Financial Performance - For the three months ended March 31, 2025, net revenue increased by $1 million, or approximately 0.04%, compared to the same period in 2024, driven by higher average order value [100][110]. - U.S. net revenue increased by 1.6% to $2.429 billion, while International net revenue decreased by 10.9% to $301 million, primarily due to the exit from the German market [111][112]. - The average order value for the three months ended March 31, 2025, was $301, up from $285 in the same period in 2024 [108]. - Adjusted EBITDA for the three months ended March 31, 2025, was $106 million, compared to $75 million in the same period in 2024 [108]. - The company reported a net loss of $113 million for the three months ended March 31, 2025, an improvement from a net loss of $248 million in the same period in 2024 [108]. - Free Cash Flow for the three months ended March 31, 2025, was $(139) million, an improvement from $(193) million in the same period in 2024 [108]. - For the three months ended March 31, 2025, total operating expenses decreased to $959 million, a reduction of 9.0% compared to $1,054 million in the same period in 2024 [117]. - Advertising expenses increased by $20 million, or 6.2%, reaching $344 million for the three months ended March 31, 2025, compared to $324 million in 2024 [121]. - Customer service and merchant fees decreased by $7 million, or 6.3%, totaling $107 million for the three months ended March 31, 2025, compared to $117 million in 2024 [119]. - Restructuring charges decreased by $23 million, or 29.1%, totaling $56 million for the three months ended March 31, 2025, compared to $79 million in 2024 [127]. - Interest expense, net increased by $17 million, or 283.3%, reaching $(23) million for the three months ended March 31, 2025, compared to $(6) million in 2024 [129]. - Other income (expense), net increased by $14 million, or 350.0%, totaling $10 million for the three months ended March 31, 2025, compared to $(4) million in 2024 [131]. - Impairment and other related charges increased by $23 million, or 100.0%, totaling $23 million for the three months ended March 31, 2025, compared to no charges in 2024 [125]. - Net cash used in operating activities decreased to $96 million for the three months ended March 31, 2025, compared to $139 million in the same period of 2024, reflecting a $43 million improvement [154]. - Adjusted net income for the same period was $12 million, compared to an adjusted net loss of $39 million in Q1 2024 [177]. - The diluted loss per share improved to $(0.89) from $(2.06) year-over-year [177]. - Adjusted diluted earnings per share were $0.10, compared to $(0.32) in the prior year [177]. - The weighted-average number of shares outstanding increased to 127 million from 120 million year-over-year [177]. Customer Metrics - As of March 31, 2025, the company had 21 million active customers, with 80.2% of orders coming from repeat buyers [100]. Market Strategy - The company aims to capture more market share in the online home goods category, leveraging its e-commerce business model [99]. Liquidity and Debt - As of March 31, 2025, total liquidity was $1.368 billion, consisting of cash and cash equivalents of $1.338 billion and short-term investments of $30 million [139]. - The company had $3.3 billion principal amount of indebtedness outstanding as of March 31, 2025, including various convertible senior notes and secured notes [141]. - The company recorded a gain on debt extinguishment of $25 million for the three months ended March 31, 2025, representing a 100.0% increase compared to no gain in 2024 [136]. - The company issued $700 million aggregate principal amount of the 2030 Secured Notes during the three months ended March 31, 2025 [159]. - The company is required to maintain a Consolidated Senior Secured Debt to Consolidated EBITDA Ratio of 4.0 to 1.0, with a 0.5 step-up following certain permitted acquisitions [148]. - The company does not engage in any off-balance sheet activities and has no off-balance sheet interest in variable interest entities [158]. Economic Conditions - The company continues to monitor macroeconomic conditions, including inflation and consumer spending patterns, which may impact future performance [102][105]. Accounting Policies - There have been no material changes to critical accounting policies since December 31, 2024 [179]. - No significant changes in market risk exposures have occurred since December 31, 2024 [181].

For the quarter ended March 2025, Wayfair (W) reported revenue of $2.73 billion, up 0% over the same period last year. EPS came in at $0.10, compared to -$0.32 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $2.71 billion, representing a surprise of +0.70%. The company delivered an EPS surprise of +155.56%, with the consensus EPS estimate being -$0.18.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectat ...

