Coupang Announces Results for Third Quarter 2024
Coupang reported strong Q3 2024 results with net revenues of $7.9 billion, up 27% YoY and 32% on an FX-neutral basis. Gross profit increased 45% YoY to $2.3 billion, with margin improving 350 bps to 28.8%. Net income was $64 million, with diluted EPS at 4 cents. Excluding Farfetch, net income was $108 million with 6 cents EPS. Product Commerce segment saw 16% YoY growth with 22.5 million active customers, while Developing Offerings segment grew 347% YoY. Operating cash flow was $1.8 billion for trailing twelve months.
Coupang ha riportato risultati solidi per il terzo trimestre del 2024, con ricavi netti di 7,9 miliardi di dollari, in crescita del 27% rispetto all'anno precedente e del 32% su base FX-neutral. Il profitto lordo è aumentato del 45% anno su anno, raggiungendo i 2,3 miliardi di dollari, con un margine migliorato di 350 punti base, portandolo al 28,8%. L'utile netto è stato di 64 milioni di dollari, con un utile per azione diluito di 4 centesimi. Escludendo Farfetch, l'utile netto è stato di 108 milioni di dollari con un utile per azione di 6 centesimi. Il segmento del commercio prodotti ha registrato una crescita del 16% anno su anno, con 22,5 milioni di clienti attivi, mentre il segmento delle offerte in sviluppo è cresciuto del 347% rispetto all'anno precedente. Il flusso di cassa operativo per gli ultimi dodici mesi è stato di 1,8 miliardi di dollari.
Coupang reportó resultados sólidos en el tercer trimestre de 2024, con ingresos netos de 7,9 mil millones de dólares, un aumento del 27% interanual y del 32% en una base neutral de divisas. El beneficio bruto creció un 45% interanual hasta alcanzar los 2,3 mil millones de dólares, con un margen mejorado de 350 puntos básicos, elevándolo al 28,8%. El ingreso neto fue de 64 millones de dólares, con un EPS diluido de 4 centavos. Excluyendo a Farfetch, el ingreso neto fue de 108 millones de dólares, con un EPS de 6 centavos. El segmento de comercio de productos vio un crecimiento del 16% interanual, con 22,5 millones de clientes activos, mientras que el segmento de ofertas en desarrollo creció un 347% interanual. El flujo de caja operativo fue de 1,8 mil millones de dólares en los últimos doce meses.
쿠팡은 2024년 3분기 강력한 실적을 발표했습니다. 순수익은 79억 달러로, 전년 대비 27% 증가하였으며 환율 중립 기준으로는 32% 증가했습니다. 총 이익은 전년 대비 45% 증가하여 23억 달러에 달했으며, 마진은 350bp 개선되어 28.8%에 이릅니다. 순이익은 6400만 달러였으며 희석 기준 주당 순이익은 4센트입니다. Farfetch를 제외하면 순이익은 1억 800만 달러로, 주당 순이익은 6센트입니다. 제품 상거래 부문은 16%의 전년 대비 성장을 기록했으며, 2250만 명의 활성 고객이 있었습니다. 반면, 개발 중인 오퍼링 부문은 전년 대비 347% 성장했습니다. 운영 현금 흐름은 최근 12개월 동안 18억 달러였습니다.
Coupang a annoncé des résultats solides pour le troisième trimestre 2024, avec des revenus nets de 7,9 milliards de dollars, en hausse de 27 % par rapport à l'année précédente et de 32 % sur une base neutre en devises. Le bénéfice brut a augmenté de 45 % par rapport à l'année précédente pour atteindre 2,3 milliards de dollars, avec une marge améliorée de 350 points de base, atteignant 28,8 %. Le bénéfice net s'élevait à 64 millions de dollars, avec un BPA dilué de 4 cents. Sans inclure Farfetch, le bénéfice net était de 108 millions de dollars avec un BPA de 6 cents. Le segment du commerce de produits a connu une croissance de 16 % en glissement annuel, avec 22,5 millions de clients actifs, tandis que le segment des offres en développement a progressé de 347 % en glissement annuel. Le flux de trésorerie opérationnel était de 1,8 milliard de dollars pour les douze derniers mois.
Coupang berichtete über starke Ergebnisse im 3. Quartal 2024 mit Nettoeinnahmen von 7,9 Milliarden Dollar, was einem Anstieg von 27% im Jahresvergleich und 32% auf einer FX-neutralen Basis entspricht. Der Bruttogewinn erhöhte sich um 45% im Jahresvergleich auf 2,3 Milliarden Dollar, während die Marge um 350 Basispunkte auf 28,8% verbessert wurde. Der Nettoertrag betrug 64 Millionen Dollar, mit einem verwässerten EPS von 4 Cent. Ohne Farfetch betrug der Nettoertrag 108 Millionen Dollar bei 6 Cent EPS. Der Produkthandel-Segment verzeichnete ein Wachstum von 16% im Jahresvergleich mit 22,5 Millionen aktiven Kunden, während das Segment der Entwicklungsangebote um 347% im Jahresvergleich wuchs. Der operative Cashflow betrug in den letzten zwölf Monaten 1,8 Milliarden Dollar.
