Investor Presentaiton
Non-GAAP Measures - Constant Currency Revenue and Constant
Currency Revenue Growth
The effect of currency exchange rates on our business is an important factor in understanding period-to-period comparisons. Our financial reporting currency is the U.S. dollar ("USD") and changes in
foreign exchange rates can significantly affect our reported results and consolidated trends. For example, our business generates sales predominantly in Korean Won ("KRW"), which are favorably
affected as the USD weakens relative to the KRW, and unfavorably affected as the USD strengthens relative to the KRW. We use non-GAAP constant currency revenue and constant currency
revenue growth for financial and operational decision-making and as a means to evaluate comparisons between periods. We believe the presentation of our results on a constant currency basis in
addition to U.S. GAAP results helps improve the ability to understand our performance because they exclude the effects of foreign currency volatility that are not indicative of our actual results of
operations.
Constant currency information compares results between periods as if exchange rates had remained constant. We define constant currency revenue as total revenue excluding the effect of foreign
exchange rate movements, and use it to determine the constant currency revenue growth on a comparative basis. Constant currency revenue is calculated by translating current period revenues
using the prior period exchange rate. Constant currency revenue growth (as a percentage) is calculated by determining the increase in current period revenue over prior period revenue, where
current period foreign currency revenue is translated using prior period exchange rates.
These results should be considered in addition to, not as a substitute for, results reported in accordance with U.S. GAAP. Results on a constant currency basis, as we present them, may not be
comparable to similarly titled measures used by other companies and are not a measure of performance presented in accordance with U.S. GAAP.
coupang
(in thousands)
Total net revenues
Total net revenues growth
Adjustment:
Exchange rate effect
Total net revenues, constant currency
Total net revenues growth, constant currency...
Three Months Ended December 31,
2021
2020
$ 5,076,693
$ 3,803,493
34 %
Year Ended December 31,
2021
2020
$ 18,406,372
100 %
$ 11,967,339
54 %
91 %
218,333
$ 5,295,026
$
(123,028)
3,680,465
(555,755)
147,840
39 %
$ 17,850,617
93 %
$ 12,115,179
49 %
93 %
19View entire presentation