Coupang Achieves Record Sales in First Earnings Report Since US Listing... Accelerates Aggressive Management (Comprehensive)

Coupang Surpasses $4.2 Billion in Q1 Sales, Up 74% Year-on-Year

[Asia Economy Reporter Kim Cheol-hyun] Coupang, which was listed on the New York Stock Exchange this year, achieved a record-breaking quarterly revenue approaching 5 trillion won in the first quarter. This represents an increase of more than 70% compared to the previous year’s rapid growth. Although the loss scale also increased, this was largely due to one-time costs related to the initial public offering (IPO) and other factors. Since launching "Rocket Delivery" in 2014, Coupang’s growth strategy has been yielding results alongside its U.S. listing, and it is expected to accelerate investments further this year.

On the 12th (local time), Coupang announced that its first-quarter revenue reached $4.2686 billion, equivalent to 4.7348 trillion won. This is a 74% increase compared to the same period last year. This announcement marks the first quarterly earnings disclosure since its listing on the New York Stock Exchange. However, net losses also amounted to $295.033 million, or 332 billion won, representing a 180% increase from the previous year.

The first-quarter revenue growth is attributed to an increase in users. The number of active customers?those who have purchased products from Coupang at least once?was 16.037 million, a 21% increase from the same period last year. Net revenue per active customer was $262 (approximately 294,900 won), up 44% from $182 in the previous year. The increase in customers and the amount each customer spent on Coupang contributed explosively to revenue growth. Gross profit, calculated by subtracting sales costs from revenue, was $732.506 million, a 70% increase compared to the previous year.

Considering that Coupang’s revenue had been increasing and losses decreasing until last year, the expansion of net losses this time appears mainly due to one-time costs. First, Coupang spent $87 million (about 97.9 billion won) on stock compensation costs in the first quarter alone. This includes $66 million related to stock compensation expenses associated with the IPO. Coupang explained, "The increase in losses is related to investments to expand order processing center capacity, technology infrastructure, and workforce as we continuously improve services and customer experience, as well as corporate costs related to the IPO." On this day, Coupang’s stock price fell intraday to as low as $34.97, below the IPO price of $35, and closed at $35.33 per share, down 2.54% (0.92 dollars) from the previous day.

Regardless of the first-quarter loss expansion, Coupang is expected to continue large-scale investments to drive growth. After raising substantial global funds through its March listing, Coupang announced three investment and hiring plans within two months. The total investment amounts to 800 billion won in Jeollabuk-do, Gyeongsangnam-do, Chungcheongbuk-do, and other regions, with plans to directly hire about 6,500 people. Coupang has continued its investment strategy to build a nationwide logistics system by constructing logistics centers in various regions and creating thousands of jobs for local residents. To date, it has invested in more than 100 proprietary logistics and delivery centers across over 30 cities nationwide. A Coupang official stated, "We will ensure that continuous investment and job creation are evenly integrated into community development."

This content was produced with the assistance of AI translation services.