- Net revenues increased 27% YoY to $7.9 billion
- Gross profit grew 45% YoY to $2.3 billion
- Gross profit margin improved 350 bps YoY to 28.8%
- Product Commerce Active Customers grew 11% YoY to 22.5 million
- Product Commerce segment adjusted EBITDA increased $71 million YoY
- Net income decreased by $21 million from last year
- Operating cash flow decreased by $805 million YoY
- Free cash flow declined by $920 million YoY
- Developing Offerings segment reported adjusted EBITDA loss of $127 million
- Diluted EPS decreased by 1 cent compared to last year
Insights
Coupang delivered a strong Q3 2024 with significant growth metrics and improved profitability. Net revenues reached
The Developing Offerings segment, including the newly acquired Farfetch, demonstrates explosive growth but remains a drag on overall profitability. Excluding Farfetch, net income would have been
The decline in operating cash flow and free cash flow appears temporary, attributed to non-recurring working capital benefits in the prior period rather than operational issues. The
The expansion of Coupang's ecosystem through FLC (Fulfillment and Logistics) and R.Lux luxury offering represents strategic diversification into higher-margin segments. The
Key performance indicators show robust customer engagement, with revenue per active customer increasing
The improved profitability metrics and early success in Farfetch integration position Coupang favorably in the competitive e-commerce landscape, particularly in the luxury segment where margins are traditionally higher.
Net Revenues of
Gross Profit of
Consolidated Highlights:
-
Net revenues were
, up$7.9 billion 27% YoY on a reported basis and32% YoY on an FX-neutral basis. Excluding Farfetch, the growth was20% YoY on a reported basis and25% YoY on an FX-neutral basis. -
Gross profit increased
45% YoY to . Gross profit margin was$2.3 billion 28.8% , an improvement of 350 bps YoY. Excluding Farfetch, gross profit was , growing$2.1 billion 33% YoY, and gross profit margin was28.1% . -
Net income was
and net income attributable to Coupang stockholders was$64 million , a decrease of$70 million from last year. Excluding Farfetch, net income attributable to Coupang stockholders was approximately$21 million for the quarter.$108 million -
Diluted EPS was
4 cents , a decline of1 cent over last year, primarily driven by the operating losses incurred at Farfetch. Excluding the Farfetch loss, diluted EPS was6 cents . -
Adjusted EBITDA for the quarter was
with a margin of$343 million 4.4% , up 50 bps from last year. Excluding Farfetch, adjusted EBITDA was with a margin of$345 million 4.6% . -
Operating cash flow for the trailing twelve months was
, a decrease of$1.8 billion YoY. This is primarily due to certain non-recuring working capital benefits in the prior trailing twelve-month period.$805 million -
Free cash flow was
for the trailing twelve months, a decrease of$935 million YoY. This is primarily due to certain non-recuring working capital benefits in the prior trailing twelve-month period, as well as the timing of capital expenditure payments.$920 million
Segment Highlights:
-
Product Commerce segment net revenues were
, up$6.9 billion 16% YoY on a reported basis and20% on an FX-neutral basis. -
Product Commerce Active Customers reached 22.5 million, growing
11% YoY. -
Product Commerce segment adjusted EBITDA was
, up$470 million YoY, with a margin of$71 million 6.8% , up 10 bps YoY and down 140bps QoQ. -
Developing Offerings segment (including International, Coupang Eats, Play, Fintech and Farfetch) net revenues were
, up$975 million 347% YoY on a reported basis and356% on an FX-neutral basis. Excluding Farfetch, the growth was146% YoY on a reported basis and155% YoY on an FX-neutral basis. -
Developing Offerings segment adjusted EBITDA was negative
, a decrease of$127 million YoY and$34 million QoQ, which includes a negative$73 million impact from the consolidation of Farfetch.$2 million
“This quarter we continued the strong momentum we’ve seen throughout this year, delivering robust growth in revenues and margins,” said Gaurav Anand, CFO of Coupang. “Our newer offerings and categories, like Fulfillment and Logistics by Coupang (FLC) and R.Lux, a new luxury offering, are examples of the massive growth opportunity from selection expansion on Rocket Delivery. We also achieved an important milestone in Developing Offerings this quarter, reaching near break-even profitability in Farfetch, earlier than planned. We remain focused on our relentless pursuit of customer wow and operational excellence.”