Wayfair Inc. (NYSE:W) Q1 2025 Earnings Conference Call May 1, 2025 8:00 AM ET Company Participants Ryan Barney - Head of IR Niraj Shah - CEO, Co-Chairman and Co-Founder Kate Gulliver - CFO and Chief Administrative Officer Conference Call Participants Christopher Horvers - JPMorgan Jonathan Matuszewski - Jefferies Brian Nagel - Oppenheimer Ygal Arounian - Citi Michael Lasser - UBS Simeon Gutman - Morgan Stanley Peter Keith - Piper Sandler Operator Thank you for standing by. My name is Kayla and I will be you ...

Wayfair (W) came out with quarterly earnings of $0.10 per share, beating the Zacks Consensus Estimate of a loss of $0.18 per share. This compares to loss of $0.32 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 155.56%. A quarter ago, it was expected that this online home goods retailer would post earnings of $0.02 per share when it actually produced a loss of $0.25, delivering a surprise of -1,350%.Over the last four quarters ...

Financial Data and Key Metrics Changes - The company reported flat net revenue year over year for Q1 2025, impacted by the exit of the German business, which led to a 10.9% decline in the International segment, while the U.S. business grew by 1.6% [28][29] - Gross margin for the quarter was 30.7% of net revenue, influenced by various factors including a refund related to duty calculations and increased costs from suppliers accelerating inventory imports due to tariff considerations [30][32] - Adjusted EBITDA for Q1 was $106 million, representing a 3.9% margin on net revenue, with the U.S. segment also achieving a 3.9% adjusted EBITDA margin [34] Business Line Data and Key Metrics Changes - The U.S. business showed a positive growth of 1.6%, while the International segment experienced a decline due to the exit from Germany [28][29] - Advertising revenue was reported at 12.6%, down from the previous quarter, as the company shifted focus from experimental spending to scaling established channels [33] Market Data and Key Metrics Changes - The company noted a significant divergence between actual demand and consumer sentiment, indicating that demand remained strong despite negative headlines [44] - Suppliers have been cautious about raising prices due to competitive pressures, with many opting to defer price increases to maintain market share [45][46] Company Strategy and Development Direction - The company plans to continue gaining market share through disciplined execution and deepening partnerships with suppliers, while reallocating resources towards higher ROI areas [25][27] - The closure of the German business and a reduction in the technology team were strategic moves to enhance focus on new product development and improve financial returns [22][23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating the current economic environment, emphasizing the resilience and flexibility of the company's platform [27] - The company is focused on controlling costs and optimizing supplier relationships to mitigate the impact of tariffs and other economic pressures [87] Other Important Information - The company has a strong capital structure with $1.4 billion in cash and equivalents, and $1.8 billion in total liquidity, positioning it well for future investments [35][24] - The company is exploring new initiatives in advertising and physical retail, with plans for additional store openings [25][26] Q&A Session Summary Question: Impact of Easter and pricing dynamics - Management acknowledged timing mismatches due to Easter and the leap year, affecting revenue comparisons, but noted strong underlying demand [44] - Suppliers are wary of raising prices, focusing instead on maintaining competitiveness in a challenging market [45][46] Question: Pricing strategies on other platforms - Suppliers are generally cautious about raising prices across platforms, focusing on optimizing their business in a competitive environment [56] Question: CastleGate's impact on gross margin - Management indicated that the rush to utilize CastleGate resulted in a gross margin headwind in Q1, but future benefits are expected from increased CastleGate fees and improved product availability [61][63] Question: Tariff dynamics and supplier burden - The company clarified that the burden of tariffs primarily lies with suppliers, who are encouraged to remain competitive to avoid passing costs onto consumers [68][74] Question: Future tariff impacts and supplier flexibility - Management highlighted the diversification of suppliers across multiple countries, which provides flexibility in response to changing tariff conditions [86][87] Question: Advertising strategy and consumer messaging - The company is focused on optimizing marketing spend for profitable growth, with plans to leverage advertising to enhance consumer value perception [90][92]

