8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

November 7, 2023

Date of Report

(Date of earliest event reported)

COUPANG, INC.

(Exact name of registrant as specified in its charter)

Delaware	001-40115	27-2810505
(State or other jurisdiction of incorporation)	(Commission File Number)	(I.R.S. Employer Identification Number)

720 Olive Way, Suite 600

Seattle, Washington 98101

(Address of principal executive offices, including zip code)

(206) 333-3839

(Registrant’s telephone number, including area code)

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Class A Common Stock, par value $0.0001 per share	CPNG	New York Stock Exchange
(Title of Each Class)	(Trading Symbol)	(Name of Each Exchange on Which Registered)

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02 Results of Operations and Financial Condition.

On November 7, 2023, Coupang, Inc. released its financial results for the third quarter 2023. A copy of the press release is attached as Exhibit 99.1 to this current Report on Form 8-K and is incorporated herein by reference.

The information in Item 2.02 and Exhibit 99.1 attached hereto shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

Exhibit Number	Description of Exhibit
99.1	Press Release dated November 7, 2023 announcing Coupang, Inc.’s Third Quarter 2023 Financial Results.
104	Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101).

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

COUPANG, INC. (REGISTRANT)
By:	/s/ Jonathan Lee
	Jonathan Lee
	Chief Accounting Officer

Dated: November 7, 2023

EX-99.1

Exhibit 99.1

Coupang Announces Results for Third Quarter 2023

Net Revenues of $6.2 billion, up 21%YoY and18% on an FX-neutral basis

Gross Profit of $1.6 billion, up 27% YoY

Operating Cash Flow of $2.6 billion and Free Cash Flow of $1.9 billion for the trailing twelve months

SEATTLE - (BUSINESS WIRE) November 7, 2023—Coupang, Inc. (NYSE: CPNG) today announced financial results for its third quarter ended September 30, 2023.

Q3 2023 Key Financial and Operational Highlights

Consolidated Highlights:

•Net revenues were $6.2 billion, up 21% YoY on a reported basis and 18% YoY on an FX-neutral basis.

•The revenue growth rate would have been an estimated 635 bps higher than the 18% growth without the accounting change in FLC revenue, which we began recording on a net basis starting in Q2 2023.

•Gross profit increased 27% YoY to $1.6 billion.

•Gross profit margin was 25.3%, an improvement of 113 bps YoY. The accounting change in FLC revenue this quarter had a positive 140 bps impact.

•Net income was $91 million with a margin of 1.5%, an improvement of $1 million over last year.

•EPS was $0.05, consistent with the prior year.

•Adjusted EBITDA for the quarter was $239 million with a margin of 3.9%, an improvement of 10 bps over last year.

•Adjusted EBITDA for the trailing twelve months was $991 million with a margin of 4.3%, a YoY improvement of 490 bps.

•Operating cash flow for the trailing twelve months was $2.6 billion, an increase of $2.8 billion YoY.

•Free cash flow was $1.9 billion for the trailing twelve months, an increase of $2.9 billion YoY.

•Active customers surpassed 20.4 million, growing at 14% YoY.

Segment Highlights:

•Product Commerce segment net revenues was $6.0 billion, up 21% YoY on a reported basis and 18% on an FX-neutral basis.

•Product Commerce segment adjusted EBITDA was $399 million, up $160 million YoY.

•Product Commerce segment adjusted EBITDA margin was 6.7%, up 190 bps YoY.

•Developing Offerings segment (including International, Coupang Eats, Play and Fintech) net revenues was $218 million, up 41% YoY on a reported basis and 40% on an FX-neutral basis.

•Developing Offerings segment adjusted EBITDA was negative $161 million.

“Our unrelenting focus on the customer experience and operational excellence drove record results again this quarter,” said Bom Kim, Founder and CEO of Coupang. “Our revenue and active customers growth accelerated for the third consecutive quarter. Our Developing Offerings also generated over 40% revenue growth this quarter. In Taiwan, we’ve expanded Rocket Delivery and helped 12,000 small business export their products to a new market over the past year.”

