Wayfair Inc. reported mixed fourth-quarter results on Tuesday, with revenue slightly beating expectations but earnings falling short, sending shares down 9.5% in early trading.

The online home goods retailer posted adjusted earnings per share of -$0.25 for the quarter, missing analyst estimates of -$0.01. Revenue came in at $3.12 billion, edging past the consensus forecast of $3.05 billion and up 0.2% YoY.

Wayfair (NYSE:W)’s active customer base declined 4.5% YoY to 21.4 million, though average order value increased to $290 from $276 a year ago. The company reported non-GAAP adjusted EBITDA of $96 million for the quarter.

“The fourth quarter was a strong conclusion to the year across multiple fronts. From a topline performance perspective, we ended 2024 on a high note – with net revenue showing positive year-over-year growth,” said Niraj Shah, CEO and co-founder of Wayfair.

For the full year 2024, Wayfair’s revenue decreased 1.3% to $11.9 billion. The company reported a net loss of $492 million for the year, narrowing from a $738 million loss in 2023.

Despite the earnings miss, Wayfair highlighted improvements in its balance sheet position. “We’re making smart, high return investments across the business, and at the same time remain committed to growing adjusted EBITDA dollars year-over-year,” Shah added.