1stdibs.com Reports Slight Decline in Q2 2025 Net Revenue, Net Loss of $4.3 Million

1stdibs.com, Inc. reported its financial results for the second quarter of 2025, revealing a slight decline in net revenue compared to the same period in 2024. The company generated $22.1 million in net revenue for the three months ended June 30, 2025, down from $22.2 million in the prior year. For the first half of 2025, net revenue increased marginally to $44.7 million, compared to $44.3 million in the same period of 2024. The decrease in quarterly revenue was attributed to a decline in Gross Merchandise Value (GMV) and the number of orders, which the company linked to macroeconomic factors such as housing market volatility and geopolitical developments.

The company's gross profit for the second quarter was $15.9 million, resulting in a gross margin of 71.8%, consistent with the previous year. Operating expenses decreased to $21.6 million from $22.4 million year-over-year, primarily due to reduced sales and marketing costs, which fell by 12% to $8.1 million. This reduction was attributed to decreased performance-based marketing and a reduction in headcount following a workforce restructuring earlier in the year. Despite these cost savings, the company reported a net loss of $4.3 million for the quarter, slightly better than the $4.4 million loss in the same quarter of 2024.

In terms of operational metrics, 1stdibs reported a GMV of $89.9 million for the second quarter, down from $91.5 million in the prior year. The number of orders also decreased to 32,819 from 33,952, although the number of active buyers increased to 64,363, up from 61,155. The company continues to focus on expanding its marketplace and enhancing user engagement, which is reflected in its strategic initiatives and product offerings.

1stdibs has also been active in managing its capital structure, with a stock repurchase program that has seen the company buy back approximately 478,000 shares for $1.8 million in the first half of 2025. As of June 30, 2025, the company had cash, cash equivalents, and short-term investments totaling $94.3 million, with an accumulated deficit of $341.5 million. Looking ahead, 1stdibs anticipates continued operating losses as it invests in growth initiatives, but management believes that its current financial resources will be sufficient to fund operations for at least the next 12 months. The company remains focused on navigating the challenges posed by the current economic environment while positioning itself for future growth.