Business
1stDibs Reports Fourth Quarter and Full Year 2022 Financial Results
NEW YORK, March 01, 2023 (GLOBE NEWSWIRE) -- 1stdibs.com, Inc. (NASDAQ: DIBS), a leading online marketplace for luxury design products ("1stDibs" or the
About this update from 1stdibs.com, Inc.
[{"type":"text","content":"NEW YORK, March 01, 2023 (GLOBE NEWSWIRE) -- 1stdibs.com, Inc. (NASDAQ: DIBS), a leading online marketplace for luxury design products (\"1stDibs\" or the \"Company\"), today reported financial results for its fourth quarter and full year ended December 31, 2022. Fourth Quarter 2022 Financial Highlights Net revenue was $23.0 million, a decrease of 15% year-over-year.Gross profit was $16.2 million, a decrease of 3% year-over-year.Gross margin was 70.5%, compared to 61.7% in the fourth quarter 2021.GAAP net loss was $6.9 million compared to a net loss of $8.1 million in the fourth quarter 2021.Non-GAAP Adjusted EBITDA and Adjusted EBITDA Margin was $(4.5) million and (19.5)%, respectively, compared to $(6.7) million and (25.0)%, respectively, in the fourth quarter 2021.Cash and cash equivalents totaled $153.2 million as of December 31, 2022. Full Year 2022 Financial Highlights Net revenue was $96.8 million, a decrease of 6% year-over-year.Gross profit was $67.2 million, a decrease of 5% year-over-year.Gross margin was 69.4%, compared to 68.7% in the year ended December 31, 2021.GAAP net loss was $22.5 million, compared to $21.0 million in the year ended December 31, 2021.Non-GAAP Adjusted EBITDA and Adjusted EBITDA Margin was $(20.7) million and (21.3)%, respectively, compared to $(16.5) million and (16.1)%, respectively, in the year ended December 31, 2021.On June 29, 2022, the Company sold 100% of its equity interest in Design Manager for a purchase price of $14.8 million and recorded a net gain on the sale of $9.7 million.In September 2022, the Company announced and implemented a restructuring plan to reduce operational costs and realign investment priorities involving the reduction of approximately 10% of the Company’s workforce. As a result of the reduction, we incurred approximately $0.7 million in non-recurring restructuring charges. “In 2022, despite a challenging environment for e-commerce, we made significant progress on our strategic priorities, primarily Auctions, international expansion, supply growth and improving our cost structure,” said David Rosenblatt, 1stDibs Chief Executive Officer. Tom Etergino, Chief Financial Officer of 1stDibs said, “We delivered our second quarter of sequential adjusted EBITDA margin improvement, driven by expense reductions. In 2023 we will remain focused on improving efficiency while al...