Stitch Fix Inc (NASDAQ:SFIX) shares plunged more than 35% after the personal styling company posted a larger than expected loss for the fourth quarter.
For the quarter, its net loss was $35.7 million or a loss per share of $0.29, more than the loss per share of $0.19 expected.
Revenue was $319.6 million, down 12.4% year-over-year but ahead of estimates of $317.5 million.
The company’s weak guidance also weighed on the stock.
For Q1 fiscal 2025, it expects revenue in the range of $303 million to $310 million, a 17% to 15% decline from the year-ago quarter and short of estimates of $315.2 million.
Full-year revenue is seen in the range of $1.11 billion to $1.16 billion, a 16% to 12% decline, short of the $1.35 billion expected by the Street.
Stitch Fix CEO Matt Baer told investors in a statement that while there is “a lot of work still to do,” the company expects to return to revenue growth by the end of fiscal 2026.
“I am proud of the Stitch Fix team’s efforts this past fiscal year and encouraged by the progress we have already made to strengthen the foundation of our business and reimagine our client experience,” Baer said.
Stitch Fix shares traded down 35.7% at about $2.40 late morning on Wednesday.