Third Quarter 2024 Results |
||||||||||
Consolidated Financial Summary |
||||||||||
(in millions, except net revenues per Product Commerce Active Customer and earnings per share) |
Three Months Ended September 30, |
|
|
|||||||
2024(3) |
|
2023 |
|
% Change |
||||||
Total net revenues |
$ |
7,866 |
|
|
$ |
6,184 |
|
27 |
% |
|
Total net revenues growth, constant currency(1) |
|
|
|
|
32 |
% |
||||
Net revenues per Product Commerce Active Customer |
$ |
307 |
|
|
$ |
296 |
|
4 |
% |
|
Net revenues per Product Commerce Active Customer, constant currency(1) |
$ |
318 |
|
|
|
|
8 |
% |
||
Product Commerce Active Customers |
|
22.5 |
|
|
|
20.2 |
|
11 |
% |
|
Gross profit(2) |
$ |
2,269 |
|
|
$ |
1,566 |
|
45 |
% |
|
Net income |
$ |
64 |
|
|
$ |
91 |
|
(30 |
)% |
|
Net income attributable to Coupang stockholders |
$ |
70 |
|
|
$ |
91 |
|
(23 |
)% |
|
Adjusted EBITDA(1) |
$ |
343 |
|
|
$ |
239 |
|
44 |
% |
|
Earnings per share, basic |
$ |
0.04 |
|
|
$ |
0.05 |
|
(20 |
)% |
|
Earnings per share, diluted |
$ |
0.04 |
|
|
$ |
0.05 |
|
(20 |
)% |
|
Adjusted diluted earnings per share(1) |
$ |
0.06 |
|
|
$ |
0.05 |
|
20 |
% |
|
Net cash provided by operating activities |
$ |
334 |
|
|
$ |
722 |
|
(54 |
)% |
|
Free cash flow(1) |
$ |
(42 |
) |
|
$ |
536 |
|
(108 |
)% |
The following summarizes the impact Farfetch had on our results for the three and nine months ended September 30, 2024:
|
Impact from Farfetch(3) |
|||||||
|
Three Months Ended
|
Nine Months Ended
|
||||||
(in millions, except earnings per share) |
2024 |
|||||||
Consolidated |
|
|
||||||
Total net revenues |
$ |
439 |
|
$ |
1,187 |
|
||
Gross profit(2) |
$ |
183 |
|
$ |
508 |
|
||
Net loss |
$ |
(44 |
) |
$ |
(274 |
) |
||
Net loss attributable to Coupang stockholders |
$ |
(38 |
) |
$ |
(211 |
) |
||
Diluted earnings per share |
$ |
(0.02 |
) |
$ |
(0.12 |
) |
||
Adjusted EBITDA(1) |
$ |
(2 |
) |
$ |
(64 |
) |
||
|
|
|
||||||
Developing Offerings |
|
|
||||||
Net revenues |
$ |
439 |
|
$ |
1,187 |
|
||
Segment adjusted EBITDA |
$ |
(2 |
) |
$ |
(64 |
) |
Segment Information |
|||||||||||
|
Three Months Ended September 30, |
|
|
||||||||
(in millions) |
2024(3) |
|
2023 |
|
% Change |
||||||
Product Commerce |
|
|
|
|
|
||||||
Net revenues |
$ |
6,891 |
|
|
$ |
5,966 |
|
|
16 |
% |
|
Net revenues growth, constant currency(1) |
|
|
|
|
20 |
% |
|||||
Segment adjusted EBITDA |
$ |
470 |
|
|
$ |
399 |
|
|
18 |
% |
|
Developing Offerings |
|
|
|
|
|
||||||
Net revenues |
$ |
975 |
|
|
$ |
218 |
|
|
347 |
% |
|
Net revenues growth, constant currency(1) |
|
|
|
|
356 |
% |
|||||
Segment adjusted EBITDA |
$ |
(127 |
) |
|
$ |
(161 |
) |
|
(21 |
)% |
_________ |
||
(1) |
Total net revenues growth, constant currency, net revenues per Product Commerce Active Customer, constant currency, adjusted EBITDA, adjusted diluted earnings per share and free cash flow are non-GAAP financial measures as defined by the Securities and Exchange Commission (the “SEC”). See the “Non-GAAP Financial Measures” and “Reconciliations of Non-GAAP Measures” sections herein for more information regarding our use of these measures and reconciliations to the most directly comparable financial measures calculated in accordance with accounting principles generally accepted in |
|
(2) |
Gross profit is calculated as total net revenues minus cost of sales. |
|
(3) |
We completed the acquisition of the assets of Farfetch at the end of January in Q1 2024. For the nine months ended September 30, 2024, the operating results of Farfetch from February 2024 are included in our consolidated results and in our Developing Offerings segment. For the three months ended September 30, 2024, the operating results of Farfetch are included in our consolidated results and in our Developing Offerings segment. |
Webcast and Conference Call
Coupang, Inc. will host a conference call to discuss third quarter results on November 5, 2024 at 5:30 PM Eastern Time. A live webcast of the conference call will be available on our Investor Relations website, ir.aboutcoupang.com, and a replay of the conference call will be available for at least three months. This press release, including the reconciliations of certain non-GAAP measures to their nearest comparable
About Coupang
Coupang is a technology and Fortune 200 company listed on the New York Stock Exchange (NYSE: CPNG) that provides retail, restaurant delivery, video streaming, and fintech services to customers around the world under brands that include Coupang, Coupang Eats, Coupang Play and Farfetch.
FORWARD-LOOKING STATEMENTS
This earnings release or related management commentary may contain statements that may be deemed to be "forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the “Act”), that are intended to enjoy the protection of the safe harbor for forward-looking statements provided by the Act as well as protections afforded by other federal securities laws.
