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Beyond Q2 earnings show revenue down 5.7%, but key metrics show positive trends

Beth Duckett — Wed, 31 Jul 2024 20:08:04 +0000

Beyond Inc., the parent company of Overstock, Bed Bath & Beyond and Zulily, released its Q2 earnings results on July 29, reporting total net revenue of $398 million, marking a 5.7% decrease year-over-year.

Despite the drop, the online-only retailer reported some positive developments for the quarter ended June 30. Revenue was up 4% from the previous quarter. Beyond credited a 35% increase in active customers and an 18% rise in average order value from the same period a year ago. The net loss for the quarter was $42.6 million, an improvement from last year’s $73.5 million loss.

Beyond Inc. is No. 63 in Digital Commerce 360’s Top 1000 database of the largest North American online retailers. Bed Bath & Beyond formerly ranked No. 47 before its bankruptcy and Overstock.com previously ranked No. 50. Digital Commerce 360 projects Beyond’s total web sales in 2024 will reach $1.58 billion.

Beyond Inc. web sales by year

Beyond updates on turnaround effort in Q2 earnings report

“We have made significant progress in the past 150 days and will continue to execute on our plan to achieve growth and profitability,” Marcus Lemonis, Beyond’s executive chairman, said in a statement.

After acquiring the intellectual property of bankrupt Bed Bath & Beyond for $21.5 million in June 2023, Overstock.com rebranded as Bed Bath & Beyond. It then shut down the Overstock ecommerce website. By November, the company had rebranded again as Beyond Inc.

In March, Beyond backtracked on its decision and relaunched Overstock.com. It also acquired the intellectual property of ecommerce retailer Zulily for $4.5 million, with the new Zulily website slated to go live on Sept. 10.

Beyond expects profitability in 2025

In Beyond’s Q2 earnings call, Lemonis outlined plans to turn Bed Bath & Beyond into a $1 billion-plus ecommerce brand, emphasizing the need for “thoughtful and creative ways” to expand and leverage the brand’s IP for cash flow.

David Nielsen, president and CEO, highlighted that during the quarter, Bed Bath & Beyond experienced growth in core categories such as bedding, bath, and decor, as well as higher-ticket items like patio and outdoor furniture.

On the Overstock front, the brand’s online relaunch, supported by a new AI-driven marketing campaign, delivered strong performance in traditional categories like area rugs and furniture, Nielsen said. Its ecommerce site has expanded its product lineup and improved the user experience. Additionally, Overstock is set to finalize a deal with a major closeout and reverse logistics company, which could draw in more customers.

Looking ahead, Beyond plans to test a new technology, Vercel. Vercel provides an ecommerce solution that integrates with Shopify to speed up and personalize customer interactions. Over the next 18 months, the company plans to create a global loyalty program that leverages its database and partnerships with non-competing companies, with options to use and transfer reward points.

“Think about it like a Bonvoy at Marriott or a Star Alliance in the airlines,” Lemonis said.

In the coming months, he noted that Bed Bath & Beyond and Overstock typically see Q2 revenue outpace Q3 by about 12% to 14%, with Q3 serving as a transition to the busy Q4 season. The goal is to maintain or surpass this trend and improve gross margins every quarter, he said. Lemonis said he expects Beyond will achieve profitability sometime in 2025.

Other Q2 highlights reported by Beyond

Active customers numbered 6.2 million, up 35% year over year.
Orders delivered were 1.9 million, up 8% year over year.
Gross profit was $80 million or 20.1% of revenue. That’s a 530-basis-point decline year over year but a 70-basis-point improvement from the prior quarter.
Cash and equivalents totaled $186 million at quarter’s end.

The company is two-thirds of the way through a plan to cut fixed expenses by $45 million annually.

