SEOUL, Nov. 12 (Korea Bizwire) — South Korean e-commerce giant Coupang Inc. on Friday reported a sharp increase in net losses for the third quarter despite record-high sales revenue, due largely to operational costs and investment.
Net losses over the July-September period came to US$323.97 million, up 87 percent from US$173 million a year before, the New York-listed e-commerce behemoth said in a regulatory filing.
Sales jumped 48 percent year-on-year to a record $4.64 billion. Operating losses came to $315.11 million, up from $216.24 million a year before.
Coupang attributed the larger losses to rising operating costs amid the COVID-19 pandemic.
“We invested approximately $95 million in incremental labor and operational costs, primarily related to the increase in COVID-19 cases and heightened restrictions in Korea (in the third quarter),” Coupang said in a statement.
The number of clients who have made at least one purchase in the third quarter came to 16.8 million, up 20 percent from a year earlier. Spending per one active customer came to $276 for the three months, up 23 percent from the same period on-year.
Coupang made its landmark debut on the New York stock market in March this year to expand its global presence.