Key Takeaways
- Wayfair shares fell after the company’s fourth-quarter adjusted loss was wider than analysts’ expected.
- The company beat revenue expectations in the quarter, but said it expects revenue to be flat or decline year-over-year in the first quarter.
- CEO Niraj Shah said the company expects to continue to “still nicely take market share.”
Wayfair (W) shares dropped Thursday after the company reported a bigger adjusted loss in the fourth quarter than analysts expected.
The home furnishings retailer reported revenue of $3.1 billion, up less than 1% year-over-year and beating the analyst consensus tracked by Visible Alpha. U.S. revenue was $2.74 billion, also topping expectations. However, the company posted a wider-than-expected adjusted loss per share of 25 cents, and active customers fell around 5% to 21.4 million, also short of estimates.
On the company’s earnings call, Wayfair projected first quarter revenue to remain flat or fall from $2.7 billion a year earlier. But CEO Niraj Shah said the company expects to continue to “still nicely take market share.”
Shares of Wayfair fell around 3% intraday Thursday and is down more than 13% over the past 12 months.
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