Key Points – Q2 results exceeded guidance: GMV rose 7% year over year to $96 million and revenue increased 5% to $23.3 million.
Adjusted EBITDA reached $1.3 million, or a roughly 6% margin, supported by lower operating expenses and improved conversion and order values. – Product improvements are supporting engagement despite a weak market: Conversion rose for the 11th consecutive quarter, average order value increased 10%, and the company introduced AI-powered image search, personalized recommendations, price-parity tools, shipping enhancements and a customer-service chatbot. – Management raised its full-year GMV outlook and expects continued GMV and revenue growth with positive adjusted EBITDA in 2026
However, active buyers declined 10% year over year, cash fell to $67.7 million after share repurchases and other adjustments, and positive free cash flow is now unlikely for the year. – 3 Hot Tech Stocks Poised For Double-Digit Gains 1stdibs.com (NASDAQ:DIBS) reported second-quarter results that exceeded its guidance range, with gross merchandise value (GMV) returning to year-over-year growth despite continued weakness in the luxury home-furnishings market and lower sales and marketing spending. GMV rose 7% to $96 million in the quarter ended June 30, while revenue increased 5% to $23.3 million. Adjusted EBITDA was $1.3 million, representing an approximately 6% margin, compared with a year-earlier margin that was more than 13 percentage points lower, according to Chief Executive Officer David Rosenblatt. “Our second quarter results confirm that we are on track to sustainable top-line growth and positive adjusted EBITDA,” Rosenblatt said.
The company said GMV and revenue both exceeded the high end of its outlook, while GMV growth was its strongest since the fourth quarter of 2024. Funnel Metrics Improve Despite Market Pressures Management said the company’s performance was supported by moderating traffic declines, higher conversion and larger order values. Conversion…