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Beyond Inc. revamps Overstock.com with fresh look, expanded inventory

Beth Duckett — Tue, 23 Jul 2024 20:01:48 +0000

Beyond Inc. has given Overstock.com a fresh new look and expanded its inventory in categories like liquidation and factory direct, according to a company news release. The online-only retailer had a soft launch in March and announced its “Grand Reopening” this month, adding millions of new items to its ecommerce site.

“As it relates to the site experience, it now reflects renewed branding and an improved overall look and feel, reflects improved navigation, and offers compelling promotions,” Alexis Callahan, Beyond’s vice president of investor and public relations, shared in an email to Digital Commerce 360.

In June 2023, Overstock acquired Bed Bath & Beyond’s intellectual property for $21.5 million and later relaunched the retailer’s ecommerce platform, shutting down its own website. However, during a February earnings call, Beyond executive chairman Marcus Lemonis acknowledged that closing Overstock.com was a “fatal mistake.” Under new leadership, Beyond fast-tracked the online retailer’s launch by six months, debuting the new site in March.

Beyond Inc. web sales by year

“We believe that our company can be an online leader, helping manufacturers, retailers, distributors, and lenders solve complex inventory problems in order to generate cash and improve their own profitability while creating a frequently visited, value-centric destination for consumers,” Lemonis said in a statement.

Rebuilding Overstock

Overstock.com now features a “significant” increase in core legacy categories, including indoor and outdoor furniture, apparel and footwear, décor and jewelry. Additionally, the platform expanded its offerings to include more closeouts, liquidation items, factory direct merchandise and reverse logistics products, according to the company.

Despite starting from scratch, Overstock’s soft launch exceeded expectations, Beyond president Dave Nielsen said in a May earnings call. Nielsen added that he expects continued growth in site visits as the brand improves customer engagement and expands its email and other acquisition efforts.

Lemonis noted in the call that while Overstock and Bed Bath & Beyond can thrive independently, they also complement each other. While Bed Bath & Beyond saw some success in traditional Overstock categories such as family room furniture and large area rugs, it didn’t meet Beyond’s key performance indicators for margin contribution and acquisition costs, he noted. The company believes Overstock can better return to its historical performance in these areas.

For the fiscal first quarter ending March 31, Beyond reported a modest rise in earnings, with an increase in active customers and orders. The company plans to release its fiscal second-quarter 2024 financial results on July 29.

Zulily website launch

Overstock.com’s full relaunch comes four months after Beyond acquired ecommerce retailer Zulily’s intellectual property for $4.5 million — including its website, domain names, trademarks, customer database, social media and software. Zulily, once known for its online flash sales, shut down in December after a period of financial instability. The company was previously owned by Qurate Retail, which ranks No. 18 in the Top 1000.

Beyond now expects to relaunch Zulily’s website toward the end of the third quarter of 2024.

“Our vision for Zulily is to focus on the segment of customers who loved Zulily before, working moms who enjoy shopping for themselves and their families,” Nielsen told investors in the May earnings call. “Shopping is fun for them, and they like to browse frequently.”

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Ecommerce earnings recap: What you missed from Aritzia, Helen of Troy and more

Brian Warmoth — Mon, 15 Jul 2024 19:03:34 +0000

New earnings results are out from retailers in Digital Commerce 360’s Top 1000 list of leading ecommerce retailers in North America. The luxury apparel boutique Aritzia saw growth as it prepared for a website relaunch. Meanwhile, problems in the furniture and housewares and home goods spaces appeared front and center as two other retailers updated investors on their restructuring plans. Read more ecommerce earnings coverage here.

Parentheses indicate the merchant’s ranking in the Top 1000, unless otherwise stated.

This week’s ecommerce earnings takeaways

Aritzia Inc. reported a 7.8% rise in net sales for its first fiscal quarter of 2025.
Helen of Troy continues to deal with challenges, confronting a 12.2% decline in net sales in its fiscal first quarter.