Financial Data and Key Metrics Changes - The company reported flat net revenue year over year for the first quarter, impacted by the exit of the German business, which led to a 10.9% decline in the International segment, while the U.S. business posted a positive growth of 1.6% [29][30] - Gross margin for the quarter was 30.7% of net revenue, influenced by various factors including a refund related to duty calculations and increased costs from accelerated inventory imports due to tariff considerations [31][33] - Adjusted EBITDA for the first quarter was $106 million, representing a 3.9% margin on net revenue [35] Business Line Data and Key Metrics Changes - The U.S. business showed a year-over-year growth of 1.6%, while the International segment experienced a decline due to the exit from Germany [29][30] - Advertising revenue was 12.6% of net revenue, down from previous quarters due to a surge in experimental spending [34] Market Data and Key Metrics Changes - The company noted a significant divergence between actual demand and consumer sentiment, indicating that demand remained strong despite broader economic concerns [46] - The company operates a platform with over 20,000 suppliers and 20 million customers, allowing for competitive pricing and a diverse sourcing strategy [9][14] Company Strategy and Development Direction - The company aims to continue gaining market share through disciplined execution and deepening partnerships with suppliers while investing in high ROI growth initiatives [27][40] - The closure of the German business was a strategic decision to reallocate resources towards higher ROI areas [24][25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating the current economic environment, highlighting the resilience and flexibility of their platform [28][40] - The management team emphasized the importance of supporting suppliers with data and logistics solutions to optimize their pricing strategies amid tariff pressures [72][73] Other Important Information - The company has a strong capital structure with $1.4 billion in cash and equivalents, and $1.8 billion in total liquidity, positioning it well for future investments [36][27] - The company is focused on maintaining a healthy balance sheet while pursuing growth opportunities in a challenging market [40] Q&A Session Summary Question: Impact of Easter and pricing dynamics - Management acknowledged timing mismatches due to Easter and the leap year, affecting revenue comparisons, but noted strong underlying demand [45][46] - Suppliers are wary of raising prices due to competitive pressures, with no significant price increases observed on the platform [47][48] Question: Pull forward demand - Management indicated that there has not been significant pull forward demand, except in large appliances, which is a small category for the company [52][54] Question: Pricing strategies on other platforms - Suppliers are generally cautious about raising prices across platforms, focusing instead on optimizing their business in a challenging demand environment [60][62] Question: CastleGate impact on margins - Management explained that the rush to utilize CastleGate resulted in a gross margin headwind in Q1, but future benefits are expected from increased CastleGate fees and improved pricing for customers [64][66] Question: Tariff dynamics and supplier support - The company assists suppliers by sharing data and providing logistics solutions to help them manage costs and maintain competitive pricing [72][73] Question: Range of potential outcomes regarding tariffs - Management highlighted the diversification of suppliers across multiple countries, which positions the company well to adapt to changing tariff dynamics [90][91]

Exhibit 99.1 Wayfair Announces First Quarter 2025 Results, Reports Further Share Capture with Robust Profitability Q1 Net Revenue of $2.7 billion with 21.1 million Active Customers BOSTON, MA — May 1, 2025 — Wayfair Inc. ("Wayfair," "we," or "our") (NYSE: W), the destination for all things home, today reported financial results for its first quarter ended March 31, 2025. First Quarter 2025 Financial Highlights "Despite persistent category volatility which marked a fourth consecutive year beginning with cont ...

Q1 Net Revenue of $2.7 billion with 21.1 million Active CustomersBOSTON, May 1, 2025 /PRNewswire/ -- Wayfair Inc. ("Wayfair," "we," or "our") (NYSE: W), the destination for all things home, today reported financial results for its first quarter ended March 31, 2025.First Quarter 2025 Financial Highlights Total net revenue of $2.7 billion, increased $1 million, or was close to flat, year over year U.S. net revenue of $2.4 billion, increased $38 million, up 1.6% year over year International net revenue of $30 ...

Wayfair (W) is scheduled to report first-quarter 2025 results on May 1.W expects revenues between flat and slightly negative on a year-over-year basis. The Zacks Consensus Estimate for first-quarter 2025 revenues is pegged at $2.71 billion, suggesting a 0.66% year-over-year decline.The consensus mark for the first-quarter 2025 bottom line is pegged at a loss of 18 cents per share, which has narrowed by 1 cent over the past 30 days. This also marks a sharp improvement from the year-ago quarter's loss of 32 c ...

Wall Street expects a year-over-year increase in earnings on lower revenues when Wayfair (W) reports results for the quarter ended March 2025. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on May 1. On the other h ...