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1stdibs.com, Inc. (NASDAQ:DIBS) Surpasses Q3 Earnings and Revenue Estimates

  • Earnings Per Share (EPS) of -$0.10 exceeded the estimated -$0.13, marking a positive earnings surprise of 23.08%.
  • Revenue reached approximately $21.97 million, surpassing the estimated $21.51 million and indicating a 2.15% increase over the Zacks Consensus Estimate.
  • Gross Profit rose by 9% year-over-year to $16.3 million, with a gross margin improvement to 74.3%.

1stdibs.com, Inc. (NASDAQ:DIBS), a leading online marketplace specializing in luxury design products, recently reported its third-quarter earnings for 2025, showcasing a notable performance. DIBS achieved an EPS of -$0.10, surpassing the estimated EPS of -$0.13. This marks a positive earnings surprise of 23.08%, as highlighted by Zacks.

The company's revenue for the quarter was approximately $21.97 million, exceeding the estimated $21.51 million. This represents a 2.15% increase over the Zacks Consensus Estimate. Compared to the same quarter last year, revenue increased from $21.19 million, reflecting a consistent growth trend. DIBS has consistently exceeded consensus revenue estimates over the past four quarters.

Despite a negative price-to-earnings (P/E) ratio of -7.29, DIBS shows resilience in its financial metrics. The price-to-sales ratio of 1.67 indicates that investors are willing to pay $1.67 for every dollar of sales. The enterprise value to sales ratio is close at 1.63, suggesting a similar valuation perspective. However, the enterprise value to operating cash flow ratio is significantly negative at -59.21, highlighting challenges in generating positive cash flow.

DIBS's gross profit rose by 9% year-over-year, reaching $16.3 million, with a gross margin improvement to 74.3% from 71.0% in the third quarter of 2024. Despite recording a GAAP net loss of $3.5 million, the company maintains a strong liquidity position with a current ratio of approximately 3.87. This suggests that DIBS is well-positioned to cover its short-term liabilities.

The company's debt-to-equity ratio stands at about 0.22, indicating a relatively low level of debt compared to equity. This financial stability, combined with its strong liquidity, positions DIBS favorably in the competitive Zacks Internet - Commerce industry. Over the past four quarters, DIBS has exceeded consensus EPS estimates three times, demonstrating its ability to outperform market expectations.