Stitch Fix: Revenue Soars, Clients Slide
Stitch Fix surpasses earnings expectations for Q2 2025, revealing improvements in margins but faces a decline in active clients.
Online personal styling service Stitch Fix (NASDAQ:SFIX) reported fiscal 2025 second-quarter earnings on Tuesday, March 11, that topped analysts' consensus expectations. An earnings-per-share (EPS) loss of $0.05 came in better than the estimated $0.11 per share loss. Q2 revenue of $312.1 million exceeded predictions of $298 million. Despite these successes, the company saw a 15.5% year-over-year drop in active clients, suggesting continued challenges in client engagement and retention.
Overall, Stitch Fix managed to achieve operational efficiencies but needs to focus on sustaining its client base.
Source: Stitch Fix. Analyst consensus estimates for the quarter provided by FactSet. YOY = Year over year. EBITDA = Earnings before interest, taxes, depreciation, and amortization.
