Stitch Fix CFO departs as quarterly sales plunge 20%
U.S. subscription fashion service Stitch Fix Inc. continued to face headwinds in its most recent quarter, with revenues plummeting 20% to $412.1 million, coinciding with news its CFO Dan Jedda will depart.
Jedda will be succeeded by David Aufderhaar, SVP of finance, Stitch Fix, effective April 3.
The San Francisco-based company said active client numbers fell 11% to 3,574,000, while net revenue per active client fell 6% to $516 year-over-year.
As a result, the company reported a net loss of $65.6 million and diluted loss per share of $0.58 for the second quarter ending January 28.
“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," said Stitch Fix interim CEO, Katrina Lake.
For the fiscal year ending July 29, Stitch Fix said it expects net revenue to be between $1.625 billion and $1.645 billion, and adjusted EBITDA to be between breakeven and $10 million.
"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."
Copyright © 2023 FashionNetwork.com All rights reserved.