Wayfair (NYSE:W) shares lost ground Wednesday, on news the company is inching closer to profitability. This, even though its third-quarter results still fell short of revenue expectations as the home market continues to be under pressure.
Here’s how the online furniture retailer did during the period compared with what Wall Street was anticipating, based on a survey of analysts by LSEG, formerly known as Refinitiv: loss per share was 13 cents vs. the expected 48 cents, on revenue was $2.94 billion vs. the expected $2.98 billion.
The company’s reported net loss for the three-month period that ended September 30 was $163 million, or $1.40 per share, compared with a loss of $283 million, or $2.66 per share, a year earlier. Excluding one-time items, Wayfair reported an adjusted loss of 13 cents per share.
Sales rose to $2.94 billion, up about 3.7% from $2.84 billion a year earlier.
Shares of Wayfair were down about 7% in premarket trading following the report.
Wayfair has been focusing on cost discipline to drive profitability and protect its margins as demand remains tepid across the home goods sector and other consumer discretionary categories. That discipline led Wayfair to see adjusted earnings before interest, tax, depreciation and amortization of $100 million, compared to the $55 million analysts had expected.
Over the last 12 months, net revenue per active customer declined 1.6% to $538, and during the quarter, average order value dropped to $297 compared to $325 in the year-ago period.
W shares let go of 70 cents, or 1.6%, to $41.94.