“Over the past twelve months, we’ve generated a record $991 million in adjusted EBITDA, increasing margins by 490 basis points,” said Coupang’s CFO, Gaurav Anand. “We’ve expanded profitability while making investments in Developing Offerings, and we expect our consolidated margin to continue its march upwards on an annual basis.”

Coupang, Inc. Q3 2023 Earnings Release 1

Third Quarter 2023 Results

Consolidated Financial Summary

(in thousands, except net revenues per Active Customer and net income per share)	Three Months Ended September 30,
	2023		2022		% Change
Total net revenues	$	6,183,555	$	5,101,334	21	%
Total net revenues growth, constant currency(1)					18	%
Active Customers	20,421		17,992		14	%
Total net revenues per Active Customer	$	303	$	284	7	%
Total net revenues per Active Customer, constant currency(1)	$	296			4	%
Gross profit(2)	$	1,565,787	$	1,233,888	27	%
Net income	$	91,300	$	90,679	1	%
Adjusted EBITDA(1)	$	238,672	$	194,919	22	%
Net income attributable to Class A and Class B common stockholders per share, basic and diluted	$	0.05	$	0.05	—	%
Net cash provided by operating activities	$	721,639	$	58,164	NM(3)
Free cash flow(1)	$	536,237	$	(222,446)	NM(3)

Segment Information

	Three Months Ended September 30,
(in thousands)	2023		2022		% Change
Product Commerce
Net revenues	$	5,966,027	$	4,947,174	21	%
Net revenues growth, constant currency(1)					18	%
Segment adjusted EBITDA	$	399,494	$	239,222	67	%
Developing Offerings
Net revenues	$	217,528	$	154,160	41	%
Net revenues growth, constant currency(1)					40	%
Segment adjusted EBITDA	$	(160,822)	$	(44,303)	NM(3)

_________

(1)Total net revenues growth, constant currency, total net revenues per Active Customer, constant currency, and adjusted EBITDA are non-GAAP financial measures as defined by the Securities and Exchange Commission (the “SEC”). See the “Non-GAAP Financial Measures” and “Reconciliations of Non-GAAP Measures” sections herein for more information regarding our use of these measures and reconciliations to the most directly comparable financial measures calculated in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”).

(2)Gross profit is calculated as total net revenues minus cost of sales.

(3)Non-meaningful

Coupang, Inc. Q3 2023 Earnings Release 2

Webcast and Conference Call

Coupang, Inc. will host a conference call to discuss third quarter results on November 7, 2023 at 5:30 PM Eastern Time (November 8, 2023 at 7:30 AM Korea Standard Time). A live webcast of the conference call will be available on our Investor Relations website, ir.aboutcoupang.com, and a replay of the conference call will be available for at least three months. This press release, including the reconciliations of certain non-GAAP measures to their nearest comparable U.S. GAAP measures, as well as our third quarter earnings presentation, are also available on that site.

About Coupang

Coupang is one of the largest retailers in Asia, with a mission to revolutionize the everyday lives of its customers and create a world where people wonder, “How did we ever live without Coupang?” Coupang offers a variety of services, including same-day and next-morning delivery of general merchandise and groceries, delivery of prepared foods through Coupang Eats, and video streaming through Coupang Play. Coupang is headquartered in the United States, with operations and support services performed in markets including South Korea, Taiwan, Singapore, China, and India.

Investor Contact:	Media Contact:
Coupang IR	Coupang PR
ir@coupang.com	press@coupang.com

Coupang, Inc. Q3 2023 Earnings Release 3

FORWARD-LOOKING STATEMENTS

This earnings release or related management commentary may contain statements that may be deemed to be "forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the “Act”), that are intended to enjoy the protection of the safe harbor for forward-looking statements provided by the Act as well as protections afforded by other federal securities laws.

