Coupang loses $1.54 billion in 2021, missing expectations

Coupang office in Songpa District, southern Seoul [NEWS1]

Coupang reported a net loss of $1.54 billion in 2021 in its first full-year results as a New York Stock Exchange-listed company.

The loss per share was $1.08, higher than Wall Street estimates of $0.82.

Results were released on Wednesday after the market close.

Annual revenue was $18.4 billion, up 54 percent on year and matching the consensus compiled by Zacks Investment Research. Operating loss was $1.5 billion, compared to a $516 million loss the previous year.

In 2020, the company reported a net loss of $463 million.

Coupang has never reported a profit since starting as a business in 2010.

On a quarterly basis, the e-commerce company reported a net loss of $405 million compared to a loss of $82.8 million a year earlier.

Revenue was $5.1 billion up 34 percent on year, but lower than Wall Street expectations of $5.18 billion.

Revenue rose 9.82 percent on quarter, compared to 3.7 percent on-quarter growth in the third quarter and a 6.44 percent on-quarter growth in first quarter.

The number of active customers rose 21 percent on year to 17.9 million, up 6.62 percent on quarter, compared to a 1.17 percent on-quarter decline in the third quarter and a 6.44 percent on-quarter rise in the first quarter.

Net revenue per active customer was $283, up 11 percent on year.

Delaware-incorporated Coupang Inc. owns Korea's Coupang Corp., the Coupang Play streaming service and Coupang Eats, a restaurant delivery service.

"Eats has been the fastest growing service in our history," the company said during a conference call, "and it is growing to what we believe is the leader in the fast delivery category."

"The fast delivery model is what we believe will win the space, and it has in other markets that we started. We're also excited about the growth potential that still remains. Last quarter, 70 percent of our active customers didn't place a single order on Eats. We believe that our culture of excellence will help build the right foundation for efficient and ultimately profitable growth there."

Coupang added that it is insured on property losses from the fulfillment center fire in June last year, but no insurance recoveries were recognized in the regulatory filling.

Coupang shares were sold in an initial public offering last year at $35.00 and opened on Mar. 11 at $63.50. Shares closed at $25.41 on Wednesday, down 60 percent from the debut price.

BY LEE TAE-HEE [lee.taehee2@joongang.co.kr]