Sew Repair, Inc, US’ main on-line private styling service, reported a return to year-over-year income progress within the third quarter (Q3) of fiscal 2025 (FY25), ending Might 3, 2025. Web income rose 0.7 per cent to $325 million, exceeding expectations, as the corporate continued executing its transformation technique.
Regardless of the income progress, Sew Repair’s energetic consumer base declined by 10.6 per cent year-over-year to 2.35 million. Web income per energetic consumer elevated by 3.2 per cent to $542. Nevertheless, the gross margin dropped by 130 foundation factors to 44.2 per cent, pushed by decrease product margins. The corporate reported a internet lack of $7.4 million, or $0.06 per diluted share, the corporate mentioned in a media launch.
Sew Repair reported a 0.7 per cent year-over-year income rise to $325 million in Q3 FY25, marking a return to progress.
Regardless of this, energetic purchasers fell 10.6 per cent to 2.35 million.
Web income per consumer rose 3.2 per cent, whereas gross margin dropped to 44.2 per cent.
The corporate posted a $7.4 million loss however maintained sturdy money reserves.
Its This autumn and full-year income are anticipated to say no.
Adjusted EBITDA stood at $11 million, with a margin of three.4 per cent, whereas free money movement was $16 million. Sew Repair ended the quarter with $242.1 million in money and no debt.
“Stitch Fix delivered strong third quarter results, marked by our overall return to year-over-year revenue growth,” mentioned Matt Baer, CEO, Sew Repair. “Our performance, which exceeded expectations, is the direct result of the strength of the Stitch Fix value proposition and the team’s disciplined execution of our strategy. Now in the growth phase of our transformation, we are focused on cementing our role as the retailer of choice for apparel and accessories by consistently delivering the most client-centric and personalised shopping experience.”
Trying forward, Sew Repair forecasts This autumn income between $298 million and $303 million, down 5.2–6.7 per cent year-over-year, or flat when adjusted for the additional week in FY24. Full-year internet income is predicted to whole $1.254–1.259 billion, down 5.9–6.2 per cent (or 4.3–4.7 per cent on a 52-week adjusted foundation). The corporate expects to finish FY25 with adjusted EBITDA between $43 million and $47 million and stay free money movement optimistic.
Sew Repair anticipates full-year gross margin to land mid-range between 44 and 45 per cent, and promoting spend to be on the excessive finish of 8–9 per cent of income.
