Coupang stands as one of the fastest-growing technology and commerce companies globally, revolutionizing the way customers shop through innovative retail, logistics, and fintech solutions. Headquartered in Seoul, South Korea, with significant operations in the United States and other regions, Coupang has established itself as a dynamic player in the e-commerce landscape.
Table of Contents
The company offers a wide range of services, including online retail, restaurant delivery, video streaming, and financial services, catering to millions of customers worldwide. Known for its customer-centric approach and cutting-edge logistics network, Coupang delivers unparalleled convenience, speed, and reliability.
Company Profile
Coupang is a technology-driven commerce giant that provides a seamless shopping experience through its integrated ecosystem of retail, logistics, and financial services. The company operates primarily in South Korea but has expanded its footprint to include operations in the United States, United Kingdom, and other international markets. Coupang’s mission is to redefine convenience for customers by offering rapid delivery, competitive pricing, and a vast selection of products and services.
The company’s core offerings include:
- Online Retail: A marketplace and owned inventory model, providing everything from electronics to groceries.
- Logistics and Fulfillment: Proprietary logistics infrastructure, including Fulfillment & Logistics by Coupang (FLC), ensuring same-day or next-day delivery.
- Restaurant Delivery: Coupang Eats, a food delivery service connecting customers with local restaurants.
- Video Streaming: Coupang Play, a streaming platform offering movies, TV shows, and exclusive content.
- Fintech Services: Coupang Pay, a digital payment solution enhancing transaction convenience.
Coupang’s commitment to small and medium-sized enterprises (SMEs) is evident through its support for merchants via private label brands and fulfillment services. The company leverages advanced technology, including artificial intelligence (AI), to personalize customer experiences and optimize operations. With a focus on scalability, Coupang continues to invest in new geographies, offerings, and infrastructure to drive growth.
Business Segments
Coupang operates through two primary reportable segments: Product Commerce and Developing Offerings. These segments encompass the company’s core and emerging businesses, each contributing to its revenue stream. Below is a detailed breakdown of each segment, including their revenue contributions for 2024.
1. Product Commerce
- Description: This segment includes Coupang’s core retail operations, comprising both owned inventory and third-party marketplace offerings. It also includes Rocket Fresh (fresh grocery delivery) and advertising products associated with these offerings. Product Commerce is the backbone of Coupang’s business, driving the majority of its revenue through a vast selection of products, competitive pricing, and rapid delivery.
- Key Features:
- Owned Inventory: Coupang directly sources and sells products, ensuring quality and availability.
- Marketplace: A platform for third-party merchants to sell directly to customers, supported by Coupang’s logistics network.
- Rocket Fresh: A specialized grocery delivery service offering fresh produce and essentials with same-day or next-day delivery.
- Advertising Products: Targeted advertising solutions for merchants to enhance product visibility.
- Revenue Contribution (2024): $26,699 million, representing 88.2% of total net revenues.
- Adjusted EBITDA (2024): $2,006 million, reflecting a 30% increase from 2023, driven by operational efficiencies and scale.
- Growth Drivers: Increased active customers, higher net revenues per active customer, and enhanced logistics capabilities.
2. Developing Offerings
- Description: This segment includes emerging businesses such as Coupang Eats (restaurant delivery), Coupang Play (video streaming), international operations, and the recently acquired Farfetch business. These offerings are in growth phases, focusing on market expansion and innovation.
- Key Features:
- Coupang Eats: A food delivery service connecting customers with restaurants, competing with regional players.
- Coupang Play: A streaming platform offering entertainment content, with increasing subscriber engagement.
- International Operations: Expansion into markets outside South Korea, including the U.S. and U.K.
- Farfetch: A luxury e-commerce platform acquired in January 2024, adding premium fashion to Coupang’s portfolio.
- Revenue Contribution (2024): $3,569 million, representing 11.8% of total net revenues.
- Adjusted EBITDA (2024): ($631) million, reflecting investments in growth initiatives, partially offset by improved profitability in Coupang Eats.