Aritzia Inc. (No. 154)

Q1 2025 earnings: Aritzia Inc. recorded a year-over-year net sales increase of 7.8% to $498.6 million for its first fiscal quarter of 2025, which ended June 2. In addition, the luxury apparel retailer said its ecommerce net revenue increased 4.2% to $140.8 million for the same period, accounting for 28.2% of its net revenue.

The company has been investing in digital marketing and updated investors on its planned website relaunch for 2024.

“We expect the improved site to go live in the back half of this fiscal year,” Aritzia CEO Jennifer Wong told investors during the Q1 earnings call. “Other initiatives to drive digital include improving our online merchandising, optimizing our omni-channel capabilities, enhancing our international ecommerce site, and developing a mobile app.”

Bassett Furniture Industries Inc. (No. 409)

Q2 2024: Bassett Furniture Industries Inc. reported a 17.1% drop in net sales year over year to $83.4 million for its second fiscal quarter of 2024, which ended June 1. The decrease came as the company took an $8.5 million operating loss for the period and a restructuring plan that includes shuttering its Noa Home ecommerce business.

“Bassett Furniture has a long history of weathering economic cycles, such as the inflationary environment and slow housing market we’re experiencing in 2024 — factors that led to soft demand in our second quarter,” said Bassett Furniture CEO Robert H. Spilman in the retailer’s earnings announcement. “The business climate has remained difficult through the first six months of this year and may not improve in the near future.”

Helen of Troy Limited (No. 190)

Q1 2025 earnings: Helen of Troy Limited said that net sales declined 12.2% year over year to $416.8 million in its first fiscal quarter of 2025, which ended May 31. The housewares and home furnishings retailer also lowered its annual outlook as it proceeds with its Project Pegasus restructuring plan.

“Project Pegasus continues to provide us with fuel to fund our initiatives and organizational focus to capture opportunities and leverage our scale,” said Helen of Troy CEO Noel M. Geoffroy. “We also invested in new talent and next-level data, analytics and capabilities to improve our effectiveness and productivity across the enterprise.”

Other recent ecommerce earnings results

Alibaba Group Holding Limited

Q4 2024: Alibaba said it grew revenue 7% year over year in its fiscal fourth quarter ended March 31, 2024. Meanwhile, net income decreased 96% compared to the prior Q4.

Alibaba owns the world’s two largest online marketplaces by gross merchandise value (GMV), Taobao and Tmall. Taobao ranks No. 1 in the Global Online Marketplaces Database, Digital Commerce 360’s ranking of the largest such marketplaces by third-party GMV. Tmall ranks No. 2. Both operate in China.

Read more on Alibaba’s earnings here.

Amazon.com Inc. (No. 1)

Q1 2024 earnings: Amazon net sales increased 13% to $143.3 billion in its fiscal first quarter. Meanwhile, its operating income more than tripled.

It ranks No. 1 in the Top 1000, Digital Commerce 360’s ranking of the largest North American online retailers. Amazon is also No. 3 in Digital Commerce 360’s Global Online Marketplaces Database, which ranks the 100 largest such marketplaces by third-party gross merchandise value (GMV).

Read more on Amazon’s earnings results here.

Conn’s Inc. (No. 568)

Q1 2024 earnings: Conn’s, Inc. announced on June 26 that it received a delinquency notification from Nasdaq regarding its failure to file Form 10-Q for the results from its first fiscal quarter of 2024, which ended April 30. Amid filing delays, the furniture retailer was seeking refinancing and considering bankruptcy, Bloomberg reported July 1.

The Home Depot Inc. (No. 4)

Q1 2024: Home Depot reported that sales declined 2.3% in its fiscal first quarter of 2024 ended April 28 due to challenges in the broader economy. B2B and Pro sales were equally impacted, while online sales grew.

Indigo Books & Music Inc. (No. 416)

No longer public: Toronto-based retail Indigo Books & Music Inc. went private, resulting in the company being delisted from the Toronto Stock Exchange on June 4. It did not report Q4 and fiscal 2024 results.