We have based the forward-looking statements contained in this report on our current expectations and projections about future events and trends that we believe may affect our industry, business, financial condition, and results of operations. Actual results and outcomes could differ materially for a variety of reasons, including, among others: the continued growth of the retail market and the increased acceptance of online transactions by potential customers, competition in our industry, managing our growth and expansion into new markets and offerings, risks associated with current and future acquisitions, mergers, dispositions, joint ventures or investments, our financial performance, to the extent to which we owe income or other taxes, our ability to retain existing suppliers and to add new suppliers, our market position, our operation and management of our fulfillment and delivery infrastructure, legal and regulatory developments, and the impact of the global economy including inflation, foreign currency exchange rates and other geopolitical events. For additional information on other potential risks and uncertainties that could cause actual results to differ from the results predicted, please see our most recent Annual Report on Form 10-K and subsequent filings. All forward-looking statements in this earnings release or related management commentary are based on information available to Coupang and assumptions and beliefs as of the date hereof, and we disclaim any obligation to update any forward-looking statements, except as required by law. We may not actually achieve the plans, intentions, or expectations disclosed in our forward-looking statements, and you should not place undue reliance on our forward-looking statements.
Investors and others should note that we may announce material business and financial information to our investors using our investor relations website (ir.aboutcoupang.com), our filings with the SEC, webcasts, press releases, and conference calls. We use these mediums, including our website, to communicate with investors and the general public about our company, our offerings, and other issues. It is possible that the information that we make available on our website may be deemed to be material information. We therefore encourage investors and others interested in our company to review the information that we make available on our website.
COUPANG, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) |
||||||||||||||||
|
Three Months Ended
|
|
Nine Months Ended
|
|||||||||||||
(in millions, except per share amounts) |
2024 |
|
2023 |
|
2024 |
|
2023 |
|||||||||
Net retail sales |
$ |
6,140 |
|
|
$ |
5,315 |
|
|
$ |
17,814 |
|
|
$ |
15,660 |
|
|
Net other revenue |
|
1,726 |
|
|
|
869 |
|
|
|
4,489 |
|
|
|
2,162 |
|
|
Total net revenues |
|
7,866 |
|
|
|
6,184 |
|
|
|
22,303 |
|
|
|
17,822 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Cost of sales |
|
5,597 |
|
|
|
4,618 |
|
|
|
15,963 |
|
|
|
13,312 |
|
|
Operating, general and administrative |
|
2,160 |
|
|
|
1,478 |
|
|
|
6,216 |
|
|
|
4,168 |
|
|
Total operating cost and expenses |
|
7,757 |
|
|
|
6,096 |
|
|
|
22,179 |
|
|
|
17,480 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Operating income |
|
109 |
|
|
|
88 |
|
|
|
124 |
|
|
|
342 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Interest income |
|
55 |
|
|
|
50 |
|
|
|
163 |
|
|
|
124 |
|
|
Interest expense |
|
(36 |
) |
|
|
(13 |
) |
|
|
(100 |
) |
|
|
(34 |
) |
|
Other income (expense), net |
|
4 |
|
|
|
(8 |
) |
|
|
7 |
|
|
|
(20 |
) |
|
Income before income taxes |
|
132 |
|
|
|
117 |
|
|
|
194 |
|
|
|
412 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Income tax expense |
|
68 |
|
|
|
26 |
|
|
|
259 |
|
|
|
85 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Net income (loss) |
|
64 |
|
|
|
91 |
|
|
|
(65 |
) |
|
|
327 |
|
|
Net loss attributable to noncontrolling interests |
|
(6 |
) |
|
|
— |
|
|
|
(63 |
) |
|
|
— |
|
|
Net income (loss) attributable to Coupang stockholders |
|
70 |
|
|
|
91 |
|
|
|
(2 |
) |
|
|
327 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Earnings per share |
|
|
|
|
|
|
|
|||||||||
Basic |
$ |
0.04 |
|
|
$ |
0.05 |
|
|
$ |
— |
|
|
$ |
0.18 |
|
|
Diluted |
$ |
0.04 |
|
|
$ |
0.05 |
|
|
$ |
— |
|
|
$ |
0.18 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Weighted-average shares outstanding |
|
|
|
|
|
|
|
|||||||||
Basic |
|
1,795 |
|
|
|
1,784 |
|
|
|
1,792 |
|
|
|
1,780 |
|
|
Diluted |
|
1,829 |
|
|
|
1,808 |
|
|
|
1,792 |
|
|
|
1,801 |
|
COUPANG, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) |
||||||||
(in millions) |
September 30, 2024 |
|
December 31, 2023 |
|||||
Assets |
|
|
|
|||||
Cash and cash equivalents |
$ |
5,822 |
|
|
$ |
5,243 |
|
|
Restricted cash |
|
139 |
|
|
|
353 |
|
|
Accounts receivable, net |
|
517 |
|
|
|
314 |
|
|
Inventories |
|