- Growth Drivers: Rapid expansion of Coupang Eats, content investments in Coupang Play, and integration of Farfetch.
Revenue Breakup (2024)
| Segment | Revenue ($ millions) | Percentage of Total Revenue |
|---|---|---|
| Product Commerce | 26,699 | 88.2% |
| Developing Offerings | 3,569 | 11.8% |
| Total | 30,268 | 100% |
Analysis: Product Commerce remains the dominant revenue driver, benefiting from Coupang’s established logistics and customer base in South Korea. Developing Offerings, while currently loss-making, reflect Coupang’s strategic investments in high-growth areas, with Farfetch contributing $85 million in 2024.
Products and Services Offered
Coupang offers a diverse portfolio of products and services, catering to various consumer needs. Below is a comprehensive list of offerings, along with their revenue contributions for 2024.
1. Net Retail Sales
- Description: Revenue from Coupang’s online product sales, primarily through owned inventory. This includes a wide range of products, from electronics and apparel to household goods.
- Details:
- Products are sourced directly by Coupang, ensuring quality control and competitive pricing.
- Supported by Coupang’s proprietary logistics network for rapid delivery.
- Revenue (2024): $23,866 million, representing 78.8% of total net revenues.
- Growth: Increased by 12.5% from $21,223 million in 2023, driven by higher customer demand and expanded product offerings.
2. Third-Party Merchant Services
- Description: Revenue from services provided to third-party merchants on Coupang’s marketplace, including commissions, logistics, and advertising.
- Details:
- Merchants benefit from Coupang’s Fulfillment & Logistics by Coupang (FLC) services, enabling fast delivery.
- Advertising tools enhance product visibility and sales.
- Revenue (2024): $5,624 million, representing 18.6% of total net revenues.
- Growth: Increased by 98.8% from $2,830 million in 2023, reflecting strong merchant adoption and marketplace expansion.
3. Other Revenue
- Description: Revenue from additional services, including subscription-based offerings (e.g., WOW membership), Coupang Eats, Coupang Play, and other emerging services.
- Details:
- WOW Membership: A subscription service offering benefits like free shipping and exclusive discounts.
- Coupang Eats: Restaurant delivery service with a focus on speed and variety.
- Coupang Play: Streaming service with growing content investments.
- Revenue (2024): $778 million, representing 2.6% of total net revenues.
- Growth: Increased by 119.8% from $354 million in 2023, driven by Coupang Eats and Coupang Play growth.
Revenue Breakup by Product/Service (2024)
| Product/Service | Revenue ($ millions) | Percentage of Total Revenue |
|---|---|---|
| Net Retail Sales | 23,866 | 78.8% |
| Third-Party Merchant Services | 5,624 | 18.6% |
| Other Revenue | 778 | 2.6% |
| Total | 30,268 | 100% |
Analysis: Net Retail Sales dominate due to Coupang’s strong retail presence in South Korea. Third-Party Merchant Services are growing rapidly, reflecting the scalability of the marketplace model. Other Revenue, though smaller, shows significant growth potential in emerging services.
Company History
Coupang was founded in 2010 with a vision to transform the e-commerce landscape through technology and customer-centric innovation. Below is a comprehensive timeline of its evolution:
- 2010: Founding: Coupang was established in Seoul, South Korea, by Bom Kim, focusing on a group-buying model inspired by Groupon. The company quickly pivoted to a broader e-commerce platform to meet growing consumer demand.
- 2014-2018: Logistics Revolution: Coupang invested heavily in its proprietary logistics network, introducing same-day and next-day delivery services like Rocket Delivery. This period marked significant growth in customer base and infrastructure, with multiple fulfillment centers established across South Korea.
- 2019: Expansion into New Services: Coupang launched Coupang Eats (food delivery) and began developing Coupang Play (streaming), diversifying its portfolio beyond retail.
