Key Highlights:

  • Total Revenue came in at USD 668 million, representing 9.3% growth for the Etsy Marketplace stand-alone driven by solid increases.
  • Full-Year GMS Guidance totaled mid-single-digit growth, reflecting an improved outlook from previous high single-digit declines in 2025.
  • Etsy Marketplace GMS stood at USD 2.6 billion, up 7.5% year over year and marking the third consecutive quarter.
  • Take Rate was reported at 25.9%, an increase of 130 basis points year over year due to machine learning-driven improvements.

Etsy, Inc. (NYSE:ETSY) is scheduled to report third quarter results on Wednesday, Oct. 28, before the market open. Consensus estimates call for adjusted earnings per share of USD 0.76 on revenue of USD 668.06 million, against a market capitalization of USD 7.84 billion.

In the most recently reported quarter, Total Revenue came in at USD 668 million, representing 9.3% growth for the Etsy Marketplace stand-alone driven by solid increases in marketplace and services revenue.

Adjusted EBITDA and Other Business Trends

Adjusted EBITDA came in at USD 195 million, reflecting a 29.2% margin and illustrating healthy revenue flow-through. Active Buyers totaled 87 million, an increase of 350,000 sequentially as gross buyer additions accelerated by 7.1%. GMS per Active Buyer stood at USD 124, up 2.8% year over year reflecting higher listing prices and a shift toward higher-quality items. Mobile App GMS was reported at 12.5% year-over-year growth, driven by deeper personalization and stronger engagement in owned marketing channels.

What Management Guided

Q3 GMS Guidance came in at USD 2.53 billion to USD 2.58 billion, representing a year-over-year growth range of 4% to 6%.

Marketplace Revenue and Capital Position

Marketplace Revenue came in at USD 456 million, growing 8.4% year over year for the core Etsy Marketplace. Services Revenue totaled USD 212 million, reflecting an 11.2% year-over-year increase for the stand-alone marketplace. New Share Repurchase Authorization stood at USD 2 billion, intended to enable the return of excess capital following the sale of Depop. Quarterly Share Buybacks was reported at USD 250 million, used to repurchase 3.9 million shares at an aggregate cost that was 70% higher than the first quarter. Workforce Reduction came in at 220 employees, representing a 12% headcount reduction focused primarily on product and engineering teams.

Restructuring Charges and Additional Detail

Restructuring Charges came in at USD 35 million, consisting mostly of cash expenditures for severance and benefits to be completed by the third quarter of 2026. Full-Year Adjusted EBITDA Margin totaled 29% to 30%, tightened upward from the previous range of 28% to 30%. Free Cash Flow Conversion stood at 81%, representing the portion of adjusted EBITDA converted to free cash flow on a continuing operations basis. Cash and Investments was reported at USD 1.3 billion, held as of June 30, 2026, prior to receiving USD 1.4 billion from the Depop sale. Gen Z and Millennial Visits came in at fivefold increase, resulting from expanded marketing investments in YouTube and TikTok channels.

Figures to Follow in the Release

Investors can watch third quarter results against the figures management has already put on record, including the following: Full-Year GMS Guidance came in at mid-single-digit growth, reflecting an improved outlook from previous high single-digit declines in 2025.