2,181 |
|
|
|
1,666 |
|
|
Prepaids and other current assets |
|
553 |
|
|
|
316 |
|
|
Total current assets |
|
9,212 |
|
|
|
7,892 |
|
|
|
|
|
|
|||||
Property and equipment, net |
|
2,997 |
|
|
|
2,465 |
|
|
Operating lease right-of-use assets |
|
2,240 |
|
|
|
1,601 |
|
|
Deferred tax assets |
|
764 |
|
|
|
925 |
|
|
Intangible assets, net |
|
306 |
|
|
|
37 |
|
|
Long-term lease deposits and other |
|
823 |
|
|
|
426 |
|
|
Total assets |
$ |
16,342 |
|
|
$ |
13,346 |
|
|
|
|
|
|
|||||
Liabilities, redeemable noncontrolling interests, and equity |
|
|
|
|||||
Accounts payable |
$ |
5,899 |
|
|
$ |
5,099 |
|
|
Accrued expenses |
|
473 |
|
|
|
352 |
|
|
Deferred revenue |
|
191 |
|
|
|
97 |
|
|
Short-term borrowings |
|
379 |
|
|
|
282 |
|
|
Current portion of long-term debt |
|
22 |
|
|
|
203 |
|
|
Current portion of long-term operating lease obligations |
|
456 |
|
|
|
386 |
|
|
Other current liabilities |
|
765 |
|
|
|
526 |
|
|
Total current liabilities |
|
8,185 |
|
|
|
6,945 |
|
|
|
|
|
|
|||||
Long-term debt |
|
1,194 |
|
|
|
529 |
|
|
Long-term operating lease obligations |
|
1,970 |
|
|
|
1,387 |
|
|
Defined severance benefits and other |
|
716 |
|
|
|
381 |
|
|
Total liabilities |
|
12,065 |
|
|
|
9,242 |
|
|
|
|
|
|
|||||
Commitments and contingencies |
|
|
|
|||||
|
|
|
|
|||||
Redeemable noncontrolling interests |
|
84 |
|
|
|
15 |
|
|
|
|
|
|
|||||
Equity |
|
|
|
|||||
Common stock |
|
— |
|
|
|
— |
|
|
Class A — shares authorized 10,000, outstanding 1,621 and 1,616 Class B — shares authorized 250, outstanding 175 and 175 |
|
|
|
|||||
Additional paid-in capital |
|
8,625 |
|
|
|
8,489 |
|
|
Accumulated other comprehensive loss |
|
(51 |
) |
|
|
(17 |
) |
|
Accumulated deficit |
|
(4,385 |
) |
|
|
(4,383 |
) |
|
Noncontrolling interests |
|
4 |
|
|
|
— |
|
|
Total equity |
|
4,193 |
|
|
|
4,089 |
|
|
Total liabilities, redeemable noncontrolling interests and equity |
$ |
16,342 |
|
|
$ |
13,346 |
|
COUPANG, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) |
||||||||
|
Nine Months Ended September 30, |
|||||||
(in millions) |
2024 |
|
2023 |
|||||
Operating activities |
|
|
|
|||||
Net income (loss) |
$ |
(65 |
) |
|
$ |
327 |
|
|
Adjustments to reconcile net income (loss) to net cash provided by operating activities: |
|
|
|
|||||
Depreciation and amortization |
|
313 |
|
|
|
198 |
|
|
Provision for severance benefits |
|
138 |
|
|
|
117 |
|
|
Equity-based compensation |
|
311 |
|
|
|
240 |
|
|
Non-cash operating lease expense |
|
325 |
|
|
|
248 |
|
|
Deferred income taxes |
|
142 |
|
|
|
— |
|
|
Other |
|
175 |
|
|
|
100 |
|
|
Change in operating assets and liabilities, net of acquisition: |
|
|
|
|||||
Accounts receivable, net |
|
116 |
|
|
|
(114 |
) |
|
Inventories |
|
(234 |
) |
|
|
(87 |
) |
|
Other assets |
|
(264 |
) |
|
|
(65 |
) |
|
Accounts payable |
|
310 |
|
|
|
1,235 |
|
|
Accrued expenses |
|
32 |
|
|
|
15 |
|
|
Other liabilities |
|
(89 |
) |
|
|
(171 |
) |
|
Net cash provided by operating activities |
|
1,210 |
|
|
|
2,043 |
|
|
|
|
|
|
|||||
Investing activities |
|
|
|
|||||
Purchases of property and equipment |
|
(665 |
) |
|
|
(662 |
) |
|
Proceeds from sale of property and equipment |
|
8 |
|
|
|
12 |
|
|
Net cash acquired in acquisition |
|
68 |
|
|
|
— |
|
|
Other investing activities |
|
(89 |
) |
|
|
(14 |
) |
|
Net cash used in investing activities |
|
(678 |
) |
|
|
(664 |
) |
|
|
|
|
|
|||||
Financing activities |
|
|
|
|||||
Proceeds from issuance of common stock, equity-based compensation plan |
|
3 |
|
|
|
7 |
|
|
Repurchase of Class A common stock |
|
(178 |
) |
|
|
— |
|
|
Proceeds from short-term borrowings and long-term debt |
|
425 |
|
|
|
417 |
|
|
Repayment of short-term borrowings and long-term debt |
|
(383 |
) |
|
|
(64 |
) |
|
Other financing activities |
|
44 |
|
|
|
2 |
|
|
Net cash (used in) provided by financing activities |
|
(89 |
) |
|
|
362 |
|
|
Effect of exchange rate changes on cash and cash equivalents, and restricted cash |
|
(78 |
) |
|
|
(167 |
) |
|
Net increase in cash and cash equivalents, and restricted cash |
|
365 |
|
|
|
1,574 |
|
|
Cash and cash equivalents, and restricted cash, as of beginning of period |
|
5,597 |
|
|
|
3,687 |
|
|
Cash and cash equivalents, and restricted cash, as of end of period |
$ |
5,962 |
|
|
$ |
5,261 |
|
Supplemental Financial Information Share Information |
||||
|
As of September 30, |
|||
(in millions) |
2024 |
|
2023 |
|
Outstanding common stock |
1,795 |
|
1,786 |
|
Outstanding equity-based awards |
80 |
|
64 |
|
Outstanding common stock and equity-based awards |
1,875 |
|
1,850 |
Key Business Metrics and Non-GAAP Financial Measures
We review the key business and financial metrics discussed below. We use these measures to evaluate our business, measure our performance, identify trends affecting our business, formulate business plans, and make strategic decisions.
