Press release
Stitch Fix Announces Second Quarter of Fiscal Year 2023 Financial Results: Raises Full Year FY23 Adj. EBITDA Guidance; Announces CFO Transition
SAN FRANCISCO, March 07, 2023 (GLOBE NEWSWIRE) -- Stitch Fix, Inc. (NASDAQ:SFIX), the trusted online personal stylist, today announced its financial results
About this update from Stitch Fix, Inc.
[{"type":"text","content":"SAN FRANCISCO, March 07, 2023 (GLOBE NEWSWIRE) -- Stitch Fix, Inc. (NASDAQ:SFIX), the trusted online personal stylist, today announced its financial results for the second quarter of fiscal year 2023 ended January 28, 2023. Stitch Fix Interim CEO Katrina Lake said, “This quarter, we continued to execute on our plan to achieve profitability and preserve liquidity, delivering adjusted EBITDA of $3.8 million, which is at the high end of our guidance range. Looking forward, we will continue to invest in the advanced data science and machine learning capabilities combined with personalized styling expertise that have set us apart for more than a decade. This strategic re-focusing on our styling-first model will deliver clarity to the client experience and drive efficiency in our marketing spend. We’re proud to have helped millions of clients find clothes that make them feel their best, and we’re confident that this path will ensure that we’re attracting long-term clients to Stitch Fix and paving the way for a return to growth.” Second Quarter Key Metrics and Financial Highlights Net revenue of $412.1 million, a decrease of 20% year over yearActive clients of 3,574,000, a decrease of 445,000 or 11% year over yearNet revenue per active client (RPAC) of $516, a decrease of 6.0% year over yearNet loss of $65.6 million and diluted loss per share of $0.58Adjusted EBITDA of $3.8 million Key Business Updates Executed restructuring plan and other initiatives to realize our $135 million of cost reduction targets for FY23: raising Full Year FY23 Adj. EBITDA and tightening range to between $0 million and $10 millionOperating cash flow for the quarter was $21.1 million and free cash flow for the quarter was positive $15.4 million: our first quarter of positive free cash flow since Q1 of FY22Dan Jedda to step down as CFO to pursue another opportunity: to be succeeded by David Aufderhaar, SVP of Finance, Stitch Fix effective April 3 Financial Outlook Our financial outlook for the third quarter of fiscal 2023, which ends on April 29, 2023, is as follows: Q3’23Net Revenue$385 million - $395 million(22)% - (20)% YoY declineAdjusted EBITDA$(5) million - $5 million(1)% - 1% margin For the fiscal year ending July 29, 2023, we expect net revenue to be between $1.625 billion and $1.645 billion, and adjusted EBITDA to be between breakeven and $10 million. S...