- 2021: Initial Public Offering (IPO): Coupang went public on the New York Stock Exchange (NYSE: CPNG) in March 2021, raising significant capital to fuel expansion. The IPO was a milestone, valuing the company at over $60 billion.
- 2022: International Growth: Coupang expanded its operations to the United States and other markets, leveraging its logistics expertise to enter new geographies.
- 2024: Farfetch Acquisition: In January 2024, Coupang acquired Farfetch, a luxury e-commerce platform, for strategic expansion into the premium fashion market. This acquisition added $85 million to Developing Offerings revenue in 2024.
- Ongoing Investments: Coupang continues to invest in AI, personalization tools, and new fulfillment centers to support its global ambitions.
Key Milestones:
- Built one of the world’s most advanced logistics networks, enabling Dawn Delivery (pre-7 a.m. delivery).
- Achieved a customer base of millions, with significant growth in active customers annually.
- Expanded from a South Korea-focused retailer to a global player with operations in multiple continents.
Coupang’s history reflects its relentless focus on innovation, customer experience, and scalability, positioning it as a leader in the global e-commerce industry.
Brands
Coupang operates under several brands, each catering to specific customer needs and contributing to its revenue. Below is a detailed list of brands and their roles within the company.
1. Coupang
- Description: The core brand representing Coupang’s e-commerce platform, including retail, marketplace, and logistics services.
- Offerings: Online retail, third-party marketplace, Rocket Delivery, and advertising services.
- Revenue Contribution (2024): Primarily tied to Product Commerce, contributing $26,699 million (88.2% of total revenue).
2. Rocket Fresh
- Description: A specialized brand for fresh grocery delivery, offering produce, dairy, and essentials with rapid delivery.
- Offerings: Same-day or next-day delivery of fresh groceries, integrated with Coupang’s logistics network.
- Revenue Contribution (2024): Included in Product Commerce, contributing to the $26,699 million segment revenue.
3. Coupang Eats
- Description: Coupang’s food delivery brand, connecting customers with restaurants for quick and reliable delivery.
- Offerings: Restaurant meal delivery, with a focus on speed and variety.
- Revenue Contribution (2024): Part of Developing Offerings, contributing to the $3,569 million segment revenue (11.8% of total revenue).
4. Coupang Play
- Description: A streaming service offering movies, TV shows, and exclusive content, competing with global platforms.
- Offerings: Subscription-based video streaming with growing content investments.
- Revenue Contribution (2024): Part of Developing Offerings, contributing to the $3,569 million segment revenue.
5. Coupang Pay
- Description: Coupang’s fintech brand, providing digital payment solutions for seamless transactions.
- Offerings: Payment processing for Coupang’s ecosystem and third-party merchants.
- Revenue Contribution (2024): Included in Other Revenue ($778 million, 2.6% of total revenue).
6. Farfetch
- Description: A luxury e-commerce platform acquired in January 2024, offering premium fashion and accessories.
- Offerings: High-end fashion retail, integrated into Coupang’s Developing Offerings segment.
- Revenue Contribution (2024): $85 million, part of the $3,569 million Developing Offerings revenue.
7. Coupang Private Label Brands
- Description: Private label products developed in collaboration with SMEs, offering quality goods at competitive prices.
- Offerings: Branded products across categories like home goods, apparel, and electronics.
- Revenue Contribution (2024): Included in Net Retail Sales ($23,866 million, 78.8% of total revenue).
Revenue Breakup by Brand (2024)
| Brand | Revenue ($ millions) | Percentage of Total Revenue |
|---|---|---|
| Coupang (Product Commerce) | 26,699 | 88.2% |
| Coupang Eats | Included in 3,569 | Part of 11.8% |
| Coupang Play | Included in 3,569 | Part of 11.8% |
| Coupang Pay | Included in 778 | Part of 2.6% |
| Farfetch | 85 | 0.3% |
| Private Label Brands | Included in 23,866 | Part of 78.8% |
| Total | 30,268 | 100% |
Analysis: The Coupang brand, encompassing Product Commerce, dominates revenue due to its established retail and logistics operations. Emerging brands like Coupang Eats, Coupang Play, and Farfetch are gaining traction, reflecting Coupang’s diversification strategy.