We have based the forward-looking statements contained in this report on our current expectations and projections about future events and trends that we believe may affect our industry, business, financial condition, and results of operations. Actual results and outcomes could differ materially for a variety of reasons, including, among others: the continued growth of the retail market and the increased acceptance of online transactions by potential customers, competition in our industry, managing our growth and expansion into new markets and offerings, our financial performance, our ability to retain existing suppliers and to add new suppliers, our market position, our operation and management of our fulfillment and logistics infrastructure, other legal and regulatory developments, and the impact of the global economy including inflation and foreign currency exchange rates. For additional information on other potential risks and uncertainties that could cause actual results to differ from the results predicted, please see our most recent Annual Report on Form 10-K and subsequent filings. All forward-looking statements in this earnings release or related management commentary are based on information available to Coupang and assumptions and beliefs as of the date hereof, and we disclaim any obligation to update any forward-looking statements, except as required by law. We may not actually achieve the plans, intentions, or expectations disclosed in our forward-looking statements, and you should not place undue reliance on our forward-looking statements.

Investors and others should note that we may announce material business and financial information to our investors using our investor relations website (ir.aboutcoupang.com), our filings with the SEC, webcasts, press releases, and conference calls. We use these mediums, including our website, to communicate with investors and the general public about our company, our offerings, and other issues. It is possible that the information that we make available on our website may be deemed to be material information. We therefore encourage investors and others interested in our company to review the information that we make available on our website.

Coupang, Inc. Q3 2023 Earnings Release 4

COUPANG, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(unaudited)

	Three Months Ended September 30,				Nine Months Ended September 30,
(in thousands, except per share amounts)	2023		2022		2023		2022
Net retail sales	$	5,314,683	$	4,540,393	$	15,659,829	$	13,577,665
Net other revenue	868,872		560,941		2,162,145		1,678,176
Total net revenues	6,183,555		5,101,334		17,821,974		15,255,841
Cost of sales	4,617,768		3,867,446		13,312,472		11,824,754
Operating, general and administrative	1,478,303		1,156,468		4,167,601		3,626,515
Total operating cost and expenses	6,096,071		5,023,914		17,480,073		15,451,269
Operating income (loss)	87,484		77,420		341,901		(195,428)
Interest income	50,237		15,403		123,728		26,301
Interest expense	(13,295)		(6,485)		(34,386)		(19,996)
Other (expense) income, net	(7,776)		11,224		(19,556)		2,485
Income (loss) before income taxes	116,650		97,562		411,687		(186,638)
Income tax expense	25,350		6,883		84,340		7,468
Net income (loss)	91,300		90,679		327,347		(194,106)
Net income (loss) attributable to Class A and Class B common stockholders per share:
Basic and diluted	$	0.05	$	0.05	$	0.18	$	(0.11)
Weighted-average shares used in computing net income (loss) per share attributable to Class A and Class B common stockholders:
Basic	1,784,363		1,767,275		1,779,606		1,762,465
Diluted	1,808,311		1,790,941		1,801,006		1,762,465

Coupang, Inc. Q3 2023 Earnings Release 5

COUPANG, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(unaudited)

