Wayfair keeps hot streak alive in Q3

Home furnishings retailer Wayfair increased revenue and narrowed its loss in the third quarter thanks to what the company's CEO called "customer growth accelerating at a phenomenal pace."



For the third quarter ended Sept. 30, the company reported total net revenue increased to $594 million, up 76.7% year over year. Direct Retail revenue, consisting of sales generated primarily through the sites of Wayfair’s five brands, increased to $545 million, up 90.9% year over year. Gross profit was $141.4 million or 23.8% of total net revenue, compared to 23.5% of total net revenue in the same quarter last year.



“We are very pleased to report the third quarter in a row of tremendous growth across the business,” said Niraj Shah, CEO, co-founder and co-chairman, Wayfair. “New customer growth and repeat customer growth continue to accelerate at a phenomenal pace as we enhance our offering and build greater brand awareness with consumers. We are well positioned to enter the holiday season with key improvements across assortment, merchandising and marketing - and look forward to further building our leadership position as the number one destination for home furnishings and décor.”



Wayfair reported that the number of active customers in its Direct Retail business reached 4.6 million as of Sept. 30, up 60.6% year over year. Repeat customers placed 55.2% of total orders in the third quarter, compared to 49.8% in the prior year quarter.