MillerKnoll Inc. (No. 211)

Q4 2024 earnings: MillerKnoll Inc. reported that net sales fell 7.1% year over year to $888.9 million in its fourth fiscal quarter of 2024, which ended June 1. The furniture company, known for its Herman Miller and Knoll brands, also reported that sales for its full fiscal 2024 were down 11.2% to $3.6 billion from a year earlier.

Results accounted for the closure of MillerKnoll’s Hay ecommerce channel in North America, as well as the shuttering of its Fully business.

“Turning to retail, we delivered organic order growth of 1% year over year despite the tough macroeconomic conditions our industry still faces,” MillerKnoll CEO Andi Owen said during the company’s earnings call. “We’re continuing to do the work to drive orders in the short term while optimizing our retail engine for significant long-term sales growth.”

Target Corp. (No. 5)

Q 1 2024: Target reported that total revenue declined 3.1%. That’s down to $24.5 billion in the first quarter of its fiscal 2024 ended May 4. However, online sales did increase slightly. Declines in discretionary categories were partially offset by continuing growth in the beauty category.

Read more on Target’s earnings results here.

Walmart Inc. (No. 2)

Q1 2025: Walmart grew U.S. online sales 22% for its fiscal 2025 first quarter ended April 30, 2024. Consolidated revenue grew 6.0% to $161.5 billion in Q1.

Read more on Walmart’s earnings here.

Ecommerce earnings calendar

Here’s when other ecommerce earnings are scheduled to report this quarter:

Carvana Co.: July 31
Adidas AG: July 31
LVMH: July
Amazon.com: Aug. 1

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Ecommerce earnings recap: What you missed from MillerKnoll, Conn’s and more

Brian Warmoth — Mon, 08 Jul 2024 17:40:24 +0000

New earnings results are out from retailers in Digital Commerce 360’s Top 1000 list of leading ecommerce retailers in North America. Two retailers, which would have previously reported results from their past quarters, did not do so. Conn’s Inc. and Indigo Books & Music Inc. both had different stories behind those absent filings. Meanwhile, MillerKnoll Inc. announced decreases in net sales for its most recent fiscal quarter and fiscal year, illustrating a difficult environment right now for furniture retailers. Read more ecommerce earnings coverage here.

Parentheses indicate the merchant’s ranking in the Top 1000, unless otherwise stated.

This week’s ecommerce earnings takeaways

MillerKnoll Inc. reported an 11.2% drop in net sales for its 2024 fiscal year from fiscal 2023.
Conn’s Inc. did not report earnings as scheduled for its fiscal first quarter of 2024, as it is reportedly exploring bankruptcy.

Conn’s Inc. (No. 568)

Indigo Books & Music Inc. (No. 416)

MillerKnoll Inc. (No. 211)

Results accounted for the closure of MillerKnoll’s Hay ecommerce channel in North America, as well as the shuttering of its Fully business.

Other recent ecommerce earnings results

Alibaba Group Holding Limited

Q4 2024: Alibaba said it grew revenue 7% year over year in its fiscal fourth quarter ended March 31, 2024. Meanwhile, net income decreased 96% compared to the prior Q4.

Read more on Alibaba’s earnings here.

Amazon.com Inc. (No. 1)

Q1 2024 earnings: Amazon net sales increased 13% to $143.3 billion in its fiscal first quarter. Meanwhile, its operating income more than tripled.

Read more on Amazon’s earnings results here.

H&M Group (No. 14 in Europe database)

Q2 2024 earnings: H&M Group said net sales were up 3% to $5.6 billion (59.6 billion Swedish crowns) in its second fiscal quarter of 2024, which ended May 31. The apparel retailer also noted that 30% of its sales were online during the first half of its current fiscal year.

