Etsy share goes down to 15% after the disastrous first statement of profit

Social Etsy fall into the tissue attached to the wrong neck.

In its first report closely watched profit as a public company, an online marketplace for handmade products created great disappointment, placing a huge net loss of $ 36600000 for the quarter. This is twice as much as total loss Etsy $15000000 in 2014 and jump with a relatively modest $ 500,000 net loss in the first quarter of 2014 totaled $ Etsy 58,5 млн revenue for the quarter to March.

In a statement, CEO of Etsy, Chad Dykerson played on the popularity of the company underlines its 1.4 million active merchants and 20.8 million active customers.

"We have made progress towards Etsy everyday experience to create local markets around the world to provide high energy suppliers and extend Etsy economy," said Dykerson.

Etsy faced with resistance by some members of the community who claimed that the market, as he grew up, he lost his soul.

The company piled up most of the losses for what he described as a tax linked to the recent restructuring.

In its IPO last month, Etsy has warned of two "significant deficiencies" in connection with taxes, but does not describe a specific size or scale of the problem. The company suggested some problems in its accounting for income tax, saying that would get new global head tax.

Etsy expected a few issues that can also damage its financial results for the next quarter, including plans to increase hiring and spend more money on marketing and a strong dollar, which could hurt the value of international sales.

Wall Street was not satisfied, shares fell about 15% after the close of trading. Stocks more than doubled on the first day IPO price of $ 16 per share, but it gradually ticks down since then. As the publication, the shares were hovering around $ 18 a share. Not exactly the warm welcome of a public company again.