Coupang reported third-quarter revenue rose 18% to $9.3 billion, but shares declined 2.3% in after-hours trading as investors questioned the profitability timeline for the company’s Taiwan expansion. The Seoul-based e-commerce platform posted net income of $95 million for the period ended September 30, up from $64 million a year earlier.
The company’s core Product Commerce segment generated $8.0 billion in revenue with adjusted EBITDA reaching $705 million, reflecting margin expansion to 8.8%. Active customers grew 10% to 24.7 million. However, the Developing Offerings unit, which encompasses Taiwan operations, food delivery service Coupang Eats, and luxury platform Farfetch, recorded an adjusted EBITDA loss of $292 million despite revenue jumping 32% to $1.3 billion.
Management attributed deteriorating profitability to accelerated investment in Taiwan, where the company faces entrenched local competitors including Momo and PChome, alongside regional players Shopee and Temu. Operating cash flow for the trailing twelve months reached $2.4 billion.
Coupang maintained full-year guidance for approximately 20% constant-currency revenue growth but acknowledged an elevated effective tax rate of 60-65% for 2025, well above the targeted 25% long-term range, due to losses in early-stage international markets.
