Online retailer Wayfair found its way to a fourth consecutive quarter of year-over-year revenue growth in Q3 earnings.

The home furnishings retailer’s Q3 results crushed analysts’ expectations, with revenue of $3.12 billion, up 8.1% year-over-year (9% when excluding the company’s exit from Germany’s market).

The retailer accomplished its robust quarter despite an active online customer base declining from last year. Active customers totaled 21.2 million as of Sept. 30, 2025, a decrease of 2.3% year over year.

Wayfair ranks No. 10 in the Top 2000 Database. The Top 2000 is Digital Commerce 360’s ranking of North American online retailers by their annual ecommerce sales and more. Wayfair is also the highest-ranking Housewares & Home Furnishings retailer in the Top 2000.

Wayfair Q3 earnings highlights

Other highlights from the Wayfair Q3 earnings report included:

• Last 12 months’ (LTM) net revenue per active customer was $578 as of Sept. 30, 2025, an increase of 6.1% year over year.
• Orders per customer, measured as LTM orders delivered divided by active customers, was 1.87 for Q3 2025, compared to 1.85 for Q3 2024.
• Orders delivered in Q3 2025 were 9.8 million, an increase of 5.4% year over year.
• Repeat customers placed 80.1% of total orders delivered in Q3 2025, compared to 79.9% in the third quarter of 2024.

Wayfair execs credit more than a year of work for results

Kate Gulliver, the chief financial officer at Wayfair, told CNBC that the company does not credit its Q3 growth to any macro-related factors.

“We think it’s really being driven by our share gain, and that, we believe, is really coming from a confluence of factors and initiatives that we started over a year ago that are now starting to bear fruit,” Gulliver said.

In the meantime, Niraj Shah, CEO, co-founder and co-chairman at Wayfair, told analysts during the retailer’s Q3 earnings call that the retailer had not seen a noticeable negative impact from tariffs on consumer purchases. He responded to a question on the subject, stating that Wayfair’s leadership “really have not seen any consumer behavior based on the tariffs.”

Meanwhile, new orders grew at mid-single digits for a second consecutive quarter.

“This came in tandem with more than 70% year-over-year growth in adjusted EBITDA,” Shah stated. “Our 6.7% adjusted EBITDA margin marks the highest level achieved in Wayfair’s history outside of the pandemic period.”

Shah credited some of the company’s technology investments for driving growth.

“At the turn of the decade, we made the decision to modernize our technology stack, including migration from data centers to the cloud,” he explained. “The simplest way to think about this is that by replatforming our code base, we can now be much more agile and, as a result, meaningfully ramp up the pace of innovation and what we can offer our customers and suppliers.”

What Wayfair is learning from other retailers

Greg Zakowicz, an ecommerce and retail advisor for the firm Omnisend, told Digital Commerce 360 that Wayfair is taking pages out of Amazon and Walmart’s successful online playbook.

“It’s not just about products for Wayfair,” he said. “Their story is more closely aligned with Walmart and Amazon than it may initially appear.”

Zakowicz cited Wayfair’s ad network and CastleGate logistics division.

“Growth in these areas will be critical for the company to achieve long-term profitability and sustainability in the market,” Zakowicz assessed.

However, he also said the company might not be able to count on continued robust consumer spending.

“The earnings report shows it is off to a good start, but keeping users engaged during what I expect will be a pullback on consumer spending in the new year will be a challenge, and one that can impact the more profitable lines of business,” Zakowicz stated.

On the consumer side, Zakowicz said the company is making the right moves.

“It’s all about the right product, aesthetic and price,” he added. “Wayfair often provides consumers with an alternative option for those not satisfied with the product selection on Walmart and Amazon.”

Percentage changes may not align exactly with dollar figures due to rounding. Check back for more earnings reports. Here’s last quarter’s update on Wayfair revenue.