopolitical uncertainties.

The market has reacted to these announcements by moving the company's shares 1.0% to a price of $65.14. For the full picture, make sure to review Etsy's 10-Q report.

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