Stitch Fix Inc Stock Up as Q3 Revenue Soars 29%, Tops Expectations

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Stitch Fix Inc (NASDAQ:SFIX) reported its latest quarterly earnings results after the bell Thursday, which were well ahead of what analysts were calling for.

Stich Fix Inc

For its third quarter of fiscal 2018, the online subscription and personal shopping service announced revenue of $316.7 million, which was better than the $306.4 million that analysts were calling for. The figure was also a 29% improvement compared to its year-ago sales totals.

On the earnings front, Stitch Fix also impressed with an adjusted profit of 9 cents per share. The figure was triple what the Wall Street consensus estimate was calling for at 3 cents per share.

For the period, its cost of goods sold reached $178.5 million, up from the 43% it had in the third quarter of fiscal 2017. Its advertising spending reached $25.2 million, an improvement over the $21.3 million from the third quarter of 2017.

Stitch Fix’s advertising spending was $25.2 million, up from the $21.3 million from the year-ago quarter. The company’s active client base reached 2.7 million by the end of the quarter, a 30% improvement from the year-ago total of $2.5 million.

For its fourth quarter of fiscal 2018, Stitch Fix projects revenue in the range of $310 million to $320 million (midpoint guidance of $315 million), ahead of analysts’ expectations of $314 million.

SFIX stock fell about 4.7% during regular trading hours, but soared about 6% after the bell on its earnings beat.


Article printed from InvestorPlace Media, https://investorplace.com/2018/06/stich-fix-inc-sfix/.

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