GigaCloud Technology Inc (NASDAQ: GCT) saw its stock price surge 9.90% in after-hours trading on Thursday following the release of its third-quarter financial results, which significantly exceeded analyst expectations. The company, known for its B2B e-commerce solutions for large parcel merchandise, demonstrated robust growth across key metrics despite challenging market conditions.
GigaCloud reported Q3 revenue of $332.6 million, marking a 9.7% increase year-over-year and surpassing the analyst consensus estimate of $300.96 million. The company's adjusted earnings per share (EPS) came in at $1.16, handily beating the expected $0.75 and representing an 18.37% increase from the same period last year. Net income for the quarter stood at $37.2 million, showcasing the company's ability to maintain profitability while investing in growth initiatives.
Investors were particularly encouraged by the strong performance of GigaCloud's core marketplace. The GigaCloud Marketplace GMV (Gross Merchandise Value) increased by 20.7% year-over-year to $1,488.5 million for the 12 months ended September 30, 2025. Additionally, the number of active buyers on the platform surged 33.8% to 11,419, indicating growing traction and market penetration. The company also announced plans to acquire New Classic Home Furnishings for $18 million in cash, a strategic move aimed at expanding its B2B marketplace and enhancing domestic distribution capabilities.
Looking ahead, GigaCloud provided Q4 revenue guidance in the range of $328-344 million, signaling continued growth expectations. CEO Larry Wu expressed confidence in the company's resilience and diversified business model, stating, "This quarter reaffirmed the resilience of our diversified business. Through disciplined execution and a robust, debt-free balance sheet that supports our growth initiatives, we continued to scale in a difficult environment and strengthen the foundation for long-term value creation."
The strong financial results and positive outlook appear to have reignited investor enthusiasm for GigaCloud Technology, as reflected in the significant after-hours stock price movement. As the company continues to expand its marketplace and explore strategic acquisitions, it remains well-positioned to capitalize on the growing demand for B2B e-commerce solutions in the large parcel merchandise sector.