Etsy Inc (NASDAQ:ETSY) reported Q1 financial results with both revenue and EPS missing estimates. Revenue was $645.954 million against an estimate of $646.33 million, and EPS was 48 cents, missing the 49 cents estimate. GMS decreased by 3.7% year-over-year to $3 billion, with the Etsy marketplace contributing $2.6 billion, a 5.3% decrease. The company cited a challenging macroeconomic environment impacting discretionary spending as a key factor. Etsy ended the quarter with $1.1 billion in cash and investments. The outlook for Q2 GMS is expected to be similar to Q1, with potential for a modest acceleration in the second half of the year. Etsy shares dropped 13.56% after hours to $60.28.