“During the spring, we have successfully tested an updated online store that we are launching in our larger markets during the autumn,” H&M CEO Daniel Ervér said in the earnings announcement. “The new digital experience will give our customers more inspiration, clearer recommendations on how our products can be styled and which fit is right for them.”

The Home Depot Inc. (No. 4)

Levi & Strauss Inc. (No. 162)

Q2 2024 earnings: Levi Strauss & Co. reported an increase in net sales of 8% to $$1.4 billion for its second fiscal quarter of 2024, which ended May 26. The apparel retailer also said ecommerce revenue was up 19% year over year on a reported and constant-currency basis for the quarter.

Nike Inc. (No. 8)

Q4 2024 earnings: Nike Inc. net sales dropped 2% to $12.6 billion in its fourth fiscal quarter of 2024, which ended May 31. During the same period, Nike Digital sales fell 10% year over year.

Target Corp. (No. 5)

Read more on Target’s earnings results here.

Walmart Inc. (No. 2)

Q1 2025: Walmart grew U.S. online sales 22% for its fiscal 2025 first quarter ended April 30, 2024. Consolidated revenue grew 6.0% to $161.5 billion in Q1.

Read more on Walmart’s earnings here.

Ecommerce earnings calendar

Here’s when other ecommerce earnings are scheduled to report this quarter:

Helen of Troy Limited: July 9
Carvana Co.: July 17
Adidas AG: July 31
LVMH: July

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FTC votes to block Tempur Sealy’s $4 billion Mattress Firm acquisition

Brian Warmoth — Wed, 03 Jul 2024 23:14:19 +0000

Tempur Sealy’s Mattress Firm acquisition faces a major hurdle at the U.S. Federal Trade Commission, where all five commissioners voted to block the deal. The unanimous decision means the FTC will challenge the $4 billion mattress industry merger in court.

On June 2, following the FTC’s announcement, Tempur Sealy responded in a public statement. It objected to the decision as it prepares for the government’s lawsuit to proceed in the U.S. District Court for the Southern District of Texas.

Tempur Sealy ecommerce sales by year

Tempur Sealy is No. 156 in Digital Commerce 360’s Top 1000. The database includes a ranking of North America’s leading retailers by online sales. Mattress Firm is No. 274. Digital Commerce 360 sorts both companies in the Housewares & Home Furnishings category. Additionally, Digital Commerce 360 projects total ecommerce sales for Tempur Sealy in 2024 will be $5.52 billion.

Why the FTC is challenging Tempur Sealy’s Mattress Firm acquisition

“Through emails, presentations, and other deal documents, Tempur Sealy has made it abundantly clear that its acquisition of Mattress Firm is intended to kneecap competitors and dominate the market,” said Henry Liu, director of the FTC’s Bureau of Competition, in the FTC’s announcement. “This deal isn’t about creating efficiencies; it’s about crippling the competition, which would raise prices on an essential good and could lead to layoffs for good paying American manufacturing jobs in nearly a dozen states.”

In the FTC’s official complaint, regulators called Mattress Firm “the single most important retail channel for mattress brands.” They also claimed that it “can drive massive volumes of sales through its unmatched consumer reach. They added that “mattress brands jostle to access its floor space.” In that context, the commissioners believe that permitting Tempur Sealy to merge with Mattress Firm “would upend this competitive dynamic, giving Tempur Sealy enormous sway over the fate of its rivals.”

Moreover, the filing also cites “Tempur Sealy’s history of using exclusionary deals to block rivals.” In addition, the FTC asserted that “this acquisition would further cement its dominance and deprive independent brands of the opportunity to engage in free and fair competition.”

“Because this proposed acquisition may substantially lessen competition or tend to create a monopoly, it should be enjoined,” the complaint states.

Tempur Sealy’s defense of the merger

In defense of its proposed deal, Tempur Sealy disputed the FTC’s assessment.

