Etsy

After two long years of shrinking sales, the core Etsy marketplace just grew again. Fourth quarter sales on Etsy.com hit 3.29 billion dollars, up 0.1 percent, while total sales across the company rose 2.4 percent to 3.59 billion dollars. Management expects growth in every single quarter of 2026, and shopping through the Etsy app grew 6.6 percent and now makes up almost half of everything sold.

Etsy keeps far more of every sale than it used to. Its cut of each transaction climbed to 24.5 percent from 22.8 percent a year ago, pushing revenue up 6.6 percent to 881.6 million dollars. The company ended the year with 1.8 billion dollars in cash, bought back 133 million dollars of its own stock in three months, and agreed to sell Depop to eBay for 1.2 billion dollars in cash.

Fewer people are shopping on Etsy than a year ago. Active buyers fell 3.4 percent to 86.5 million, and the average buyer now spends 121 dollars a year, down 0.5 percent. Sellers dropped 1.5 percent too. Charging each customer more only works for so long if the crowd keeps thinning.

Profits went the wrong way this year. Net income fell 46.3 percent for the full year to 163 million dollars, and fourth quarter profit dropped to 110.7 million dollars. Costs rose 7.4 percent while sales barely moved, and after selling Depop the company loses a business that was growing 37 percent.