US-based online furniture and home goods retailer Wayfair reported higher revenue and returned to operating profitability in 2025 despite a slight decline in active customers.
For the fourth quarter ended 31 December 2025, total net revenue increased 6.9% year-on-year (YoY) to $3.33bn, or 7.8% excluding the impact of the company’s exit from the German market.
US net revenue rose 7.4% to $2.94bn while international net revenue was up 3.7% to $395m.
Gross profit for the quarter reached $1.01bn, equivalent to 30.3% of net revenue.
Wayfair recorded operating income of $84m, compared with an operating loss of $117m in the same period a year earlier.
Net loss narrowed to $116m from $128m in the same period last year while net cash from operating activities totalled $202m.
On 31 December 2025, cash, cash equivalents and short-term investments stood at $1.50bn, with total liquidity of $1.90bn, including revolving credit capacity.
Active customers were 21.3 million, down 0.5% YoY, while LTM [last twelve months] net revenue per active customer rose 5.6% to $586.
Orders delivered increased 3.7% to 11.1 million.
Repeat customers accounted for 79.1% of orders. Average order value climbed to $301 from $290, and 64.9% of orders were placed via mobile devices.
For the full year, total net revenue grew 5.1% to $12.45bn, or 6.1% excluding the German market exit.
US net revenue rose 5.8% to $10.97bn while international net revenue edged up 0.4% to $1.48bn, or 0.2% on a constant-currency basis.
Gross profit for 2025 totalled $3.76bn, representing 30.2% of net revenue.
Wayfair reported operating income of $17m for the year, compared with an operating loss of $461m in 2024.
Net loss narrowed to $313m from $492m, while net cash provided by operating activities increased to $534m from $317m.
The results reflect revenue growth across both US and international segments and a move to operating profitability despite fewer active customers.
Wayfair CEO, co-founder and co-chairman Niraj Shah said: “2025 was a year where we returned to growth and accelerated throughout the year through a number of organic business strategies that can compound for years to come.
“This was characterised by two important themes: our share capture overwhelming the drag of the macro, and the substantial flow through of that growth to the bottom line.”
“Wayfair returns to operating profit as 2025 revenue rises” was originally created and published by Retail Insight Network, a GlobalData owned brand.
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