“Tempur Sealy has been working constructively with the FTC to secure regulatory approval for this transaction and is disappointed that the FTC has initiated litigation,” a statement from the company read. “We appreciate their efforts to understand the industry and the proposed transaction, but ultimately believe the FTC’s perspective does not reflect all the relevant facts and law.”

Offering its own view of the bedding industry, it painted a very different picture of the merger’s implications.

“The bedding industry is highly competitive, offering consumers a diverse selection of products, brands, price points, and purchasing channels,” Tempur Sealy stated. “There are thousands of brick-and-mortar storefronts across the United States where consumers can purchase bedding products, only a small fraction of which are operated by Mattress Firm. Additionally, brick-and-mortar retailers and direct-to-consumer bedding brands sell millions of bedding products online each year.”

Ultimately the mattress brand stands by its intention to complete the deal. It concluded by expressing that confidence to shareholders in its release.

“We believe that a successful litigation process can be completed in the coming months, which would allow us to close the transaction in late 2024 or early 2025,” Tempur Sealy said.

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Ecommerce earnings recap: What you missed from La-Z-Boy, Reitmans and more

Brian Warmoth — Mon, 24 Jun 2024 18:45:07 +0000

New earnings results are out from retailers in Digital Commerce 360’s Top 1000 list of leading ecommerce retailers in North America. Among them, Kroger, La-Z-Boy and Reitmans (Canada) shared results. Their totals illustrated opportunities in online grocery sales while highlighting ecommerce challenges in furniture and apparel. Here’s the ecommerce earnings summary you need to know for this quarter. Read more ecommerce earnings coverage here.

Parentheses indicate the merchant’s ranking in the Top 1000, unless otherwise stated.

This week’s ecommerce earnings takeaways

La-Z-Boy reported a 1.4% decrease year over year in net sales for its most recent quarter, as its CEO said the furniture industry broadly faces continuing challenges.
Apparel retailer Reitmans (Canada) Ltd. saw sales rise 3.4% at its stores during its first fiscal quarter of 2025, even as online sales dropped 9.2% from the same quarter a year earlier.

The Kroger Co. (No. 6)

Q1 2024 earnings: The Kroger Co. reported that net sales were flat year over year reaching $45.3 billion for its first fiscal quarter of 2024, which ended May 25. Meanwhile, digital sales were up 8% year over year during the quarter, said Todd Foley, interim chief financial officer at Kroger, during the grocer’s earnings call.

La-Z-Boy Inc. (No. 254)

Q4 2024 earnings: La-Z-Boy net sales decreased 1.4% year over year to $553.5 million for its fourth fiscal quarter of 2024, which ended April 27. The company frames its total written sales — down 3% year over year in the quarter for La-Z-Boy Furniture Galleries stores — as outperforming the overall furniture industry, which it said were down 8% for the same period. The company also noted challenges in online sales when discussing its Joybird brand.

“Turning to Joybird, written sales declined 14% in the quarter versus a year ago as the online furniture market continues to be challenged, consistent with the broader furniture industry,” said Melinda Whittington, the president and CEO of La-Z-Boy, during the company’s earnings call for the period.

Reitmans (Canada) Ltd. (No. 454)

Q1 2025 earnings: Reitmans net sales were flat year over year at 165.7 million Canadian dollars ($121.3 million) for its first fiscal quarter of 2025, which ended May 5. Ecommerce sales were down 9.2% year over year in the quarter for the apparel retailer, which saw in-store sales rise 3.4% during the same earnings period.

“Comparable sales, which include ecommerce net revenues, were down 4.6%, primarily due to decreased online traffic,” said Richard Wait, executive vice president, chief financial officer at Reitmans, during the quarter’s earnings call. “Sales of product through RCL Marketplace, which launched a little over a year ago, did not contribute significantly to the top line as we continued to develop partnerships and curate offerings. Retail store activity accounted for 75.4% of net revenues in Q1, while ecommerce made up the remaining 24.6%.”

