Slide 1: Etsy Equity Program: A Track Record of Intentional and Effective Cost Management
Etsy Equity Program: A Track Record of Intentional and Effective Cost Management
Slide 2: Key equity metrics at a glance
Key equity metrics at a glance -56% -55% 3 Equity-intensive subsidiaries divested or pending divestiture Reduction in total grant Reduction in Etsy value) standalone grant value” 627M in 20 $278M in M in 20: 025. Further reduction ther (1) inthis Supplement, “grant value” is the aggregate grant date
Slide 3: Key drivers of equity cost reduction
Key drivers of equity cost reduction Structural and program-design changes that are systematically lowering equity program costs on Divestitures Elo7, Reverb, and Depop (pending) were earlier-stage businesses with equity compensation structures typical of growth-oriented subsidiaries. What remains p
Slide 4: Total equity grant value ($M)
Total equity grant value (SM) Sequential declines as a result of structural and program-design changes I 07 (divested 2023) Reverb (divested 2025) J Depop (Pending divestiture 2026) Etsy core $800 2023: significant $627 reduction in values 2025: vesting ‘granted post tech 3 ys UC $600 hiring cyte $4
Slide 5: Total equity grant value as % of revenue
Total equity grant value as % of revenue 24.4% 13.3% 11.4% an l.. ” : j on B . i a = 7m flow through the P&L; 2025 grant values represented 2.3% of Consolidated GMS. 2025, 9.6% of revenue $2,88aM is declining toward peer norms; continued improvement expected as Depop sale closes and lower grant valu
Slide 6: Etsy Standalone: Cumulative Percentage Decline in Average Grant Value per Employee
Etsy Standalone: Cumulative Percentage Decline in Average Grant Value per Employee from 2022 om fam j M 2 0% E g 00% 022 2023 228 228 grant value has d further reductions expected demonstrating that leliberate program yeadcount changes or stock pr
Slide 7: Share-based Compensation Expense ($M)
Share-based Compensation Expense (SM) I E07 (divested 2023) Reverb (divested 2025) lJ Depop (Pending divestiture 2026) I Eisy standalone 100 Note: Annual SBC expense for each year in the chart above generally reflects the prior four years of equity grants amortizing over their vesting periods. The e
Slide 8: Conclusion
Conclusion Etsy's equity program is being actively managed down | Total grant value has declined 56% from $627M (2022) to $278M (2025), with Etsy standalone alone down 55%. Further reductions are anticipated in 2026. P| Three subsidiaries — Elo7, Reverb, and Depop — have been or are being divested,