(in thousands, except par value)	September 30, 2023		December 31, 2022
Assets
Cash and cash equivalents	$	4,857,920	$	3,509,334
Restricted cash	400,255		176,316
Accounts receivable, net	285,081		184,463
Inventories	1,640,567		1,656,851
Prepaids and other current assets	245,868		303,166
Total current assets	7,429,691		5,830,130
Long-term restricted cash	2,435		1,624
Property and equipment, net	2,200,638		1,819,945
Operating lease right-of-use assets	1,484,273		1,405,248
Long-term lease deposits and other	445,732		455,956
Total assets	$	11,562,769	$	9,512,903
Liabilities and stockholders' equity
Accounts payable	$	4,616,045	$	3,622,332
Accrued expenses	311,886		298,869
Deferred revenue	85,529		92,361
Short-term borrowings	232,094		175,403
Current portion of long-term debt	382,430		128,936
Current portion of long-term operating lease obligations	351,025		325,924
Other current liabilities	526,765		418,681
Total current liabilities	6,505,774		5,062,506
Long-term debt	527,711		537,880
Long-term operating lease obligations	1,295,117		1,233,680
Defined severance benefits and other	305,790		264,924
Total liabilities	8,634,392		7,098,990
Contingencies
Stockholders' equity
Class A common stock, $0.0001 par value, 10,000,000 shares authorized, 1,611,084 and 1,597,804 shares issued and outstanding as of September 30, 2023 and December 31, 2022, respectively; Class B common stock, $0.0001 par value, 250,000 shares authorized, 174,803 shares issued and outstanding as of September 30, 2023 and December 31, 2022	179		177
Additional paid-in capital	8,401,998		8,154,076
Accumulated other comprehensive (loss) income	(58,588)		2,219
Accumulated deficit	(5,415,212)		(5,742,559)
Total stockholders' equity	2,928,377		2,413,913
Total liabilities and stockholders' equity	$	11,562,769	$	9,512,903

Coupang, Inc. Q3 2023 Earnings Release 6

COUPANG, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(unaudited)

	Nine Months Ended September 30,
(in thousands)	2023		2022
Operating activities
Net income (loss)	$	327,347	$	(194,106)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation and amortization	197,816		174,063
Provision for severance benefits	117,243		124,056
Equity-based compensation	240,098		191,584
Non-cash operating lease expense	247,938		231,333
Other	99,594		56,536
Change in operating assets and liabilities:
Accounts receivable, net	(114,032)		(39,325)
Inventories	(86,692)		(288,761)
Other assets	(65,268)		(273,554)
Accounts payable	1,235,365		163,508
Accrued expenses	15,400		(6,359)
Other liabilities	(172,116)		(154,012)
Net cash provided by (used in) operating activities	2,042,693		(15,037)
Investing activities
Purchases of property and equipment	(662,273)		(703,074)
Proceeds from sale of property and equipment	12,461		10,600
Other investing activities	(13,898)		(25,979)
Net cash used in investing activities	(663,710)		(718,453)
Financing activities
Proceeds from issuance of common stock, equity-based compensation plan	7,826		14,998
Proceeds from short-term borrowings and long-term debt	416,508		543,185
Repayment of short-term borrowings and long-term debt	(63,654)		(337,071)
Net short-term borrowings and other financing activities	1,222		5,377
Net cash provided by financing activities	361,902		226,489
Effect of exchange rate changes on cash and cash equivalents, and restricted cash	(167,549)		(243,132)
Net increase (decrease) in cash and cash equivalents, and restricted cash	1,573,336		(750,133)
Cash and cash equivalents, and restricted cash, as of beginning of period	3,687,274		3,810,347
Cash and cash equivalents, and restricted cash, as of end of period	$	5,260,610	$	3,060,214

Coupang, Inc. Q3 2023 Earnings Release 7

Supplemental Financial Information

Share Information

	As of September 30,
(in thousands)	2023	2022
Outstanding common stock	1,785,887	1,768,943
Outstanding equity-based awards	63,594	58,259
Outstanding common stock and equity-based awards	1,849,481	1,827,202

Key Business Metrics and Non-GAAP Financial Measures

We review the key business and financial metrics discussed below. We use these measures to evaluate our business, measure our performance, identify trends affecting our business, formulate business plans, and make strategic decisions.

Key Business Metrics

Active Customers

As of the last date of each reported period, we determine our number of Active Customers by counting the total number of individual customers who have ordered at least once directly from our apps or websites in Korea during the relevant period. A customer is anyone who has created an account on our apps or websites, identified by a unique email address. The change in Active Customers in a reported period captures both the inflow of new customers as well as the outflow of existing customers who have not made a purchase in the period. We view the number of Active Customers as a key indicator of our potential for growth in total net revenues, the reach of our network, the awareness of our brand, and the engagement of our customers.

