Stitch Fix shares surged as much as 11 percent Monday after the company reported quarterly earnings and sales that topped analysts’ expectations, as the personal styling service continues to add active users to its platform.
Its stock was last up a little more than 6 percent in after-hours trading, having climbed just 2.9 percent so far this year.
Stitch Fix reported fiscal first-quarter earnings of 10 cents per share, adjusted, compared with analysts’ expectations for 3 cents, based on a poll by Refinitiv.
Sales during the quarter grew 24 percent to $366 million, better than the $358 million expected by analysts.
The subscription-based styling service said its active clients grew 22 percent during the quarter to 2.9 million, slightly below the 2.95 million active users analysts were predicting.
The company said it benefited during the quarter from adding new brands like Michael Kors, Bonobos, Converse and Madewell for shoppers to choose from. In the men’s category, it added expanded sizes for clothes up to 3XL. It also continues to add more options for plus-size women.
“All of our assortment investments are deeply rooted in direct feedback from clients, so we’re confident they’re going to love our new additions,” President and COO Mike Smith said in a statement.
This is a developing story. Please check back for updates.