Key Business Metrics
Net Revenues per Product Commerce Active Customer
Net revenues per Product Commerce Active Customer is the net revenues generated in a period divided by the total number of Product Commerce Active Customers in that period. A key driver of growth is increasing the frequency and the level of spend of customers who are shopping on our Product Commerce apps or websites. We therefore view net revenues per Product Commerce Active Customer as a key indicator of engagement and retention of our customers and our ability to drive future revenue growth, though there may be a short-term dilutive impact when a large number of new Product Commerce active customers are added in a recent period.
Product Commerce Active Customers
As of the last date of each reported period, we determine our number of Product Commerce Active Customers by counting the total number of individual customers who have ordered at least once directly from our Product Commerce apps or websites during the relevant period. A customer is anyone who has created an account on our apps or websites, identified by a unique email address. The change in Product Commerce Active Customers in a reported period captures both the inflow of new customers as well as the outflow of existing customers who have not made a purchase in the period. We view the number of Product Commerce Active Customers as an indicator of future growth in our net revenue, the reach of our network, the awareness of our brand, and the engagement of our customers.
|
Three Months Ended September 30, |
||||||||
(in millions, except net revenues per Product Commerce Active Customer) |
2024 |
|
2023 |
|
% Change |
||||
Net revenues per Product Commerce Active Customer |
$ |
307 |
|
$ |
296 |
|
4 |
% |
|
Net revenues per Product Commerce Active Customer (Constant Currency) |
$ |
318 |
|
|
|
8 |
% |
||
Product Commerce Active Customers |
|
22.5 |
|
|
20.2 |
|
11 |
% |
Non-GAAP Financial Measures
We report our financial results in accordance with
Our non-GAAP financial measures should not be considered in isolation from, or as substitutes for, financial information prepared in accordance with
Non-GAAP Measure |
Definition |
How We Use The Measure |
Adjusted EBITDA |
|
|
Adjusted EBITDA Margin |
|
|
Constant Currency Revenue |
|
|
Constant Currency Revenue Growth |
|
|
Free Cash Flow |
|
|
Segment Gross Profit |
|
|
Segment Gross Profit Margin |
|
|
Adjusted Net Income Attributable to Coupang Stockholders |
|
|
Adjusted Diluted Earnings Per Share |
|
|
Total net revenues excluding Farfetch |
|
|
Gross Profit excluding Farfetch |
|
|
Adjusted EBITDA excluding Farfetch |
|
|
Developing Offerings net revenues excluding Farfetch |
|
|
Developing Offerings net revenues, constant currency excluding Farfetch |
|
Reconciliations of Non-GAAP Measures
A reconciliation of non-GAAP guidance measures to corresponding GAAP measures is not available on a forward-looking basis without unreasonable effort due to the uncertainty of expenses that may be incurred in the future. Although, it is important to note that these factors could be material to Coupang’s results computed in accordance with GAAP. Certain amounts may not foot due to rounding.
The following tables present the reconciliations from each
Constant Currency Revenue and Constant Currency Revenue Growth |
||||||||||||||||||
|
Three Months Ended September 30, |
Year over Year Growth |
||||||||||||||||
|
2024 |
2023 |
||||||||||||||||
(in millions) |
As Reported |
Exchange Rate Effect |
Constant Currency Basis |
As Reported |
As Reported |
Constant Currency Basis |
||||||||||||
Consolidated |
|
|
|
|
|
|||||||||||||
Net retail sales |
$ |
6,140 |
$ |
221 |
$ |
6,361 |
$ |
5,315 |
16 |
% |
20 |
% |
||||||
Net other revenue |
|
1,726 |
|
56 |
|
1,782 |
|
869 |
99 |
% |
105 |
% |
||||||
Total net revenues |
