Mercari's fiscal 2026 (ending June 2026) revenue and core operating profit grew 19% and 60% year on year, driven by 15% growth in marketplace gross merchandise value.
As more and more people switch to online platforms for used-goods trading, new users will propel the growth in marketplace apps.
Bears
The service collaboration between Yahoo Auction and Yahoo Flea Market might take away from Mercari those who prefer the flexibility to list on both auction and flea market sites.
Mercari operates the largest consumer-to-consumer secondhand goods trading platform in Japan in Mercari, with over 23 million monthly active users and over JPY 1.1 trillion in gross merchandise value in fiscal 2022. We estimate that it currently has over 40% market share in the online C2C market, making it the top platform in Japan. It operates a domestic fintech business and a C2C marketplace app business in the US as well. Domestic business roughly accounts for over 95% of its total GMV.