Etsy Stock Crashes After Reporting Huge Quarterly Loss
Etsy's stock tumbled as much as 18 Tuesday after the online crafts marketplace delivered weak quarterly results. The company reported a quarterly loss of 36.6 million, a seven-fold increase from the 500,000 loss in the same quarter one year ago, the Wall Street Journal reports. Etsy blamed the bigger loss on a tax provision linked to corporate restructuring. Esty also reported a 44 increase in quarterly revenue to 58.5 million, narrowly missing Wall Street forecasts of 59 million. The results were Etsy's first quarterly report since going public on April 16. On the first day of trading, the company's shares opened at 31, about double its IPO price of 16. In after-hours, following the earnings report Tuesday, Etsy's stock plunged to around 17. The shares had closed at 21 in regular trading.