Global e Online smashed revenue consensus with revenue growth accelerating to 32% but missing on EPS.
Overall a strong Q3 and Q4/Full Year outlook raised and deserving of the 12% bump in the share price.
Clearly the low point earlier this year connected with one of their leading merchants going bankrupt (Ted Baker) was a genuine 1 time factor that they are getting passed.
Most business metrics are now accelerating and they have rejoined the 30%+ growth club.
Q3 2024 Financial Results
GMV in the third quarter of 2024 was $1,134 million, an increase of 35% year over year
Revenue in the third quarter of 2024 was $176 million, an increase of 32% year over year, of which service fees revenue was $82.6 million and fulfillment services revenue was $93.4 million
Non-GAAP gross profit in the third quarter of 2024 was $82.3 million, an increase of 39% year over year. GAAP gross profit in the third quarter of 2024 was $80.1 million
Non-GAAP gross margin in the third quarter of 2024 was 46.8%, an increase of 240 basis points from 44.4% in the third quarter of 2023. GAAP gross margin in the third quarter of 2024 was 45.5%
Adjusted EBITDA in the third quarter of 2024 was $31.1 million compared to $22.1 million in the third quarter of 2023
Net loss in the third quarter of 2024 was $22.6 million
Recent Business Highlights
Continued to on-board many new merchants located all around the globe and trading in various verticals, including:
North America - plus size fashion brand Torrid, cosmetics brand Jones Road Beauty, watchmaker Fossil and fast-growing consumer electronics brand Raycon
UK and Europe - British clothing brand Trapstar London, Swedish horse riding brand Equestrian Stockholm, Polish clubwear brand MISBHV and UK-based Land Rover spare parts seller LR Parts
APAC - Australian fashion brand Dissh, Brand Off’s sites in Japan and Hong Kong, Japanese pre-owned fashion seller Ragtag, Hong Kong based leather brand Cafune and the Korean sports gear brand Dimito
Sports clubs - significant launches of the top Premier League and Bundesliga football clubs of Manchester United and Bayern Munich
Luxury brands - Derek Rose and Margaret Howell in the UK, Longchamp and Paco Rabanne in France and Chopard in Switzerland
Recently launched with Harrods, the iconic luxury department store, through our integration into the SCAYLE platform; Harrods is the last of the large merchants planned to launch in the second half of 2024
Expanded to new lanes with existing merchants - added all the remaining lanes with Victoria’s Secret, completing the phased launch as planned, went live with Disney in Australia and New Zealand and added support for more markets on Assouline’s APAC store
Expanded our strategic partnership with the digital transformation leader Transcosmos - following our successful joint work in Japan, we have extended our partnership to also cover South Korea
Shopify Managed Markets – rolled out new capabilities, including order editing, support for several new alternative payment methods and upgrades to our automated catalogue analysis algorithms, allowing merchants to sell more products to more markets. Volumes on Managed Markets continue to grow as planned, generating great value to the thousands of merchants using it
Q3 report can be found here…
https://investors.global-e.com/news-releases/news-release-details/global-e-reports-third-quarter-2024-results