Total Net Revenues per Active Customer

Total net revenues per Active Customer is the total net revenues generated in a period divided by the total number of Active Customers in that period. A key driver of growth is increasing the frequency and the level of spend of Active Customers who are shopping on our apps or websites. We therefore view total net revenues per Active Customer as a key indicator of engagement and retention of our customers and our success in increasing the share of wallet.

	Three Months Ended September 30,
(in thousands, except net revenues per Active Customer)	2023		2022		% Change
Active Customers	20,421		17,992		14	%
Total net revenues per Active Customer	$	303	$	284	7	%
Total net revenues per Active Customer, constant currency (YoY)	$	296			4	%

Non-GAAP Financial Measures

We report our financial results in accordance with U.S. GAAP. However, management believes that certain non-GAAP financial measures provide investors with additional useful information in evaluating our performance. These non-GAAP financial measures may be different than similarly titled measures used by other companies.

Our non-GAAP financial measures should not be considered in isolation from, or as substitutes for, financial information prepared in accordance with U.S. GAAP. Non-GAAP measures have limitations in that they do not reflect all the amounts associated with our results of operations as determined in accordance with U.S. GAAP. These measures should only be used to evaluate our results of operations in conjunction with the corresponding U.S. GAAP measures.

Coupang, Inc. Q3 2023 Earnings Release 8

Non-GAAP Measure	Definition	How We Use The Measure
Adjusted EBITDA	• Net income (loss), excluding the effects of: - depreciation and amortization, - interest expense, - interest income, - other income (expense), net, - income tax expense (benefit), - equity-based compensation, - impairments, and - other items not reflective of our ongoing operations.	• Provides information to management to evaluate and assess our performance and allocate internal resources. • We believe Adjusted EBITDA and Adjusted EBITDA Margin are frequently used by investors and other interested parties in evaluating companies in the retail industry for period-to-period comparisons as they remove the impact of certain items that are not representative of our ongoing business, such as material non-cash items and certain variable charges.
Adjusted EBITDA Margin	• Adjusted EBITDA as a percentage of total net revenues.
Constant Currency Revenue	• Constant currency information compares results between periods as if exchange rates had remained constant. • We define constant currency revenue as total revenue excluding the effect of foreign exchange rate movements, and use it to determine the constant currency revenue growth on a comparative basis. • Constant currency revenue is calculated by translating current period revenues using the prior period exchange rate.	• The effect of currency exchange rates on our business is an important factor in understanding period-to-period comparisons. Our financial reporting currency is the U.S. dollar (“USD”) and changes in foreign exchange rates can significantly affect our reported results and consolidated trends. For example, our business generates sales predominantly in Korean Won (“KRW”), which are favorably affected as the USD weakens relative to the KRW, and unfavorably affected as the USD strengthens relative to the KRW. • We use constant currency revenue and constant currency revenue growth for financial and operational decision-making and as a means to evaluate comparisons between periods. We believe the presentation of our results on a constant currency basis in addition to U.S. GAAP results helps improve the ability to understand our performance because they exclude the effects of foreign currency volatility that are not indicative of our actual results of operations.
Constant Currency Revenue Growth	• Constant currency revenue growth (as a percentage) is calculated by determining the increase in current period revenue over prior period revenue, where current period foreign currency revenue is translated using prior period exchange rates.
Free Cash Flow	• Cash flow from operations Less: purchases of property and equipment, Plus: proceeds from sale of property and equipment.	• Provides information to management and investors about the amount of cash generated from our ongoing operations that, after purchases and sales of property and equipment, can be used for strategic initiatives, including investing in our business and strengthening our balance sheet, including paying down debt, and paying dividends to stockholders.
Segment Gross Profit	• Gross profit for a period attributable to each respective reportable segment.	• We believe segment gross profit and segment gross profit margin are frequently used by investors and other interested parties in evaluating companies in the retail industry for period-to-period comparisons. However, other companies may calculate segment gross profit and segment gross profit margin in a manner different from ours and therefore they may not be directly comparable to similar terms used by other companies.
Segment Gross Profit Margin	• Segment gross profit as a percentage of segment net revenues.

