Etsy (ETSY) Tops Q4 EPS by 49c, Revenues Beat; Raises Guidance

February 25, 2021 4:19 PM EST

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Etsy (NASDAQ: ETSY) reported Q4 EPS of $1.08, $0.49 better than the analyst estimate of $0.59. Revenue for the quarter came in at $617.36 million versus the consensus estimate of $515.65 million. GMS excluding mask sales for the Etsy marketplace was $3.3 billion, up 118% year-over-year, and 4% of the Etsy marketplace's overall GMS was from mask sales.

"Exceptional fourth quarter performance, with consolidated GMS and revenue growth of approximately 118% and 129% respectively, capped off a transformative year for Etsy," said Josh Silverman, Etsy, Inc. Chief Executive Officer. "2020 was an inflection point in history for e-commerce and for Etsy, with millions of buyers choosing us for their everyday needs as we lived up to our mission to 'Keep Commerce Human.' We are particularly gratified that circumstance met preparedness, highlighting the agility of our team and the power of our differentiated strategy."

"In conjunction with achieving record 2020 consolidated financial results of approximately $10.3 billion in GMS and $1.7 billion in revenue, we provided economic opportunity for millions of creative entrepreneurs, cared for our team and communities, invested deeply in technology, improved customer experiences, expanded Etsy's global visibility through world-class marketing strategies, and gained meaningful market share. We are just getting started executing on our long-term growth strategy, focused on highly differentiated and defensible competitive advantages within a $1.7 trillion market opportunity."

"Etsy delivered industry-leading GMS and revenue growth together with strong profitability in the fourth quarter," said Rachel Glaser, Etsy's Chief Financial Officer. "Product enhancements and disciplined marketing investments worked together to increase buyer lifetime value, enabling us to increase spend in marketing while maintaining high return on investment. We are making meaningful improvements in buyer engagement, retention, and frequency, all important levers to maximize our growth opportunity. For example, we saw a significant improvement in the value of Etsy buyer cohorts in 2020, as we acquired 61 million new and reactivated buyers, and saw nearly 160% growth in our habitual buyers."

GUIDANCE:

Etsy sees Q1 2021 revenue of $513-536 million, versus the consensus of $380.45 million. Sees GMS of $2.9-$3.1 billion.

For earnings history and earnings-related data on Etsy (ETSY) click here.



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