Geographical Presence
Coupang’s operations span multiple geographies, with a strong foothold in South Korea and growing presence in international markets. Below is a detailed overview of its geographical presence and revenue contributions.
1. South Korea
- Description: Coupang’s primary market, where it generates the majority of its revenue. The company has built an extensive logistics network, including fulfillment centers and delivery infrastructure.
- Operations: Retail, marketplace, Coupang Eats, Coupang Play, Coupang Pay, and private label brands.
- Revenue Contribution (2024): Approximately 95% of total revenue ($28,755 million, estimated based on historical reliance on the Korean market).
- Key Features:
- Advanced logistics with Dawn Delivery and Rocket Delivery.
- Strong customer base with millions of active customers.
- Regulatory oversight by the Korean Fair Trade Commission (KFTC).
2. United States
- Description: Coupang has expanded into the U.S., focusing on retail and logistics services through its subsidiary, Coupang Global LLC.
- Operations: E-commerce and logistics, with potential for Coupang Eats and Coupang Play expansion.
- Revenue Contribution (2024): Part of Developing Offerings, contributing to the $3,569 million segment revenue (11.8% of total revenue).
- Key Features: Leverages U.S.-based infrastructure and partnerships with AWS for cloud services.
3. United Kingdom
- Description: Presence through the Farfetch acquisition, focusing on luxury e-commerce.
- Operations: Farfetch’s premium fashion marketplace, integrated with Coupang’s ecosystem.
- Revenue Contribution (2024): $85 million, part of Developing Offerings.
- Key Features: Targets high-end consumers with global luxury brands.
4. Other International Markets
- Description: Emerging operations in other regions, including exploratory efforts in Asia and Europe.
- Operations: Limited retail and logistics services, with plans for further expansion.
- Revenue Contribution (2024): Minimal, included in Developing Offerings ($3,569 million).
Revenue Breakup by Geography (2024)
| Geography | Revenue ($ millions) | Percentage of Total Revenue |
|---|---|---|
| South Korea | 28,755 (est.) | 95% (est.) |
| United States | Included in 3,569 | Part of 11.8% |
| United Kingdom | 85 | 0.3% |
| Other International | Minimal | Negligible |
| Total | 30,268 | 100% |
Analysis: South Korea remains Coupang’s revenue powerhouse, driven by its mature logistics and customer base. The U.S. and U.K. markets, while smaller, are critical for long-term growth, particularly through Farfetch and potential expansion of core services.
Financial Performance
Coupang’s financial performance in 2024 reflects its growth and strategic investments. Below are the consolidated financial statements, presented in tables for clarity.
Consolidated Statements of Operations (2024, 2023, 2022)
| (in millions, except per share amounts) | 2024 | 2023 | 2022 |
|---|---|---|---|
| Net Retail Sales | 23,866 | 21,223 | 18,338 |
| Net Other Revenue | 6,402 | 3,160 | 2,245 |
| Total Net Revenues | 30,268 | 24,383 | 20,583 |
| Cost of Sales | 22,080 | 18,231 | 15,872 |
| Operating, General and Administrative Expenses | 7,873 | 5,950 | 4,824 |
| Operating Income | 473 | 202 | (113) |
| Interest Income | 226 | 170 | 60 |
| Interest Expense | (128) | (98) | (74) |
| Other Income (Expense), Net | (98) | (90) | (59) |
| Income (Loss) Before Income Taxes | 473 | 184 | (186) |
| Income Tax Expense (Benefit) | 407 | (776) | (1) |
| Net Income (Loss) | 66 | 1,360 | (92) |
| Net Income (Loss) Attributable to Noncontrolling Interests | (80) | – | – |
| Net Income (Loss) Attributable to Coupang Stockholders | 146 | 1,360 | (92) |
| Earnings (Loss) Per Share – Basic | 0.08 | 0.76 | (0.05) |
| Earnings (Loss) Per Share – Diluted | 0.08 | 0.75 | (0.05) |
| Weighted Average Shares Outstanding – Basic | 1,794 | 1,782 | 1,765 |
| Weighted Average Shares Outstanding – Diluted | 1,826 | 1,803 | 1,765 |
Analysis: Coupang’s revenue grew by 24% from 2023 to 2024, driven by strong retail and merchant services growth. Net income decreased significantly due to a $776 million tax benefit in 2023, contrasted with a $407 million tax expense in 2024. Operating expenses rose due to investments in Developing Offerings.