$ |
7,866 |
$ |
277 |
$ |
8,143 |
$ |
6,184 |
27 |
% |
32 |
% |
||||||
|
|
|
|
|
|
|
||||||||||||
Net Revenues by Segment |
|
|
|
|
|
|||||||||||||
Product Commerce |
$ |
6,891 |
$ |
256 |
$ |
7,147 |
$ |
5,966 |
16 |
% |
20 |
% |
||||||
Developing Offerings |
|
975 |
|
20 |
|
995 |
|
218 |
347 |
% |
356 |
% |
||||||
Total net revenues |
$ |
7,866 |
$ |
277 |
$ |
8,143 |
$ |
6,184 |
27 |
% |
32 |
% |
Free Cash Flow |
||||||||||||||||
|
Three Months Ended September 30, |
|
Trailing Twelve Months Ended September 30, |
|||||||||||||
(in millions) |
2024 |
|
2023 |
|
2024 |
|
2023 |
|||||||||
Net cash provided by operating activities |
$ |
334 |
|
|
$ |
722 |
|
|
$ |
1,818 |
|
|
$ |
2,623 |
|
|
Adjustments: |
|
|
|
|
|
|
|
|||||||||
Purchases of land and buildings |
|
(188 |
) |
|
|
(33 |
) |
|
|
(274 |
) |
|
|
(352 |
) |
|
Purchases of equipment |
|
(192 |
) |
|
|
(158 |
) |
|
|
(625 |
) |
|
|
(431 |
) |
|
Total purchases of property and equipment |
|
(380 |
) |
|
|
(191 |
) |
|
|
(899 |
) |
|
|
(783 |
) |
|
Proceeds from sale of property and equipment |
|
4 |
|
|
|
5 |
|
|
|
15 |
|
|
|
15 |
|
|
Total adjustments |
$ |
(376 |
) |
|
$ |
(185 |
) |
|
$ |
(884 |
) |
|
$ |
(768 |
) |
|
Free cash flow |
$ |
(42 |
) |
|
$ |
536 |
|
|
$ |
935 |
|
|
$ |
1,855 |
|
|
Net cash used in investing activities |
$ |
(383 |
) |
|
$ |
(152 |
) |
|
$ |
(941 |
) |
|
$ |
(794 |
) |
|
Net cash (used in) provided by financing activities |
$ |
(9 |
) |
|
$ |
33 |
|
|
$ |
(252 |
) |
|
$ |
383 |
|
Adjusted EBITDA and Adjusted EBITDA Margin |
||||||||||||||||
|
Three Months Ended September 30, |
|
Trailing Twelve Months Ended June 30, |
|||||||||||||
(in millions) |
2024 |
|
2023 |
|
2024 |
|
2023 |
|||||||||
Total net revenues |
$ |
7,866 |
|
|
$ |
6,184 |
|
|
$ |
28,864 |
|
|
$ |
23,149 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Net income attributable to Coupang shareholders |
|
70 |
|
|
|
91 |
|
|
|
1,030 |
|
|
|
429 |
|
|
Net loss attributable to noncontrolling interests |
|
(6 |
) |
|
|
— |
|
|
|
(63 |
) |
|
|
— |
|
|
Net income |
|
64 |
|
|
|
91 |
|
|
|
967 |
|
|
|
429 |
|
|
Net income margin |
|
0.8 |
% |
|
|
1.5 |
% |
|
|
3.4 |
% |
|
|
1.9 |
% |
|
Adjustments: |
|
|
|
|
|
|
|
|||||||||
Depreciation and amortization |
|
112 |
|
|
|
67 |
|
|
|
390 |
|
|
|
255 |
|
|
Interest expense |
|
36 |
|
|
|
13 |
|
|
|
113 |
|
|
|
42 |
|
|
Interest income |
|
(55 |
) |
|
|
(50 |
) |
|
|
(217 |
) |
|
|
(150 |
) |
|
Income tax expense (benefit) |
|
68 |
|
|
|
26 |
|
|
|
(603 |
) |
|
|
76 |
|
|
Other (income) expense, net |
|
(4 |
) |
|
|
8 |
|
|
|
(6 |
) |
|
|
29 |
|
|
Acquisition and restructuring related costs |
|
8 |
|
|
|
— |
|
|
|
85 |
|
|
|
— |
|
|
KFTC administrative fine |
|
— |
|
|
|
— |
|
|
|
121 |
|
|
|
— |
|
|
Equity-based compensation |
|
114 |
|
|
|
84 |
|
|
|
397 |
|
|
|
311 |
|
|
Adjusted EBITDA |
$ |
343 |
|
|
$ |
239 |
|
|
$ |
1,247 |
|
|
$ |
991 |
|
|
Adjusted EBITDA margin |
|
4.4 |
% |
|
|
3.9 |
% |
|
|
4.3 |
% |
|
|
4.3 |
% |
Segment Gross Profit and Segment Gross Profit Margin |
||||||||
|
Three Months Ended September 30, |
|||||||
(in millions) |
2024 |
|
2023 |
|||||
Gross profit |
$ |
2,269 |
|
|
$ |
1,566 |
|
|
Segment gross profit and gross profit margin: |
|
|
|
|||||
Product Commerce |
|
2,068 |
|
|
|
1,619 |
|
|
Gross profit margin |
|
30.0 |
% |
|
|
27.1 |
% |
|
Developing Offerings |
|
201 |
|
|
|
(54 |
) |
|
Gross profit margin |
|
20.6 |
% |
|
|
(24.6 |
)% |
Adjusted Net Income Attributable to Coupang Stockholders |
||||||
|
Three Months Ended September 30, |
|||||
(in millions) |
2024 |
|
2023 |
|||
Net income attributable to Coupang stockholders |
$ |
70 |
|
$ |
91 |
|
Adjustments: |
|
|
|
|||
Farfetch losses attributable to Coupang stockholders |
|
38 |
|
|
— |
|
Adjusted net income attributable to Coupang stockholders |
$ |
108 |
|
$ |
91 |
Adjusted Diluted Earnings Per Share |
