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Stitch Fix Soars On Earnings Growth, Touts 3 Million Active Users

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Stitch Fix Soars On Earnings Growth, Touts 3 Million Active Users

Stitch Fix Inc (NASDAQ: SFIX) shares soared more than 14 percent after reporting second-quarter earnings.

Earnings came in at 12 cents per share, up from 2 cents per share in the same quarter of last year. Sales came in at $370.3 million, up from $295.906 million year over year.

"Q2 was another strong quarter for us, delivering net revenue of $370.3 million, exceeding our guidance and representing 25% year-over-year growth," said Stitch Fix Founder and CEO Katrina Lake.

""Since becoming a public company, we have posted six consecutive quarters of over 20% growth, which demonstrates our ability to drive consistent business performance. I'm proud that we're now serving 3 million people across the U.S. and remain focused on delighting our existing clients and expanding our reach. We launched our first integrated brand campaign in February to increase awareness and consideration with new and existing clients and we're excited to connect even more people to the power of personalized styling."

Highlights

  • 3 million active clients, increase of 18 percent year over year
  • Net revenues increased 25 percent year over year
  • Net income of $12 million
  • Adjusted EBITDA of $19.2 million

"It’s a very nuanced unique company. so anything that happens to them is going to be unique to the company itself. It’s not going to be a broader statement about the state of retail or e-commerce," David Russell, Vice President at Tradestation Securities, told Benzinga earlier in the day.

"It’s really a question of are they adding customers... If they are, obviously the stock should go higher."

Stitch Fix traded up 14.4 percent to $30.87 per share at time of publication. The stock closed the regular trading session at $26.98, up nearly 5 percent for the day.

Related Links:

Why Stitch Fix Uses Artificial Intelligence To Understand Consumer Habits

The Future Of Retail? Innovative Alternatives To Traditional Shopping

Photo courtesy of Stitch Fix.

Posted-In: Katrina LakeAnalyst Color Earnings News Retail Sales After-Hours Center Movers Trading Ideas Best of Benzinga

 

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