BlackRock, Inc., the world’s largest asset manager, has reported a highly successful third quarter for 2024, marked by strong financial growth. The firm’s total assets under management (AUM) surged to a record $11.5 trillion, driven by $221 billion in net inflows during the quarter. This represents a significant year-over-year increase of $2.4 trillion in AUM, showcasing BlackRock's continued leadership in the asset management industry.
News: stock, crypto, macro, education
Coupang Announces Impressive First Quarter 2024 Results Despite Market Reaction
SEATTLE, May 7, 2024 — Coupang, Inc. (NYSE: CPNG), a dynamic player in the global e-commerce landscape, today reported a robust first quarter for 2024, demonstrating strong revenue and profit growth across its segments. Despite these positive trends, the company's stock fell by 5.1% in after-hours trading.
Strong Growth in Revenue and Profits
Exceptional Revenue and Customer Growth
Coupang’s net revenues saw a significant increase, reaching $7.1 billion, marking a 23% year-over-year (YoY) increase on a reported basis and a 28% increase on an FX-neutral basis. Even excluding Farfetch, revenue growth was a healthy 18% YoY. The Product Commerce segment alone generated $6.5 billion in revenues, up 15% YoY, and active customers in this segment grew to 21.5 million, a 16% increase from the previous year.
Substantial Gains in Gross Profit
The company's gross profit surged to $1.9 billion, a 36% increase YoY, with the gross profit margin improving by 260 basis points to 27.1%. This growth is attributed to improved operational efficiencies and scaling benefits.
Financial Performance Metrics
Earnings and Cash Flow Insights
Despite robust top-line growth, net income attributable to Coupang stockholders was $5 million, a decrease from $91 million in the previous year, primarily impacted by losses at Farfetch. The diluted earnings per share (EPS) fell to $0.00, a decrease of $0.05, again affected by Farfetch's performance. Adjusted earnings per diluted share remained stable at $0.05.
Operating cash flow for the trailing twelve months was a solid $2.4 billion, with free cash flow also showing a strong performance at $1.5 billion, reflecting a $1.0 billion increase YoY.
Adjusted EBITDA Performance
Adjusted EBITDA for the quarter stood at $281 million with a margin of 3.9%, slightly down by 20 basis points YoY. However, excluding Farfetch, adjusted EBITDA was higher at $312 million with a margin improvement to 4.6%.
Segment-Specific Highlights and Challenges
Product Commerce Achieves Solid Growth
The Product Commerce segment continued its growth trajectory, with adjusted EBITDA increasing to $467 million from $288 million the previous year, and the EBITDA margin expanding by 210 basis points to 7.2%.
Developing Offerings Faces Headwinds
The Developing Offerings segment, which includes Coupang Eats and Farfetch, saw dramatic revenue growth of 337% YoY on a reported basis. However, this segment faced challenges, posting an adjusted EBITDA loss of $186 million, influenced by integration and expansion costs, including a negative impact from Farfetch.
Forward-Looking Statements
Strategic Focus and Market Outlook
CFO Gaurav Anand emphasized Coupang's commitment to enhancing customer experience and operational excellence. The company anticipates that Farfetch will approach a break-even adjusted EBITDA by the end of 2024, reflecting positive prospects despite current losses. Coupang continues to target significant market opportunities in Korea and Taiwan, focusing on long-term growth and market penetration.
More articles
BlackRock Q3 2024 Earnings: AUM Reaches New Heights Amid Strong Inflows
Wells Fargo Q3 2024 Earnings Report: Profit Declines Amid Lower Interest Income, Investment Banking Offers Support
Wells Fargo & Co. announced its third-quarter 2024 financial results, revealing mixed performance. The bank's net income dropped by 11.3% year-over-year to $5.11 billion, while revenue fell 2% to $20.37 billion. This decline in revenue was driven primarily by an 11% drop in net interest income, which came in at $11.69 billion. Higher funding costs and customer movement towards higher-yielding deposits were key factors contributing to the lower interest income.
JPMorgan Chase Reports Strong Q3 2024 Results, Beating Expectations
JPMorgan Chase & Co. has once again exceeded market expectations with its third-quarter 2024 earnings report, delivering robust results. The bank reported a net income of $12.9 billion, a slight decrease from $13.1 billion in the same period last year. However, earnings per share (EPS) rose to $4.37, outperforming analysts' expectations of $4.01. This represented a 1% increase in EPS year-over-year, despite the minor decline in net income.
DOJ Pushes to Break Up Google as Antitrust Battle Heats Up
The U.S. Department of Justice (DOJ) has intensified its efforts against Google in a landmark antitrust case, marking a potential turning point for Big Tech regulation. This week, the DOJ revealed it is seriously considering drastic remedies to curb Google's dominance, including breaking up the tech giant's key business units such as Chrome and Android. This follows an August 2024 ruling that found Google had been illegally maintaining a monopoly over internet search and advertising.
PepsiCo Q3 2024 Earnings Report: Revenue Miss and Revised Growth Outlook
PepsiCo has announced its third-quarter earnings for 2024, revealing a mixed performance. The company reported a decline in overall revenue but managed to beat profit expectations, demonstrating resilience in several key segments despite global challenges. Here's a detailed breakdown of the report.
McCormick Reports Strong Q3 2024 Results and Raises Full-Year Outlook
McCormick & Co., a global leader in spices and flavor solutions, delivered better-than-expected Q3 2024 earnings, driving a 5% increase in its stock price. The company reported revenue of $1.68 billion, which remained flat compared to the same quarter last year but surpassed market expectations. The earnings per share (EPS) increased by 32% to $0.83, well above analysts' estimates of $0.67, reflecting strong operational performance and cost control efforts.
Paychex Reports Strong Q1 2025 Earnings with 3% Revenue Growth
Paychex, Inc. (NASDAQ: PAYX) kicked off its fiscal year 2025 with solid Q1 earnings, posting a 3% year-over-year increase in revenue, reaching $1.32 billion. The payroll and human resource services giant also delivered adjusted earnings per share (EPS) of $1.16, slightly above the consensus estimate of $1.14. This growth was primarily driven by the company's strong performance in Human Capital Management (HCM) solutions and Professional Employer Organization (PEO) services.
Nike Q1 2025 Earnings: Revenue Decline Amid Market Challenges
Nike, Inc. reported its Q1 2025 fiscal earnings on October 1, revealing a 10% decline in revenue to $11.6 billion, down from $12.9 billion in the same period last year. This drop is attributed to weakening demand across major markets, notably in North America, where revenue fell by 11%, and Europe, the Middle East, and Africa, which saw a 13% decline. Greater China also posted a 4% drop in sales.
Carnival Corporation Reports Record Q3 2024 Earnings: Revenue, Net Income, and Future Outlook
Carnival Corporation, the world's leading cruise operator, posted impressive financial results for the third quarter of 2024, breaking several records and surpassing market expectations. With revenue reaching an all-time high of $7.9 billion, a 15% increase year-over-year, Carnival demonstrated a strong recovery and continued growth in the cruise industry. This financial achievement exceeded the expected $7.83 billion forecast, signaling robust consumer demand for cruises despite inflationary pressures.
Alibaba's Recent Surge and Key Developments in Late September 2024
In the final week of September 2024, Alibaba's stock surged over 20%, reaching its highest point in a year. This impressive growth stems from a combination of strategic innovations, favorable regulatory changes, and broader economic support in China.