Consolidated Balance Sheets (December 31, 2024 and 2023)
| (in millions) | 2024 | 2023 |
|---|---|---|
| Assets | ||
| Cash and Cash Equivalents | 5,879 | 5,243 |
| Restricted Cash | 151 | 353 |
| Accounts Receivable, Net | 407 | 314 |
| Inventories | 1,942 | 1,666 |
| Property and Equipment, Net | 2,262 | 1,978 |
| Operating Lease Right-of-Use Assets | 2,356 | 2,124 |
| Other Assets | 2,747 | 1,668 |
| Total Assets | 15,344 | 13,346 |
| Liabilities | ||
| Accounts Payable | 5,223 | 4,779 |
| Accrued Expenses | 673 | 556 |
| Short-Term Borrowings | 673 | 482 |
| Operating Lease Liabilities | 2,071 | 1,865 |
| Long-Term Debt | 1,071 | 1,052 |
| Other Liabilities | 2,131 | 1,105 |
| Total Liabilities | 11,167 | 9,839 |
| Redeemable Noncontrolling Interests | 75 | – |
| Equity | ||
| Common Stock | 0 | 0 |
| Additional Paid-In Capital | 8,502 | 8,206 |
| Accumulated Other Comprehensive Loss | (404) | (17) |
| Accumulated Deficit | (4,229) | (4,383) |
| Noncontrolling Interests | (1) | – |
| Total Equity | 4,102 | 4,089 |
| Total Liabilities, Redeemable Noncontrolling Interests and Equity | 15,344 | 13,346 |
Analysis: Total assets grew by 15% from 2023, driven by increases in cash, inventories, and other assets from the Farfetch acquisition. Liabilities increased due to higher borrowings and lease obligations, reflecting expansion efforts.
Consolidated Statements of Cash Flows (2024, 2023, 2022)
| (in millions) | 2024 | 2023 | 2022 |
|---|---|---|---|
| Operating Activities | |||
| Net Income (Loss) | 66 | 1,360 | (92) |
| Adjustments to Reconcile Net Loss to Net Cash Provided by Operating Activities | 1,820 | 1,292 | 824 |
| Net Cash Provided by Operating Activities | 1,886 | 2,652 | 732 |
| Investing Activities | |||
| Purchases of Property and Equipment | (1,028) | (806) | (694) |
| Other Investing Activities | (1,211) | (267) | (135) |
| Net Cash Used in Investing Activities | (2,239) | (1,073) | (829) |
| Financing Activities | |||
| Proceeds from Issuance of Common Stock | 159 | 132 | 104 |
| Other Financing Activities | 131 | (174) | (27) |
| Net Cash Provided by (Used in) Financing Activities | 290 | (42) | 77 |
| Effect of Exchange Rate Changes | (5) | 5 | (93) |
| Net Increase (Decrease) in Cash, Cash Equivalents, and Restricted Cash | (68) | 1,910 | (123) |
| Cash, Cash Equivalents, and Restricted Cash, Beginning of Period | 5,597 | 3,687 | 3,810 |
| Cash, Cash Equivalents, and Restricted Cash, End of Period | 6,031 | 5,597 | 3,687 |
Analysis: Operating cash flow decreased from 2023 due to lower net income and higher working capital needs. Investing activities reflect significant capital expenditures for expansion, while financing activities show modest cash inflows from equity issuances.
