Coupang (CPNG) Q4 2025 earnings summary

Executive summary

• Q4 2025 net revenues reached $8.8 billion, up 11% year-over-year (14% FX-neutral), with Product Commerce and Developing Offerings both contributing.

• Full-year 2025 net revenues totaled $34.5 billion, up 14% year-over-year (18% FX-neutral).

• Q4 gross profit was $2.5 billion, up 2% year-over-year, but gross profit margin declined by 248 bps.

• Q4 operating income was $8 million, down $171 million year-over-year after adjustments; net loss attributable to stockholders was $26 million.

• The Q4 data breach impacted over 33 million user accounts, leading to customer churn, operational challenges, and a $1.2 billion customer compensation program.

Financial highlights

• Product Commerce segment Q4 net revenue was $7.4 billion, up 8% year-over-year (12% FX-neutral); full-year $29.6 billion, up 11%.

• Developing Offerings Q4 net revenue was $1.4 billion, up 32% year-over-year; full-year $4.9 billion, up 38%.

• Q4 consolidated adjusted EBITDA was $267 million (3.0% margin), down 37% year-over-year; full-year adjusted EBITDA was $1.5 billion (4.3% margin), up 8%.

• Q4 free cash flow was $(278) million; full-year free cash flow was $527 million, nearly 50% lower year-over-year due to the data incident and higher capex.

• 8.8 million shares repurchased in 2025 for $243 million.

Outlook and guidance

• Management expects muted growth and profitability trends in the near term, with recovery anticipated as the year progresses.

• Q1 2026 consolidated constant currency revenue growth expected in the 5%-10% range.

• Annual consolidated EBITDA margin expansion trend will be disrupted in 2026; long-term target is above 6.5%.

• Developing Offerings projected to incur $950 million to $1 billion in adjusted EBITDA losses in 2026.

• Key drivers for future margin expansion include efficiency, supply chain optimization, and scaling accretive offerings.