Coupang, Inc. Q3 2023 Earnings Release 9

Reconciliations of Non-GAAP Measures

A reconciliation of non-GAAP guidance measures to corresponding GAAP measures is not available on a forward-looking basis without unreasonable effort due to the uncertainty of expenses that may be incurred in the future. Although, it is important to note that these factors could be material to Coupang’s results computed in accordance with GAAP.

The following tables present the reconciliations from each U.S. GAAP measure to its corresponding non-GAAP measure for the periods noted:

Coupang, Inc. Q3 2023 Earnings Release 10

Constant Currency Revenue and Constant Currency Revenue Growth (YoY)

	Three Months Ended September 30,												Year over Year Growth
	2023						2022
(in thousands)	As Reported		Exchange Rate Effect		Constant Currency Basis		As Reported		Exchange Rate Effect		Constant Currency Basis		As Reported		Constant Currency Basis
Consolidated
Net retail sales	$	5,314,683	$	(132,709)	$	5,181,974	$	4,540,393	$	723,839	$	5,264,232	17	%	14	%
Net other revenue	868,872		(11,527)		857,345		560,941		89,440		650,381		55	%	53	%
Total net revenues	$	6,183,555	$	(144,236)	$	6,039,319	$	5,101,334	$	813,279	$	5,914,613	21	%	18	%
Net Revenues by Segment
Product Commerce	$	5,966,027	$	(141,996)	$	5,824,031	$	4,947,174	$	788,061	$	5,735,235	21	%	18	%
Developing Offerings	217,528		(2,240)		215,288		154,160		25,218		179,378		41	%	40	%
Total net revenues	$	6,183,555	$	(144,236)	$	6,039,319	$	5,101,334	$	813,279	$	5,914,613	21	%	18	%

	Nine Months Ended September 30,												Year over Year Growth
	2023						2022
(in thousands)	As Reported		Exchange Rate Effect		Constant Currency Basis		As Reported		Exchange Rate Effect		Constant Currency Basis		As Reported		Constant Currency Basis
Consolidated
Net retail sales	$	15,659,829	$	387,762	$	16,047,591	$	13,577,665	$	1,655,356	$	15,233,021	15	%	18	%
Net other revenue	2,162,145		53,539		2,215,684		1,678,176		204,599		1,882,775		29	%	32	%
Total net revenues	$	17,821,974	$	441,301	$	18,263,275	$	15,255,841	$	1,859,955	$	17,115,796	17	%	20	%
Net Revenues by Segment
Product Commerce	$	17,305,966	$	428,524	$	17,734,490	$	14,760,758	$	1,799,596	$	16,560,354	17	%	20	%
Developing Offerings	516,008		12,777		528,785		495,083		60,359		555,442		4	%	7	%
Total net revenues	$	17,821,974	$	441,301	$	18,263,275	$	15,255,841	$	1,859,955	$	17,115,796	17	%	20	%

Free Cash Flow

	Three Months Ended September 30,				Nine Months Ended September 30,				Trailing Twelve Months Ended September 30,
(in thousands)	2023		2022		2023		2022		2023		2022
Net cash provided by (used in) operating activities	$	721,639	$	58,164	$	2,042,693	$	(15,037)	$	2,623,169	$	(217,783)
Adjustments:
Purchases of land and buildings	(32,670)		(156,782)		(331,281)		(205,274)		(352,594)		(243,609)
Purchases of equipment	(157,980)		(126,618)		(330,992)		(497,800)		(430,867)		(627,574)
Total purchases of property and equipment	(190,650)		(283,400)		(662,273)		(703,074)		(783,461)		(871,183)
Proceeds from sale of property and equipment	5,248		2,790		12,461		10,600		15,043		11,504
Total adjustments	$	(185,402)	$	(280,610)	$	(649,812)	$	(692,474)	$	(768,418)	$	(859,679)
Free cash flow	$	536,237	$	(222,446)	$	1,392,881	$	(707,511)	$	1,854,751	$	(1,077,462)
Net cash used in investing activities	$	(151,590)	$	(288,755)	$	(663,710)	$	(718,453)	$	(793,511)	$	(887,166)
Net cash provided by financing activities	$	33,222	$	145,821	$	361,902	$	226,489	$	382,765	$	131,148

