- General
- October 2, 2018
- 4 minutes read
Stitch Fix falls after earnings reports
Stitch Fix Popular e-commerce subscription service Stitch Fix has seen its stock fall during in-hours trading after releasing earnings reports…
 |
| Stitch Fix |
Popular e-commerce subscription service Stitch Fix has seen its stock fall during in-hours trading after releasing earnings reports which although showed an increase in its customer number and revenues, fell short of analyst estimates which led to an over 21% tumble on the public markets.
The company’s active clients number grew 25% to a 2.7 million count by the end of its fiscal fourth quarter, This falls quite short of several analyst expectations of 2.81 million active clients by this period.
Stitch Fix is also now gearing for the international market with an expansion into the U.K. now set and expected to happen bu next year’s end.
“We believe our ability to create a uniquely personalized shopping experience is something that will resonate with consumers and brands outside of the U.S. We can’t wait to show our first UK clients how effortless, convenient and fun Stitch Fix is.” Stitch Fix founder and CEO Katrina Lake said in a statement.
 |
| image credit : Wikipedia/Daniel G. Wells III via CC License |
Net revenue came at $318.3 million, a 23% year-over-year increase, Net income came at $18.3 million for the quarter while its 2.7 million active client number counts as a 25% year-over-year increase. For the full year, Net revenue came as $1.2 billion while net income stood at $44.9 million.
“Q4 was another strong quarter for us,” CEO Katrina Lake stated. “We grew our active client count 25% year over year and delivered $318.3 million in net revenue and $11.1 million in adjusted EBITDA. In our first year as a public company, we have demonstrated our ability to transform the shopping experience while consistently delighting our clients across Women’s, Men’s and Kids. I’m proud of our results, and excited for the future. This is just the beginning for Stitch Fix.”
