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May 02, 2020

Stitch Fix Q3 2020 Earnings Report

Announced third quarter fiscal year 2020 financial results, showing a decrease in net revenue but an increase in active clients and net revenue per active client.

Key Takeaways

Stitch Fix reported a decrease in net revenue of 9% year over year, totaling $371.7 million. However, the company saw growth in active clients, reaching 3.4 million, a 9% increase year over year, and net revenue per active client increased by 6% to $498. The company experienced a net loss of $33.9 million and expects a return to positive growth in Q4.

Active clients increased to 3.4 million, up 9% year over year.

Net revenue per active client grew by 6% year over year to $498.

Net revenue totaled $371.7 million, a decrease of 9% year over year.

The company expects a return to positive growth in Q4.

Total Revenue
$372M
Previous year: $409M
-9.1%
EPS
-$0.33
Previous year: $0.07
-571.4%
Active Clients
3.4M
Previous year: 3.13M
+8.5%
Net Revenue per Active Client
$498
Previous year: $467
+6.6%
Gross Profit
$152M
Previous year: $184M
-17.8%
Cash and Equivalents
$96.8M
Previous year: $144M
-32.7%
Free Cash Flow
-$65.9M
Previous year: $4.93M
-1438.2%
Total Assets
$782M
Previous year: $591M
+32.1%

Stitch Fix

Stitch Fix

Forward Guidance

The company anticipates a return to positive growth in Q4, leveraging its business model and balance sheet.