Coupang, Inc. Q3 2023 Earnings Release 11

Adjusted EBITDA and Adjusted EBITDA Margin

	Three Months Ended September 30,						Nine Months Ended September 30,						Trailing Twelve Months Ended September 30,
(in thousands)	2023			2022			2023			2022			2023			2022
Total net revenues	$	6,183,555		$	5,101,334		$	17,821,974		$	15,255,841		$	23,148,748		$	20,332,534
Net income (loss)	91,300			90,679			327,347			(194,106)			429,411			(599,085)
Net income (loss) margin	1.5		%	1.8		%	1.8		%	(1.3)		%	1.9		%	(2.9)		%
Adjustments:
Depreciation and amortization	67,393			54,424			197,816			174,063			254,718			229,677
Interest expense	13,295			6,485			34,386			19,996			41,559			27,307
Interest income	(50,237)			(15,403)			(123,728)			(26,301)			(150,225)			(29,496)
Income tax expense	25,350			6,883			84,340			7,468			75,809			8,299
Other expense (income), net	7,776			(11,224)			19,556			(2,485)			28,756			949
Equity-based compensation	83,795			63,075			240,098			191,584			310,780			247,479
Adjusted EBITDA	$	238,672		$	194,919		$	779,815		$	170,219		$	990,808		$	(114,870)
Adjusted EBITDA margin	3.9		%	3.8		%	4.4		%	1.1		%	4.3		%	(0.6)		%

Segment Gross Profit and Segment Gross Profit Margin

	Three Months Ended September 30,						Nine Months Ended September 30,
(in thousands)	2023			2022			2023			2022
Gross profit	$	1,565,787		$	1,233,888		$	4,509,502		$	3,431,087
Segment gross profit and gross profit margin:
Product Commerce	$	1,619,339		$	1,217,593		4,564,390			3,410,027
Gross profit margin	27.1		%	24.6		%	26.4		%	23.1		%
Developing Offerings	(53,552)			16,295			(54,888)			21,060
Gross profit margin	(24.6)		%	10.6		%	(10.6)		%	4.3		%

Coupang, Inc. Q3 2023 Earnings Release 12

XML

Cover	Nov. 07, 2023
Cover [Abstract]
Document Type	8-K
Document Period End Date	Nov. 07, 2023
Entity Registrant Name	COUPANG, INC.
Entity Incorporation, State or Country Code	DE
Entity File Number	001-40115
Entity Tax Identification Number	27-2810505
Entity Address, Address Line One	720 Olive Way
Entity Address, City or Town	Seattle
Entity Address, Postal Zip Code	98101
City Area Code	206
Local Phone Number	333-3839
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Title of 12(b) Security	Class A Common Stock, par value $0.0001 per share
Trading Symbol	CPNG
Security Exchange Name	NYSE
Entity Emerging Growth Company	false
Entity Central Index Key	0001834584
Amendment Flag	false
Entity Addresses [Line Items]
Entity Address, State or Province	WA
Local Phone Number	333-3839
Entity Address, Address Line One	720 Olive Way
Entity Address, City or Town	Seattle
Entity Address, Postal Zip Code	98101
City Area Code	206
Entity Address, Address Line Two	Suite 600
Document Period End Date	Nov. 07, 2023
Document Information [Line Items]
Document Type	8-K