Coupang Q3 Revenue Rises 7% as Margins Contract and Net Loss Widens

Coupang reported higher third-quarter revenue but a sharp deterioration in profitability, as weaker Product Commerce earnings and costs related to a fulfillment-center fire weighed on results.

Total net revenue rose 7% year over year to $9.96 billion for the three months ended September 30, 2026. On a constant-currency basis, revenue increased 11%. However, gross profit fell 6% to $2.56 billion, or 3% on a constant-currency basis, while gross margin contracted 364 basis points to 25.7%.

The company recorded $95 million of fulfillment-center fire-related costs in gross profit. Excluding those costs, gross profit would have been $2.66 billion and gross margin would have been 26.7%.

The net loss attributable to Coupang stockholders was $501 million, compared with net income of $95 million a year earlier. Excluding a $180 million tax-affected loss related to the fire, the company said the quarterly net loss would have been $321 million.

Adjusted EBITDA, which excludes the fire losses and other specified items, declined by $297 million to $116 million. The corresponding margin fell to 1.2% from 4.5% a year earlier.

Product Commerce margins narrow

Product Commerce remained Coupang’s largest segment, generating $8.37 billion of quarterly revenue. That represented 5% reported growth and 8% growth on a constant-currency basis. Active customers increased 2% to 25.2 million.

Segment adjusted EBITDA fell to $385 million from $705 million. Its adjusted EBITDA margin declined 424 basis points to 4.6%, showing that revenue and customer growth did not translate into comparable earnings growth during the quarter.

Product Commerce gross profit was $2.38 billion, down 7% as reported and 5% on a constant-currency basis.

Developing Offerings sustain faster growth

Developing Offerings produced $1.59 billion of revenue, up 23% year over year and 27% on a constant-currency basis. The segment’s gross profit increased 19% to $185 million.

Its adjusted EBITDA loss narrowed by $23 million to $269 million from $292 million a year earlier. The adjusted EBITDA margin was negative 16.9%, compared with negative 22.7% in the prior-year period.

The trailing-12-month picture remained less favorable. Developing Offerings’ revenue grew 26% to $5.77 billion, but its adjusted EBITDA loss widened by $304 million to $1.12 billion, with a negative 19.3% margin.

Cash flow weakens

For the 12 months ended September 30, total revenue increased 7% to $36.16 billion, or 11% on a constant-currency basis. Adjusted EBITDA fell to $575 million from $1.64 billion, reducing the margin to 1.6% from 4.9%.

The trailing-12-month net loss attributable to stockholders was $1.36 billion, compared with net income of $390 million in the previous comparable period. The latest result included certain administrative fines and fulfillment-center fire-related costs.

Operating cash flow declined by $1.52 billion to $845 million. Free cash flow turned negative at $409 million, compared with positive free cash flow of $1.27 billion a year earlier, as purchases of property and equipment totaled $1.26 billion.

Coupang reiterated that it prioritizes long-term cash-flow growth and uses a staged approach to capital allocation, beginning with smaller investments before directing more capital toward opportunities it believes offer the strongest long-term cash-flow potential. The presentation did not provide specific forward financial guidance.

The company identified uncertainties including the effects of past or future data incidents, regulatory investigations and fines, competition, consumer spending changes, supplier retention, fulfillment and delivery operations, expansion into new markets and offerings, taxes, litigation, tariffs, foreign-exchange movements and geopolitical events. Coupang also cautioned that actual results could differ from its expectations regarding margins, cash flow, investments and recovery from data incidents.