NASDAQ$SFIX

Stitch Fix Inc · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Announced financial results for the third quarter of fiscal year 2023, focusing on profitability and cash flow preservation.

Stitch Fix reported Q3 2023 results with revenue of $394.9 million, a net loss of $21.8 million, and adjusted EBITDA of $10.1 million. The company is focusing on profitability and cash flow, exceeding adjusted EBITDA guidance and generating positive free cash flow of $21.9 million.

  • Delivered revenue of approximately $395 million, which is at the high end of the company's guidance range.
  • Achieved adjusted EBITDA of $10.1 million, exceeding the guidance range.
  • Generated positive free cash flow of $21.9 million and ended the quarter with $244 million of cash and investments, and no bank debt.
  • Undertook a review of operations and processes to improve efficiencies, maintain profitability and cash flow, and enhance the client experience.

Headline financials

Total Revenue

$395M

Previous: $493M-19.9%
EPS (adj)

-$0.19

Previous: -$0.72+73.6%
Active clients

3.5M

Previous: 3.9M-11.0%
Net revenue per active client

$502.00

Previous: $553.00-9.2%
Capital Expenditures

-$15.6M

Previous: -$38.7M+59.6%
Free Cash Flow

-$37.4M

Previous: -$117M+67.9%
Net Income

-$21.8M

Previous: -$78M+72.0%
Operating Income

-$24.7M

Previous: -$76.9M+67.8%
Gross Profit

$168M

Previous: $210M-20.1%
Cash & Equivalents

$194M

Previous: $138M+40.6%
Total Assets

$660M

Previous: $864M-23.6%
Stock-Based Comp

$22.6M

Previous: $31.6M-28.3%

Revenue & EPS history

Stitch Fix · Revenue · Quarterly

$395M

Q3 2023-19.9%vs Q3 2022
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Forward guidance

For the fourth quarter of fiscal 2023, Stitch Fix anticipates net revenue between $365 million and $375 million, representing a year-over-year decline of 24% to 22%. Adjusted EBITDA is projected to be between $0 million and $10 million, with a margin of 0% to 3%.

Headwinds

  • Net Revenue is expected to be $365 million - $375 million, a (24)% - (22)% YoY decline.
  • Adjusted EBITDA is expected to be $0 million - $10 million, a 0% - 3% margin.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2023

Historical avgQ3 2023

-0.2%

Avg return

Earnings day

-1.4%

Avg return

5 days after

-1.3%

Avg return

30 days after

38%

15 / 40 earnings

Positive

+45.0%

Q1 2025

Best reaction

-40.1%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026+16.7%+15.9%
Q2 2026-2.7%-5.6%-9.2%
Q1 2026+8.7%+15.6%+9.2%
Q4 2025-16.7%-22.9%-18.8%
Q3 2025-1.3%-0.3%+19.4%
Q2 2025-5.4%-15.1%-29.3%
Q1 2025+45.0%-14.4%+7.6%
Q4 2024-40.1%-25.1%-25.3%
Q3 2024+34.1%+44.4%+50.4%
Q2 2024-19.3%-21.8%-23.1%
Q1 2024-9.9%-3.9%-20.2%
Q4 2023+5.9%-3.4%+4.3%
Q3 2023+37.1%+30.4%+9.5%
Q2 2023+3.8%-0.4%-8.2%
Q1 2023-8.4%-3.7%-13.2%
Q4 2022-3.2%-14.8%-30.9%
Q3 2022-27.0%-28.4%-37.6%
Q2 2022-2.0%-3.6%-6.4%
Q1 2022-20.4%-20.1%-18.6%
Q4 2021+12.8%+20.2%-4.2%
Q3 2021+19.1%+15.4%+6.4%
Q2 2021-32.6%-26.2%-30.0%
Q1 2021+40.3%+68.9%+69.2%
Q4 2020-8.8%-9.7%+19.8%
Q3 2020-5.6%-6.1%+17.4%
Q2 2020-30.4%-41.8%-40.4%
Q1 2020+8.9%+7.4%-1.9%
Q4 2019-7.1%+1.9%+18.8%
Q3 2019+12.1%+16.5%+28.6%
Q2 2019+31.4%+24.5%+4.0%
Q1 2019-22.1%-22.8%-23.5%
Q2 2018-0.9%-10.5%-4.7%
Q4 2016-0.9%-10.5%-4.7%
Q4 2018-33.9%-39.9%-39.8%
Q3 2017+21.3%+29.4%+64.8%
Q3 2018+20.6%+16.7%+57.1%
Q2 2017-9.8%-15.4%-1.1%
Q1 2017-6.3%-0.6%-16.4%
Q1 2018-6.3%-0.6%-16.4%
Q4 2017-6.3%+3.2%-13.2%
Q3 2016
Q2 2016
Q1 2016

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