Subsidiaries, Wholly-Owned Subsidiaries, and Associates
Coupang operates through several significant subsidiaries, all of which are wholly-owned unless otherwise noted. Below is a comprehensive list of subsidiaries and their details.
Significant Subsidiaries
| Subsidiary | Jurisdiction | Ownership | Description | Revenue Contribution (2024) |
|---|---|---|---|---|
| Coupang Global LLC | Delaware, USA | 100% | Manages U.S. operations, including retail and logistics. | Included in Developing Offerings ($3,569M, 11.8%) |
| Coupang Corp. | South Korea | 100% | Core operating entity for retail, marketplace, and logistics in South Korea. | Primary contributor to Product Commerce ($26,699M, 88.2%) |
| Coupang Pay, Ltd. | South Korea | 100% | Operates fintech services, including digital payments. | Included in Other Revenue ($778M, 2.6%) |
| Coupang Fulfillment Services Ltd. | South Korea | 100% | Manages fulfillment and logistics operations. | Included in Product Commerce ($26,699M, 88.2%) |
| Coupang Logistics Service Ltd. | South Korea | 100% | Handles delivery and logistics infrastructure. | Included in Product Commerce ($26,699M, 88.2%) |
| CPLB Corp. | South Korea | 100% | Supports private label brand operations. | Included in Net Retail Sales ($23,866M, 78.8%) |
| Surpique94 Acquisition Limited | England and Wales | 100% | Parent entity for Farfetch, managing luxury e-commerce. | $85M (0.3%) |
Analysis: All subsidiaries are wholly-owned, ensuring full control over operations. Coupang Corp. drives the majority of revenue through its retail and logistics dominance in South Korea. Farfetch, acquired in 2024, adds a luxury e-commerce dimension but contributes minimally to revenue.
Physical Properties
Coupang’s physical infrastructure is critical to its logistics-driven business model. Below is a detailed overview of its physical properties.
Property and Equipment (December 31, 2024)
| Category | Useful Life | Value ($ millions) | Description |
|---|---|---|---|
| Land | – | 401 | Owned land for fulfillment centers and offices. |
| Buildings | 40 years | 794 | Fulfillment centers, warehouses, and office buildings. |
| Other Equipment | Varies | 1,067 | Logistics equipment, IT infrastructure, and vehicles. |
| Total Property and Equipment, Net | – | 2,262 | Supports retail, logistics, and administrative functions. |
Key Properties
- Fulfillment Centers (South Korea):
- Multiple state-of-the-art facilities across South Korea, enabling same-day and Dawn Delivery.
- Designed to handle high-volume inventory and rapid order fulfillment.
- Strategically located to minimize delivery times.
- Offices:
- Seoul, South Korea: Global headquarters, housing corporate functions, R&D, and executive offices.
- United States: Offices supporting Coupang Global LLC, focusing on retail and logistics operations.
- United Kingdom: Offices for Farfetch, managing luxury e-commerce operations.
- Logistics Infrastructure:
- Extensive network of delivery hubs and vehicles, supporting Rocket Delivery and Coupang Eats.
- Investments in automation and AI to enhance efficiency.
Analysis: Coupang’s $2,262 million in property and equipment reflects significant investments in logistics infrastructure, particularly in South Korea. The company plans to expand fulfillment capacity to support growth, as noted in its need for additional facilities.
Founders Details
- Name: Bom Kim
- Role: Founder and Chief Executive Officer
- Background:
- Founded Coupang in 2010 with a vision to revolutionize e-commerce through technology and logistics.
- A visionary entrepreneur with a focus on customer-centric innovation.
- Led Coupang through its IPO in 2021 and subsequent global expansion.
- Drives strategic initiatives, including the Farfetch acquisition and investments in AI and logistics.
- Contribution:
- Pioneered Coupang’s proprietary logistics network, enabling rapid delivery services like Rocket Delivery.
- Established Coupang as a leading e-commerce player in South Korea and beyond.
