1stdibs.com Reports Q1 2026 Financial Results with $22.4M Revenue

1stdibs.com, Inc. reported its financial results for the first quarter of 2026, revealing a net revenue of $22.4 million, a slight decrease of 1% from $22.5 million in the same period last year. The decline in revenue was attributed primarily to a decrease in Gross Merchandise Value (GMV) and the number of orders, which fell to 31,112 from 35,262 year-over-year. The company noted that macroeconomic factors, including housing market volatility and geopolitical developments, have negatively impacted its performance.

The company's cost of revenue also decreased by 8% to $5.7 million, down from $6.2 million in the prior year. This reduction was driven by lower payment processing fees and shipping expenses. As a result, 1stdibs.com achieved a gross profit of $16.7 million, reflecting a gross margin of 74.4%, an increase from 72.4% in the previous year. Operating expenses totaled $20.0 million, down from $22.6 million, leading to a loss from operations of $3.3 million, an improvement from a loss of $6.3 million in Q1 2025.

In terms of strategic developments, 1stdibs.com has been actively managing its operational costs, which included a restructuring initiative that incurred $0.5 million in expenses during the quarter. The company also repurchased 1.7 million shares of its common stock for approximately $9.4 million as part of its ongoing stock repurchase program, which has a remaining authorization of $1.0 million. The total treasury stock held by the company as of March 31, 2026, amounted to 8.9 million shares.

Operationally, the company reported a decrease in active buyers, which fell to 58,323 from 64,799 a year earlier. Despite this, 1stdibs.com is focusing on enhancing its marketplace offerings and expanding its seller base to improve engagement and transaction volumes. The company continues to invest in technology development, with expenses rising by 10% to $6.2 million, reflecting its commitment to platform enhancements.

Looking ahead, 1stdibs.com anticipates ongoing operating losses as it continues to invest in growth initiatives. The company believes its existing cash, cash equivalents, and short-term investments, totaling $85.3 million, will be sufficient to fund operations for at least the next 12 months. However, it acknowledges the potential need for additional capital to support long-term business objectives, particularly in light of competitive pressures and market conditions.