Newegg Commerce Inc. (NASDAQ: NEGG) saw its stock price surge 5.19% in pre-market trading on Friday, following the release of its impressive first-half 2025 financial results. The e-commerce retailer specializing in technology products reported significant growth and a substantial turnaround in profitability.
Key highlights from Newegg's H1 2025 report include: - Net sales increased 12.6% year-over-year to $695.7 million - Gross Merchandise Value (GMV) rose 13.7% to $849.1 million - Adjusted EBITDA improved to $11.3 million, compared to a $7.3 million loss in H1 2024 - Average order value increased to $467 from $401 in the prior year
The company attributed its strong performance to increased demand for GPUs and other core PC components, particularly driven by the successful launches of NVIDIA GeForce RTX 50 Series and AMD Radeon RX 9000 Series graphics cards, as well as AMD Ryzen 9000X3D Series CPUs. These product releases not only boosted organic traffic but also enhanced cross-category purchasing, leading to improved gross margins. Additionally, Newegg's strategic cost optimization measures implemented throughout 2024 and 2025 contributed to the significant improvement in adjusted EBITDA.
Looking ahead, Newegg plans to expand its ABS line of PCs to include high-performance workstations and tower servers, powered by NVIDIA RTX PRO 6000 Blackwell graphic cards. The company also announced the upcoming launch of its Gamer Community and Gamer Zone initiatives, further solidifying its commitment to the gaming ecosystem.
Investors seem encouraged by Newegg's ability to navigate the ongoing tariff environment and other macroeconomic factors while delivering strong results. The company's focus on maximizing market opportunities and managing its supply chain strategies appears to be paying off, as reflected in the positive stock movement.