Wayfair Inc. has reported its financial results for Q2 2025, demonstrating significant growth in revenue and profitability that outperformed market expectations.
Key Financial Results
In the second quarter of 2025, Wayfair Inc. reported total net revenue of $3.3 billion, exceeding market expectations of $3.11 billion. This represents a 5.0% year-over-year increase. Excluding the impact of its exit from the German market, revenue growth was even higher at 6.0%. The U.S. segment contributed significantly to this growth, with net revenue climbing to $2.9 billion, up 5.3% year-over-year. Meanwhile, international operations generated $399 million, marking a 3.1% increase compared to the same period in 2024.
Wayfair's gross profit for the quarter stood at $984 million, accounting for 30.1% of total net revenue. This robust performance was further highlighted by net income of $15 million and Adjusted EBITDA of $205 million. The diluted earnings per share for the quarter were $0.11, reflecting the company’s operational efficiency.
Company Outlook
Looking ahead, Wayfair's guidance reflects confidence in its strategic direction and growth potential. The company reported a liquidity position of $1.8 billion, including cash and short-term investments, allowing it to support future initiatives and navigate potential challenges. The exit from the German market has allowed the company to concentrate resources on more promising opportunities.
CEO Niraj Shah emphasized the importance of thoughtful decision-making that has led to the current success of the company.
Customer Base and Operational Efficiency
As of June 30, 2025, Wayfair reported 21.0 million active customers, with net revenue per active customer increasing to $572, up 5.9% year-over-year. While there was a slight decrease in the number of active customers, the increase in revenue per customer indicates strong purchasing behavior and customer loyalty. The average order value for the quarter rose to $328, compared to $313 in the previous year.
Wayfair's financial results for Q2 2025 highlight the company's success in increasing revenue and gross profit, showcasing confidence in future developments.
