Wayfair Shares Slide Despite Q4 Earnings Beat

Font: Financial Modeling Prep  • Feb 19, 2026

Wayfair Inc. (NYSE: W) reported fourth-quarter earnings that exceeded analyst expectations, but shares fell more than 10% intra-day Thursday as investors reacted cautiously to the company’s performance and outlook.

The online home goods retailer posted adjusted earnings per share of $0.85, beating the analyst estimate of $0.68. Revenue totaled $3.3 billion, in line with consensus estimates and up 6.9% year over year.

U.S. net revenue increased 7.4% to $2.9 billion, while international revenue rose 3.7% to $395 million. Excluding the impact of the company’s exit from Germany, total net revenue would have grown 7.8% year over year.

Wayfair recorded a net loss of $116 million, or $0.89 per diluted share, compared with a net loss of $128 million, or $1.02 per share, in the prior-year quarter. Non-GAAP adjusted EBITDA reached $224 million, more than double the $96 million reported in the fourth quarter of 2024.

Active customers totaled 21.3 million at quarter-end, down 0.5% year over year. However, average order value increased to $301 from $290, and net revenue per active customer rose 5.6% to $586.

For full-year 2025, Wayfair reported total net revenue of $12.5 billion, up 5.1% from 2024, with a net loss of $313 million. Operating cash flow reached $534 million, while free cash flow totaled $329 million for the year.