Ozon (OZON) Q3 2024 earnings summary

Executive summary

• Total revenue rose 41% year-over-year to RUB 153.7 billion in Q3 2024, driven by service and interest revenue growth.

• Gross profit increased fivefold year-over-year to RUB 27.1 billion, reflecting improved unit economics in E-commerce and Fintech.

• Adjusted EBITDA turned positive at RUB 13.0 billion, up from negative RUB 3.9 billion in Q3 2023, with both E-commerce and Fintech segments profitable on this basis.

• Net loss for the period narrowed to RUB 0.7 billion, aided by a RUB 6.4 billion insurance payment and lower net finance expense.

• Net cash from operating activities tripled year-over-year to RUB 75.3 billion, mainly due to favorable working capital movements.

Financial highlights

• Service revenue grew 47% year-over-year, with advertising revenue up 82% and interest revenue nearly quadrupling.

• Gross profit margin as a percentage of GMV incl. services improved by 2.6 percentage points to 3.8%.

• Operating expenses rose 50% year-over-year, mainly from higher sales and marketing and technology costs.

• Net cash from operating activities increased by RUB 51.7 billion to RUB 75.3 billion in Q3 2024.

• Cash and cash equivalents reached RUB 230.5 billion as of September 30, 2024.

Outlook and guidance

• GMV incl. services is expected to grow 60% to 70% for full-year 2024 versus 2023.

• Adjusted EBITDA is projected to remain positive for full-year 2024.