||||||
|
Three Months Ended September 30, |
|||||
|
2024 |
|
2023 |
|||
Diluted earnings per share |
$ |
0.04 |
|
$ |
0.05 |
|
Adjustments: |
|
|
|
|||
Farfetch losses attributable to Coupang stockholders |
|
0.02 |
|
|
— |
|
Adjusted diluted earnings per share(a) |
$ |
0.06 |
|
$ |
0.05 |
(a) |
Adjusted diluted earnings per share includes the effect of dilutive shares as a result of adjusted net income attributable to Coupang stockholders. Diluted weighted average shares used for the three months ended September 30, 2024 calculation was 1,829 (in millions). |
Total Net Revenues excluding Farfetch |
|||||||
|
Three Months Ended September 30, |
||||||
(in millions) |
2024 |
|
2023 |
||||
Total net revenues |
$ |
7,866 |
|
|
$ |
6,184 |
|
Revenues of Farfetch |
|
(439 |
) |
|
|
— |
|
Total net revenues excluding Farfetch |
$ |
7,427 |
|
|
$ |
6,184 |
Total Net Revenues excluding Farfetch Constant Currency Revenue and Constant Currency Revenue Growth (YoY) |
||||||||||||||||||||
|
Three Months Ended September 30, |
Year over Year Growth |
||||||||||||||||||
|
2024 |
2023 |
||||||||||||||||||
(in millions) |
As Reported |
Exchange Rate Effect |
Constant Currency Basis |
As Reported |
As Reported |
Constant Currency Basis |
||||||||||||||
Consolidated |
|
|
|
|
|
|
||||||||||||||
Total net revenues |
$ |
7,866 |
|
$ |
277 |
$ |
8,143 |
|
$ |
6,184 |
27 |
% |
32 |
% |
||||||
Revenues of Farfetch |
|
(439 |
) |
|
— |
|
(439 |
) |
|
— |
|
|
||||||||
Total net revenues excluding Farfetch |
$ |
7,427 |
|
$ |
277 |
$ |
7,704 |
|
$ |
6,184 |
20 |
% |
25 |
% |
Gross Profit excluding Farfetch |
||||||||
|
Three Months Ended September 30, |
|||||||
(in millions) |
2024 |
|
2023 |
|||||
Gross Profit |
$ |
2,269 |
|
|
$ |
1,566 |
|
|
Gross Profit of Farfetch |
|
(183 |
) |
|
|
— |
|
|
Gross Profit excluding Farfetch |
$ |
2,086 |
|
|
$ |
1,566 |
|
|
Gross profit margin excluding Farfetch |
|
28.1 |
% |
|
|
25.3 |
% |
Adjusted EBITDA excluding Farfetch |
||||||||||||||||
|
Three Months Ended September 30, |
|
Trailing Twelve Months Ended September 30, |
|||||||||||||
(in millions) |
2024 |
|
2023 |
|
2024 |
|
2023 |
|||||||||
Adjusted EBITDA |
$ |
343 |
|
|
$ |
239 |
|
|
$ |
1,247 |
|
|
$ |
991 |
|
|
Adjusted EBITDA of Farfetch |
|
2 |
|
|
|
— |
|
|
|
64 |
|
|
|
— |
|
|
Adjusted EBITDA excluding Farfetch |
$ |
345 |
|
|
$ |
239 |
|
|
$ |
1,311 |
|
|
$ |
991 |
|
|
Adjusted EBITDA margin excluding Farfetch |
|
4.6 |
% |
|
|
3.9 |
% |
|
|
4.7 |
% |
|
|
4.3 |
% |
Developing Offerings Net Revenues excluding Farfetch |
|||||||
|
Three Months Ended September 30, |
||||||
(in millions) |
2024 |
|
2023 |
||||
Developing Offerings net revenues |
$ |
975 |
|
|
$ |
218 |
|
Revenues of Farfetch |
|
(439 |
) |
|
|
— |
|
Developing Offerings net revenues excluding Farfetch |
$ |
536 |
|
|
$ |
218 |
Developing Offerings Net Revenues excluding Farfetch Constant Currency Revenue and Constant Currency Revenue Growth (YoY) |
||||||||||||||||||||
|
Three Months Ended September 30, |
Year over Year Growth |
||||||||||||||||||
|
2024 |
2023 |
||||||||||||||||||
(in millions) |
As Reported |
Exchange Rate Effect |
Constant Currency Basis |
As Reported |
As Reported |
Constant Currency Basis |
||||||||||||||
Net Revenues by Segment |
||||||||||||||||||||
Developing Offerings net revenues |
$ |
975 |
|
$ |
20 |
$ |
995 |
|
$ |
218 |
347 |
% |
356 |
% |
||||||
Revenues of Farfetch |
|
(439 |
) |
|
— |
|
(439 |
) |
|
— |
|
|
||||||||
Developing Offerings net revenues excluding Farfetch |
$ |
536 |
|
$ |
20 |
$ |
556 |
|
$ |
218 |
146 |
% |
155 |
% |
View source version on businesswire.com: https://www.businesswire.com/news/home/20241105350648/en/
Investor Contact:
Coupang IR
ir@coupang.com
Media Contact:
Coupang PR
press@coupang.com
Source: Coupang
FAQ
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