On February 24, 2022, Etsy Inc. (ETSY) declared its financial results for Q4 and fiscal 2021 along with guidance for 2022. Consequently, the stock soared high in the after-hours session on Thursday.
Shares of the online marketplace operator, Etsy Inc. were already up by 10.00% in the regular session on Thursday. It seems investors were expecting good things from the company. ETSY stock closed the session at $128.16 with 9.3 million shares exchanging hands during the session. The day’s volume remained 308% of its 65-day average. Following the announcement, the stock gained a huge 20.16% or $25.84 at an after-hours volume of 1.93 million shares. Hence, ETSY stock was trading at $154.00 apiece in the after-hours on Thursday.
Founded in 2005, ETSY’s 126.78 million outstanding shares trade at a market capitalization of $14.77 billion. The stock has declined by 41.46% year to date while it lost 35.14% last year.
ETSY’s Q4 2021 Highlights
For Q4 2021, the company reported a record consolidated GMS of $4.2 billion with an increase of 16.5% YOY.
Moreover, ETSY’s consolidated revenue was $717.1 million in the quarter with an increase of 16.2% YOY.
The company generated a net income of $161.6 million in the quarter with a YOY growth of 8.8%. Thus, the net income was $1.11 on a diluted share basis in Q4 2021.
Furthermore, the company had a non-GAAP adjusted EBITDA of $218.8 million in the quarter.
The cash and cash equivalents along with short and long-term investments totaled $1.1 billion on December 31, 2021.
Q1 2022 Guidance
For the first quarter of fiscal 2022, ETSY expects GMS between $3.2 and $3.4 billion on revenue of $565 to $590 million. Additionally, the expected adjusted EBITDA margin is 26% approx. for the quarter.
ETSY’s Additions to Board
On November 2, 2021, the company announced the appointment of Marla Blow to its Board of Directors, effective November 30. She also joined the board’s Audit Committee. Presently, Marla serves Skoll Foundation as its President and Chief Operating Officer. The Skoll Foundation invests in and supports social entrepreneurs.
Before this, on September 21, the company had announced the appointment of Andy Ballard to the board, effective September 30. Andy is the Chief Executive Officer of Wiser Solutions. Additionally, ETSY also declared the resignation of Edith Cooper from its board due to other commitments.
Conclusion
In the latest earnings report, the company not only surpassed its revenue estimates but also the EPS. Thus, with a beat Q4 2021, the company’s stock soared high in the after-hours on Thursday.