- Continues to guide the company’s global ambitions and diversification into new services.
Analysis: Bom Kim’s leadership has been instrumental in Coupang’s growth, transforming it from a startup to a global e-commerce leader. His focus on innovation and customer experience remains a cornerstone of Coupang’s strategy.
Board of Directors
Coupang’s Board of Directors oversees strategic and governance matters. Below is a list of key directors, with details to be incorporated by reference to the 2025 Proxy Statement.
- Bom Kim:
- Role: Chief Executive Officer and Director
- Details: Founder and CEO, leading strategic initiatives and operations.
- Other Directors:
- Specific names and roles are incorporated by reference to the 2025 Annual Meeting Proxy Statement, as noted in the Form 10-K (Item 10, Page 93).
- The board includes independent directors, with details on their roles in the Audit, Compensation, and Nominating and Corporate Governance Committees.
Compensation Policy (Non-Employee Directors):
- Annual Retainer: $50,000 cash, plus $150,000 in restricted stock units (RSUs).
- Committee Roles:
- Audit Committee Chair: $25,000
- Compensation Committee Chair: $20,000
- Nominating and Corporate Governance Committee Chair: $15,000
- Committee Members: $12,500 (Audit), $10,000 (Compensation), $7,500 (Nominating).
- Initial Awards: $300,000 in RSUs for new directors, vesting over a board-determined schedule.
Analysis: The board’s structure ensures robust governance, with independent directors overseeing critical functions. Compensation aligns with industry standards, incentivizing active participation.
Investment Details
- Farfetch Acquisition (January 2024):
- Coupang acquired Farfetch for strategic expansion into luxury e-commerce.
- Assumed $1,071 million in Farfetch Term Loans, with principal payments scheduled through 2027.
- Contributed $85 million to 2024 revenue.
- Equity Investments:
- Proceeds from common stock issuance: $159 million in 2024.
- Greenoaks and affiliates hold significant equity stakes (details in 2025 Proxy Statement).
- Debt Financing:
- Short-term borrowings: $673 million in 2024, with a weighted-average interest rate based on AAA-rated financial bonds in Korea plus 1.35%.
- Long-term debt: $1,071 million, primarily from Farfetch Term Loans.
- Revolving Credit Facility: No balance outstanding as of December 31, 2024, extended to February 2026.
Analysis: The Farfetch acquisition represents Coupang’s largest investment, adding a premium segment to its portfolio. Debt financing supports expansion, while equity issuances provide liquidity.
Future Investment Plans
Coupang’s future investment plans focus on scaling its operations and enhancing customer experience. Key initiatives include:
- Fulfillment and Logistics Capacity:
- Plans to add new fulfillment centers to support growing demand.
- Investments in automation and AI to improve efficiency.
- International Expansion:
- Continued growth in the U.S., U.K., and other markets, leveraging Farfetch and core retail operations.
- Exploration of new geographies in Asia and Europe.
- Technology and Personalization:
- Enhancing apps and websites with AI-driven personalization tools.
- Investments in Coupang Play content to compete with global streaming platforms.
- Capital Expenditures:
- $1,028 million spent on property and equipment in 2024, with plans for further investments.
- Potential issuance of debt or equity securities to fund growth, as noted in the need for additional capital.
Analysis: Coupang’s future investments prioritize scalability and innovation, with a focus on strengthening its logistics backbone and expanding its global footprint. These initiatives aim to sustain revenue growth and improve profitability in Developing Offerings.
Conclusion
Coupang has emerged as a global leader in e-commerce, driven by its innovative logistics, diverse offerings, and customer-centric approach. With a robust presence in South Korea and growing international operations, the company continues to redefine convenience through brands like Rocket Fresh, Coupang Eats, Coupang Play, and Farfetch. Its financial performance reflects strong revenue growth, supported by strategic investments in infrastructure and technology. Led by founder Bom Kim, Coupang’s future looks promising as it scales its operations and explores new markets.
