Stitch Fix's apparel styling service

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Stitch Fix Stock Rallies After Q4 Earnings: Here's Why
Benzingaยท 2025-09-24 20:22
Core Insights - Stitch Fix, Inc. reported better-than-expected fourth-quarter results, leading to a rise in share price [1] - The company provided fiscal 2026 guidance that exceeded analyst estimates [4] Financial Performance - Quarterly losses were reported at seven cents per share, beating the consensus estimate of ten cents [1] - Quarterly revenue reached $311.22 million, surpassing the Street estimate of $305.83 million [2] - Net revenue decreased by 2.6% year-over-year, but adjusted for an extra week in the previous fiscal year, it increased by 4.4% [5] - Active clients totaled 2.309 million, reflecting a decrease of 1.9% quarter-over-quarter and 7.9% year-over-year [5] - Revenue per active client (RPAC) was $549, marking a 3% increase year-over-year [5] - Gross margin stood at 43.6%, down 100 basis points year-over-year due to transportation deleverage and lower product margins [5] Future Outlook - For the first quarter, Stitch Fix anticipates revenue between $333 million and $338 million, compared to the analyst estimate of $293.12 million [4] - The company expects fiscal 2026 revenue to be in the range of $1.28 billion to $1.33 billion, exceeding the $1.26 billion estimate [4]