By Christiana Sciaudone
Investing.com -- Stitch Fix is soaring near 40% to a record after reporting strong results and naming former long-term Amazon (NASDAQ:AMZN) executive Dan Jedda as chief financial officer.
The online retail styling company reported earnings per share of 9 cents for the fiscal 2021 first quarter beat the estimated loss per share of 15 cents on sales of $490 million, better than the expected $481 million, according to data compiled by Investing.com.
Investors who dumped the stock after results in September are probably kicking themselves as shares have since about doubled. Sure, the company reported a loss of 44 cents, way worse than expected. They might have missed the following tidbit from Mike Smith, then chief operating officer and interim chief financial officer.
"We're playing catch up to support the renewed surge in client demand. As such, in Q1, we expect to deliver mid- to high single-digit revenue growth, which reflects robust recent demand trends," Smith said on the earnings call.
Sales for the fiscal first quarter were up 10% from a year earlier, alongside active clients, who totaled 3.8 million.
"This quarter we are proud to have achieved several multi-year highs, including our highest sequential client addition on record and the highest level of successful first Fixes in the past five years," said Chief Executive Officer Katrina Lake in a statement. "We expect to deliver between 20% and 25% growth for the full year.”