Overstock.com Inc. (NASDAQ:OSTK) shares got a boost on Thursday after the company reported 1Q revenue that came in ahead of estimates after several disappointing quarters.
The online furniture retailer reported 1Q revenue of $381 million, which was down 29% year-over-year but higher than the $357.5 million expected by the Street.
It also reported a smaller-than-expected loss of $0.10 per share versus the $0.16 loss analysts had anticipated.
In a statement, Salt Lake City-based Overstock told shareholders that the company is executing on “key growth drivers” to fuel revenue growth.
CEO Jonathan Johnson noted that the firm’s revenue trend improved each month during the quarter, with a more meaningful improvement late in the quarter.
“Importantly, our home-only revenue trend slightly improved in Q1 after stabilizing over the prior two quarters,” Johnson said.
“We continued to navigate a highly competitive landscape to deliver healthy gross margins. While the economic and consumer environment remains uncertain, our strong cash position allows us to focus on executing our plans for the year and continue to deploy new strategies to drive growth.”
Key operational metrics were largely down year-over-year, from active customers to orders delivered. The firm’s average order value held fairly steady at $220.
Nevertheless, shares were still trading higher by midday Thursday, up 10.4% at $19.94.
Contact Angela at angela@proactiveinvestors.com
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