"We are early in our WIN growth plan but continue to make progress. We reduced the year-over-year rate of revenue decline in our QxH segment despite the decline in linear television viewership, driven by revenue growth in our social and streaming platforms." said David Rawlinson, President and CEO of QVC Group. "Although we are encouraged by the progress we are making, deleveraging from our total revenue decline, tariffs and other critical investments, pressured our adjusted OIBDA."
Third quarter 2025 headlines(2):
QVC Group revenue decreased 6% in US Dollars and 6% in constant currency(3)
Generated operating income of $60 million
Operating income decreased 61% in US Dollars and decreased 62% in constant currency
Adjusted OIBDA(4) decreased 32% in US Dollars and decreased 34% in constant currency
QxH revenue decreased 7%
QVC International revenue decreased 1% in US Dollars and decreased 5% in constant currency
Cornerstone revenue decreased 8%
Discussion of Results
Unless otherwise noted, the following discussion compares financial information for the three months ended September 30, 2025 to the same period in 2024.
THIRD QUARTER 2025 FINANCIAL RESULTS
(amounts in millions)
3Q25
3Q24
% Change
% Change Constant
Currency(a)
Revenue
QxH
$ 1,416
$ 1,521
(7) %
QVC International
566
571
(1) %
(5) %
Cornerstone
231
252
(8) %
Total QVC Group Revenue
2,213
2,344
(6) %
(6) %
Operating Income (Loss)
QxH
$ 48
$ 107
(55) %
QVC International
43
57
(25) %
(28) %
Cornerstone
(9)
(2)
NM
Unallocated corporate cost
(22)
(10)
(120) %
Total QVC Group Operating Income (Loss)
60
152
(61) %
(62) %
Adjusted OIBDA (Loss)
QxH
$ 135
$ 182
(26) %
QVC International
58
70
(17) %
(21) %
Cornerstone
(2)
6
(133) %
Unallocated corporate cost
(22)
(8)
(175) %
Total QVC Group Adjusted OIBDA
$ 169
$ 250
(32) %
(34) %
________________________________________________________
a) For a definition of constant currency financial metrics, see the accompanying schedules.
QxH
QxH revenue declined primarily due to a 7% decrease in units shipped and lower shipping and handling revenue, partially offset by favorable returns and a 1% increase in average selling price. QxH reported sales declines in all categories.
Operating income and adjusted OIBDA margin( 4) decreased due to higher marketing costs, sales deleverage, higher fulfillment costs and lower product margin partially offset by favorable commission rates. Fulfillment pressure was driven by higher freight costs and sales deleverage. Product margins decreased primarily due to higher promotions and impact from increased tariffs. Operating expenses decreased due to favorable commission rates. Selling, general and administrative expenses increased due to higher marketing costs and changes to the management incentive plan partially offset by lower personnel costs.
QVC International
US Dollar denominated results were favorably impacted by exchange rate fluctuations due to the US Dollar weakening 6% against the Euro, 4% against the British pound, and 1% against the Japanese Yen. The financial metrics presented in this press release also provide a comparison of the percentage change in QVC International's results in constant currency (where applicable) to the comparable figures calculated in accordance with US GAAP for the third quarter of 2024.
QVC International's constant currency revenue declined largely due to a 4% decrease in average selling price and lower shipping and handling revenue. QVC International reported constant currency revenue growth in apparel with declines in all other categories.
Operating income and adjusted OIBDA margin decreased due to fulfillment pressure and sales deleverage partially offset by higher product margin. Fulfillment pressure is due to higher variable wage rates in Europe.
Cornerstone
Cornerstone revenue decreased 8% driven by lower units shipped reflecting softness in the home and apparel categories, partially offset by higher average selling price.
Adjusted OIBDA margin decreased primarily due to sales deleverage and lower product margin partially offset by lower selling, general and administrative costs and lower operating expenses.
THIRD QUARTER 2025 SUPPLEMENTAL METRICS
(amounts in millions unless otherwise noted)
3Q25
3Q24
% Change
% Change Constant
Currency(a)
QxH
Cost of Goods Sold % of Revenue
66.7 %
65.5 %
117 bps
Operating Income Margin (%)
3.4 %
7.0 %
(361) bps
Adjusted OIBDA Margin (%)
9.5 %
12.0 %
(247) bps
Average Selling Price
$ 52.26
$ 51.76
1 %
Units Sold
(7) %
Return Rate(b)
14.5 %
14.6 %
(10) bps
eCommerce Revenue(c)
$ 926
$ 967
(4) %
eCommerce % of Total Revenue
65.4 %
63.6 %
180 bps
Mobile % of eCommerce Revenue(d)
71.5 %
70.7 %
80 bps
LTM Total Customers(e)
7.0
7.9
(11) %
QVC International
Cost of Goods Sold % of Revenue
65.9 %
64.6 %
130 bps
Operating Income Margin (%)
7.6 %
10.0 %
(240) bps
Adjusted OIBDA Margin (%)
10.2 %
12.3 %
(205) bps
Average Selling Price
— %
(4) %
Units Sold
— %
Return Rate(b)
19.4 %
18.9 %
50 bps
eCommerce Revenue(c)
$ 303
$ 297
2 %
(2) %
eCommerce % of Total Revenue
53.5 %
52.0 %
153 bps
Mobile % of eCommerce Revenue(d)
77.2 %
76.1 %
110 bps
