Farfetch announces Q3 2021 financial results
Farfetch has confidently reported financial results for the third quarter ending September 30 2021, with a revenue increase of 33% to $583 million.
Revenue results were, however, below analysts' predictions of $591 million and together with a decrease in profit margin from 47.8% to 43.3%, caused the company's share price to fall to 22% in after-hours trading.
The company's digital platform gross merchandise value (GMV) was strong, building on a two-year growth that accelerated to 97% in Q3 2021, generating $828 million. This represents a year-over-year increase of 23%.
José Neves, Farfetch Founder, Chairman and CEO said: “I’m thrilled by Farfetch’s continued track record of delivering aggressive market share capture as we accelerated two-year stack Digital Platform GMV growth to 97% in the third quarter, and remain on track to achieve our goal of full year.
“We are seeing strong industry traction behind our platform strategy. Over 1,400 brands and retailers are not only listing more luxury products than ever, but also driving record media solutions revenue in recognition of our highly valuable customers. And with accelerating interest in our Luxury New Retail vision, Farfetch Platform Solutions is shaping up to revolutionize the digitization of the luxury experience and unlock significant potential for Farfetch.”