1stdibs.com (NASDAQ:DIBS) Releases Quarterly Earnings Results, Beats Expectations By $0.03 EPS

Key Points

• 1stdibs.com beat quarterly expectations, reporting an adjusted EPS loss of $0.03 versus the expected $0.06 loss and revenue of $23.32 million versus the $22.23 million consensus.
• Second-quarter GMV rose 7% to $96 million, while revenue increased 5% and adjusted EBITDA margin reached about 6%. Management also upgraded its 2026 outlook, citing improvements from product and AI-driven initiatives.
• The company said it is unlikely to generate positive free cash flow in 2026 because of an accounting reclassification tied to payment processor agreements, despite underlying cash generation ahead of expectations; shares rose 12.8% after the report.

1stdibs.com (NASDAQ:DIBS - Get Free Report) posted its earnings results on Wednesday. The company reported ($0.03) EPS for the quarter, beating the consensus estimate of ($0.06) by $0.03, FiscalAI reports. The firm had revenue of $23.32 million during the quarter, compared to the consensus estimate of $22.23 million. 1stdibs.com had a negative return on equity of 12.05% and a negative net margin of 12.33%.

Here are the key takeaways from 1stdibs.com's conference call:

• Q2 exceeded guidance, with GMV of $96 million up 7%, revenue of $23.3 million up 5%, and adjusted EBITDA margin of approximately 6%, more than 13 percentage points higher than a year ago.
• Management upgraded its 2026 outlook and now expects full-year and Q4 GMV growth, despite continued weakness in luxury home-furnishings demand and housing markets.
• Product initiatives across discovery, personalization, pricing, shipping, and customer service are improving conversion, average order value, and platform efficiency; AI-assisted development now represents more than 70% of new code.
• Third-quarter guidance calls for GMV of $89 million–$94 million, revenue of $22 million–$22.9 million, and adjusted EBITDA margin between negative 1% and positive 2%, reflecting seasonal weakness and a difficult comparison.
• The company said it is no longer likely to generate positive free cash flow in 2026 because of an accounting reclassification tied to payment processor agreements, although management said the underlying business is generating cash ahead of expectations.

1stdibs.com Stock Up 12.8%

Shares of NASDAQ DIBS traded up $0.56 during midday trading on Wednesday, reaching $4.93. The stock had a trading volume of 222,854 shares, compared to its average volume of 80,846. The company's 50 day moving average price is $4.46 and its 200 day moving average price is $5.03. 1stdibs.com has a twelve month low of $2.50 and a twelve month high of $6.62.

Insider Buying and Selling at 1stdibs.com

In other news, CEO David S. Rosenblatt bought 47,500 shares of the stock in a transaction that occurred on Tuesday, May 12th. The stock was acquired at an average price of $4.51 per share, with a total value of $214,225.00. Following the completion of the purchase, the chief executive officer directly owned 712,802 shares of the company's stock, valued at approximately $3,214,737.02. This represents a 7.14% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is available at this link. 24.21% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On 1stdibs.com

Several large investors have recently added to or reduced their stakes in the business. Kanen Wealth Management LLC bought a new position in shares of 1stdibs.com during the 4th quarter worth approximately $7,018,000. Millennium Management LLC lifted its position in shares of 1stdibs.com by 28.7% during the 4th quarter. Millennium Management LLC now owns 311,153 shares of the company's stock valued at $1,864,000 after acquiring an additional 69,412 shares during the period. Acadian Asset Management LLC boosted its stake in 1stdibs.com by 5.6% during the first quarter. Acadian Asset Management LLC now owns 286,063 shares of the company's stock worth $867,000 after acquiring an additional 15,206 shares in the last quarter. Jane Street Group LLC grew its holdings in 1stdibs.com by 391.9% in the fourth quarter. Jane Street Group LLC now owns 281,587 shares of the company's stock worth $1,687,000 after purchasing an additional 224,341 shares during the period. Finally, Goldman Sachs Group Inc. increased its stake in 1stdibs.com by 182.3% in the fourth quarter. Goldman Sachs Group Inc. now owns 249,563 shares of the company's stock valued at $1,495,000 after purchasing an additional 161,150 shares in the last quarter. Institutional investors and hedge funds own 66.97% of the company's stock.

Wall Street Analyst Weigh In

DIBS has been the topic of a number of research reports. Wall Street Zen lowered shares of 1stdibs.com from a "buy" rating to a "hold" rating in a report on Saturday, May 2nd. Weiss Ratings reiterated a "sell (d-)" rating on shares of 1stdibs.com in a report on Wednesday, June 24th. One research analyst has rated the stock with a Buy rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average price target of $7.00.

About 1stdibs.com

1stDibs.com is an online marketplace specializing in high-end furniture, fine art, jewelry, watches, fashion and decor. The platform curates offerings from independent dealers, galleries and luxury brands, enabling vetted sellers to reach discerning buyers around the world. Headquartered in New York with an additional office in Paris, 1stDibs has built a reputation for quality and authenticity through rigorous seller screening and detailed item vetting.

Launched in 2001 by founder Michael Bruno, the company has grown into a leading destination for both private collectors and interior design professionals.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source