Overstock.com(OSTK) - 2024 Q4 - Annual Results

Financial Performance - Fourth quarter net revenue was $303 million, a decrease of 21.1% year-over-year, with total net revenue for the full year at $1.4 billion, down 10.6% year-over-year[10] - The fourth quarter net loss was $81 million, representing a 50% improvement compared to the previous year, with an adjusted EBITDA loss of $28 million, a 43% year-over-year improvement[4] - Gross profit for the fourth quarter was $70 million, or 23.0% of total net revenue, with a gross margin expansion of 380 basis points year-over-year[10] - Operating loss for the fourth quarter was $42.9 million, compared to a loss of $64.6 million in the same quarter last year[14] - The company reported a diluted net loss per share of $1.66 for the fourth quarter and $5.56 for the full year[10] - The net loss for the year ended December 31, 2024, was $258,795 thousand, a decrease from a net loss of $307,842 thousand in 2023, representing a 15.9% improvement[17] - The adjusted EBITDA for the year ended December 31, 2024, was $(143,984) thousand, compared to $(61,293) thousand in 2023, indicating a decline in operational performance[30] Customer Metrics - Active customers decreased by 4% year-over-year to 5.4 million, while orders delivered fell by 34% year-over-year to 1.7 million[10] - Active customers decreased to 5,415 in the three months ended December 31, 2024, down from 5,612 in the same period of 2023, reflecting a decline of 3.5%[24] - Last twelve months (LTM) net revenue per active customer decreased to $258 in 2024 from $278 in 2023, a decline of 7.2%[24] - Orders delivered fell to 1,675 in the three months ended December 31, 2024, compared to 2,549 in the same period of 2023, a decrease of 34.3%[24] - Average order value increased to $181 in the three months ended December 31, 2024, up from $151 in 2023, an increase of 19.9%[24] Cash Flow and Liquidity - The company ended the fourth quarter with a cash and restricted cash balance of $186 million[10] - Net cash used in operating activities for the year ended December 31, 2024, was $174,304 thousand, compared to $18,586 thousand in 2023, indicating a significant increase in cash outflow[30] - Free cash flow for the year ended December 31, 2024, was $(188,619) thousand, compared to $(37,767) thousand in 2023, reflecting a worsening cash position[30] - Net cash provided by investing activities was $24,926 thousand in 2024, contrasting with a net cash outflow of $(44,630) thousand in 2023[19] - The company reported proceeds from the sale of intangible assets amounting to $10,275 thousand in 2024, with no such proceeds reported in 2023[19] Strategic Focus - The company is focused on margin improvement and fixed cost reductions, aiming to build a profitable foundation[3] - Beyond, Inc. is ramping up its Overstock brand and refining its SKU/vendor strategy, which is expected to drive growth and profitability[4] Balance Sheet - Total liabilities decreased to $239.2 million from $276.7 million year-over-year, while stockholders' equity fell to $162.7 million from $359.1 million[13]