Etsy(NYSE) ETSY

Etsy helps creative entrepreneurs sell handmade and vintage goods to shoppers worldwide. The company makes it easy for artisans to run small businesses from their homes. Buyers use the platform to find unique items that are not available in big stores.

What is for Sale?

• Etsy Marketplace: Global destination for unique, creative goods designed or curated by independent sellers; accounts for 87.8% of 2025 Gross Merchandise Sales (GMS).
• Depop: Fashion resale marketplace focused on secondhand apparel for younger shoppers; accounts for 9% of 2025 GMS.
• Seller Services: Optional tools including on-site advertising and shipping labels that help merchants manage their digital shops.
• Marketplace Services: Core transaction processing, listing fees, and payment systems required to facilitate sales between buyers and sellers.

Growth and Changing Brands

• Acquired the fashion resale platform Depop in 2021 to expand into the secondhand clothing market.
• Completed the sale of Elo7, a Brazil-based marketplace, on August 10, 2023.
• Divested the musical instrument marketplace Reverb on June 2, 2025.
• Entered an agreement on February 15, 2026, to sell Depop to eBay for $1.2 billion in cash.

What Makes Etsy Different?

The company operates an asset-light model because it does not hold any physical inventory. It focuses on the Right to Win strategy by highlighting seller stories and using machine learning to help buyers find personalized gifts among 100 million listings.

The Recent Numbers

• Revenue reached $881.6 million in Q4 2025, up 3.5% from Q4 2024.
• Free cash flow hit $347.2 million in Q4 2025, a 14% increase year-over-year.
• Net income was $110.7 million in Q4 2025, down 14.8% from $129.9 million in Q4 2024.
• Consolidated Gross Merchandise Sales—the total value of all goods sold—totaled $11.9 billion for the full year 2025.
• The company repurchased 14.4 million shares of its own stock in 2025 at a cost of $777.1 million.

The Bottom Line

Etsy has shifted its focus back to its core marketplace by divesting secondary brands like Reverb and Elo7. The company is now prioritizing artificial intelligence and loyalty programs to increase how often its 86.5 million active buyers shop on the platform.