In the third quarter, Wayfair posted a profit and noted that the evolving dynamics generated in the COVID-19 pandemic regarding consumer investment in the home will forge a post-crisis environment favorable to the company.
Net income for the quarter was $173.2 million, or $1.67 per diluted share, versus a net loss of $272 million, or $2.94 per diluted share, in the year-previous period.
Net income adjusted for one-time events was $277.7 million, or $2.30 per diluted share, versus adjusted net loss of $206.7 million, or $2.23 per diluted share, in the quarter a year earlier. Wayfair topped a MarketBeat-published third quarter analyst consensus earnings estimate of 80 cents per adjusted diluted share.
Net revenue was $3.84 billion versus $2.31 billion in the year-prior quarter. Income from operations was $221.9 million versus a loss from operations of $259.7 million in the year-earlier period.
“In the midst of continued uncertainty about the economy and the pandemic, Wayfair delivered another quarter of strong operating and financial results in Q3,” said Niraj Shah, CEO, co-founder and co-chairman, Wayfair. “Category momentum is vibrant, demand is moving online at an accelerated pace, and we expect the home to be even more important than usual when it comes to celebrating the holidays this year. Our long-term mindset and strategic investments in merchandising, selection, service and delivery both in North America and in Europe are translating to share gains, sustained profitability, and positive free cash flow generation. While today’s unique environment has accentuated these trends, we are confident that there is a long runway for continued strong profitable growth ahead for Wayfair, well beyond when the current circumstances have passed.”