Wayfair Stock Up 16%, Narrows Q1 Losses Despite Sales Dip

May 4, 2024, 10:25 AM

Wayfair reported a narrower net loss of $248 million in Q1 2024, down from $355 million the previous year, despite a slight decline in sales by 1.6%. The online furniture retailer saw its U.S. sales drop by 1.0%, but active customers increased by 2.8%. Wayfair's stock rose significantly, up 16%, following the announcement, and was up 3.9% after the earnings release. The company also expects sales for Q2 to be flat to slightly positive, contrasting with an estimated 2% decline. Over the past 12 months, Wayfair has accumulated losses of $631 million. The company recently implemented layoffs and took a $79 million one-time restructuring charge as part of its cost-cutting measures. Revenue for the quarter was $2.73 billion.