Etsy just released its financial results for 2019's third quarter (July to September) - here are the highlights:

  • marketplace sales up 30.1% to $1.2 billion - but note that these sales include sales on Reverb, the site they bought earlier this year. Reverb's GMS was $76.9 million.
  • Etsy's revenue was up 31.6%, to almost $198 million
  • gross profit was up 24.7% to $129.0 million
  • Etsy's net income was $14.8 million 
  • revenue from the marketplaces was nearly $141 million, versus revenue from seller services which was only $56 million.
  • active buyers and active sellers on Etsy increased 19.1% and 19.3% year-over-year, respectively. This is the first time in a few years that sellers increased at a faster rate than buyers, but note that there were still way more buyers added this quarter than sellers. 
  • active sellers for the whole company are up to 2.5 million (remember, that counts anyone who has listed anything in the past 12 months), while active buyers (anyone who bought in the past 12 months) are at 44.8 million. 
  • 59% of sales happened on mobile devices. 
  • "As of the end of the third quarter, 62% of items on the Etsy marketplace offered free shipping to U.S. buyers and 74% of U.S. listing views were eligible to ship for free."
  • they say they are continuing to optimize Etsy Ads, and "have seen negligible budget churn from sellers"
  • the amount spent by each active buyer in the past 12 months grew for the sixth quarter
  • Etsy's gross margin was down a bit, due to the purchase of Reverb, Etsy Payments fees and the introduction of Etsy Ads (I expect they will give more detail during the call)
  • they spent $50 million on marketing this quarter, up from $39 million last year

 

Press release here: https://investors.etsy.com/press-releases/press-release-details/2019/Etsy-Inc-Reports-Third-Quarter-2019-Financial-Results/default.aspx

and here are the slides that go with the presentation: https://s22.q4cdn.com/941741262/files/doc_financials/2019/q3/Etsy-3Q-2019-Earnings-Presentation.pdf (I haven't looked at them yet)

 

The stock is down because Etsy lowered its guidance: https://www.marketwatch.com/story/etsy-stock-down-10-after-company-lowers-guidance-2019-10-30  although I am seeing the usual rise, then drop, then rise happening: https://www.google.com/search?q=Etsy+stock&pws=0&gl=us&gws_rd=cr  As always, it will take a while for everyone to digest the full report and call. 

 

The investor phone call starts at 5 pm ET; I will try to listen in & post highlights afterwards. A transcript of that call will eventually be posted here: https://seekingalpha.com/symbol/ETSY?news=transcripts  and usually elsewhere, within the next 48 hours. 

 

I will mark any key updates as "solutions" so the posts will be highlighted, and will add to this OP in the next hour for as long as I can edit it. 

 

My previous threads on quarterly results, for comparison:

2nd Q 2019

1st Q 2019

4th Q 2018

3rd Q 2018

2nd Q 2018

1st Q 2018

4th Q 2017

3rd Q 2017

PremiumBoutique
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Re: Etsy 3rd Quarter 2019 Financial Results: Sales Up 30.1% YOY to $1.2 billion

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for a change I can reply on a topic here ... What removed comments??
I hear ya! But yes, yesterday when I looked at these comments, many of them were deleted. Today the deleted ones are just GONE! Erased, Hidden, Nobody can say now that there were comments that were removed.  

That speaks even more about ETSY and the new leader.

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ScenicRiversNets
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Re: Etsy 3rd Quarter 2019 Financial Results: Sales Up 30.1% YOY to $1.2 billion

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@PremiumBoutique  It’s like a government cover up. Let’s impeach Josh Silverman.

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FuzzyFoxDesigns
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Re: Etsy 3rd Quarter 2019 Financial Results: Sales Up 30.1% YOY to $1.2 billion

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Well... let's just say that if all of this stuff means they go under eventually, our Josh is certainly not going to be able to claim that he didn't have enough feedback on the changes he made, is he? :D 

If I was an investor, I'd be incredibly cautious about a company that deliberately ignored and covered up feedback. You'd think they'd be learning from other institutions that have done similar things... we've got Royal Commissions coming out of our ears here in Australia. Things have a habit of catching up with people eventually.

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cindylouwho2
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Re: Etsy 3rd Quarter 2019 Financial Results: Sales Up 30.1% YOY to $1.2 billion

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FuzzyFoxDesigns
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Re: Etsy 3rd Quarter 2019 Financial Results: Sales Up 30.1% YOY to $1.2 billion

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:) 

It's possible... but I think I'd want to see their definition of "technical error". I have a sneaking suspicion we're talking about different things :) We usually are. 

One cannot expect to run "Q and A" sessions that do not directly answer questions, deal so dreadfully with demonstrable issues like the seller overcharging saga, deal so poorly and in such general and vague terms with questions emailed in by sellers, and produce promotional material that is full of spin, and then have a community believe you when you say a problem is a technical error :D Have they ever read 'the boy who cried wolf'? :D

I'm not generally a cynical person, but I have grown this way after the events described above. If it smells like a rat and you have evidence of a previous rat infestation... it is probably not a unicorn :D hehe

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ScenicRiversNets
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Re: Etsy 3rd Quarter 2019 Financial Results: Sales Up 30.1% YOY to $1.2 billion

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@cindylouwho2   B.S.; If you believe that I’ve got some ocean front property in Arizona to sell real cheap.

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FuzzyFoxDesigns
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Re: Etsy 3rd Quarter 2019 Financial Results: Sales Up 30.1% YOY to $1.2 billion

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ooh ... I might be interested @ScenicRiversNets  :D :P ;)

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PremiumBoutique
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Re: Etsy 3rd Quarter 2019 Financial Results: Sales Up 30.1% YOY to $1.2 billion

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I can not comment on this since I didn't post before and hence didn't have any comments removed. I did see many comments marked as Removed yesterday.

However today I tried to post a comment on the Handbook page and was not able to. Wrote it, clicked once, clicked twice and nothing happened. Same as in this Forum. Sometimes I am able to post comments to a thread but most of the times the Reply box is with red outline and I can not write anything. 

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cindylouwho2
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Re: Etsy 3rd Quarter 2019 Financial Results: Sales Up 30.1% YOY to $1.2 billion

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@ScenicRiversNets   LOL! 

(For anyone reading and confused, this is my periodic reminder that these threads are reporting, not my opinion.)

 

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chapeaunoir
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Re: Etsy 3rd Quarter 2019 Financial Results: Sales Up 30.1% YOY to $1.2 billion

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@PremiumBoutiqueThis forum is half-broken.  From the beginning I have only been able to post on random threads and I've heard the same frmo others.  It's just a cheesy, low-bid operation.

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