Coupang, Inc. (NYSE: CPNG), a leading e-commerce company, reported impressive financial results for the third quarter of 2024, fueled by robust growth in its core Product Commerce and nascent Developing Offerings segments.
The company's total net revenues surged 27% year-over-year to $7.9 billion, exceeding analysts' expectations. This strong performance was driven by a 16% increase in Product Commerce net revenues to $6.9 billion and a remarkable 347% surge in Developing Offerings net revenues to $975 million.
Coupang's gross profit grew an impressive 45% year-over-year to $2.3 billion, with gross profit margins expanding by 350 basis points to 28.8%. The company's adjusted EBITDA, a key measure of profitability, surged 44% year-over-year to $343 million, with an adjusted EBITDA margin of 4.4%, up 50 basis points from the same period last year.
The Product Commerce segment, which includes Coupang's core e-commerce platform, continued to drive growth, with adjusted EBITDA increasing by 18% year-over-year to $470 million, reflecting operational efficiency in this core business.
The Developing Offerings segment, which includes newer businesses such as Farfetch, food delivery, and streaming services, witnessed remarkable momentum, contributing significantly to Coupang's overall growth. The acquisition of Farfetch, an online luxury e-commerce platform, reached near break-even profitability during the quarter, ahead of schedule.