Other recent ecommerce earnings results

Academy Sports + Outdoors (No. 144)

Q1 2024 earnings: Academy Sports + Outdoors net sales fell 1.4% to $1.36 billion in its first fiscal quarter of 2024 ended May 4. Steve Lawrence, the chief executive officer at Academy Sports + Outdoors said “customers remain under pressure in the current economic environment” but said the sporting goods retailers was “pleased that we drove a positive comp in our new stores and omnichannel business.”

Alibaba Group Holding Limited

Q4 2024: Alibaba said it grew revenue 7% year over year in its fiscal fourth quarter ended March 31, 2024. Meanwhile, net income decreased 96% compared to the prior Q4.

Read more on Alibaba’s earnings here.

Amazon.com Inc. (No. 1)

Q1 2024 earnings: Amazon net sales increased 13% to $143.3 billion in its fiscal first quarter. Meanwhile, its operating income more than tripled.

Read more on Amazon’s earnings results here.

Costco Wholesale Corp. (No. 7)

Q3 2024 earnings: Costco net sales grew 9.1% to $57.39 billion in its third fiscal quarter of 2024 ended May 12. During the same period, ecommerce sales grew 20.7%.

Read more on Costco ecommerce sales here.

The Home Depot Inc. (No. 4)

The Lovesac Company (No. 389)

Q1 2025 earnings: Lovesac reported that net sales decreased 6.1% year over year to $132.6 million for its first fiscal quarter of 2025, which ended May 5. For the same period, online sales fell 9.0% to $36.6 million.

Lovesac CEO and founder Shawn Nelson called the quarter’s results “in line to slightly above the high end of our expectations” and characterized them as “continued outperformance compared to the industry.”

In the meantime, he expressed optimism about the furniture retailer’s omnichannel efforts and upcoming product launches.

“We believe through our omni-channel infinity flywheel, designed for life platform and advantaged supply chain, we are well positioned to continue to deliver results and capitalize on the tremendous opportunity still ahead,” Nelson said in a release statement. “With the recent launch of our PillowSac Accent Chair, we are continuing to expand our offering and see opportunity to further widen the aperture with exciting innovative launches yet to come.”

Signet Jewelers Ltd. (No. 55)

Q1 2025 earnings: Signet Jewelers net sales fell 9.4% to $157.2 billion in its first fiscal quarter of 2025 ended May 4. Signet CEO Virginia Drosos cited positive customer responses to the jewelry retailer’s “new product offerings and loyalty program,” saying the company expects “continued momentum in the second quarter, leading to a positive same-store sales inflection in the second half of Fiscal 25.”

Target Corp. (No. 5)

Read more on Target’s earnings results here.

Walmart Inc. (No. 2)

Q1 2025: Walmart grew U.S. online sales 22% for its fiscal 2025 first quarter ended April 30, 2024. Consolidated revenue grew 6.0% to $161.5 billion in Q1.

Read more on Walmart’s earnings here.

Ecommerce earnings calendar

Here’s when other ecommerce earnings are scheduled to report this quarter:

Levi Strauss & Co.: June 26
H&M: June 27
Nike: June 27

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Beyond Inc. executive team changes as leadership roles are consolidated

Kevin Williams — Wed, 19 Jun 2024 22:01:06 +0000

The owner of Bed Bath & Beyond, Overstock.com and Zulily announced structural changes that will reshape the Beyond Inc. executive team. Ultimately, two pairs of leadership roles will merge, with another altered, in a larger effort to improve efficiency.

Among the key changes:

Elimination of co-chief executive roles
Expansion of executive chairman role
Elimination of dual chief merchant roles

Beyond Inc. is No. 63 in the Top 1000. The database is Digital Commerce 360’s ranking of the largest North American online retailers. Bed Bath & Beyond ranked No. 47 before its bankruptcy. Overstock.com previously ranked No. 50.

Beyond Inc. executive team changes include departure of Chandra Holt

In addition to these changes, Chandra Holt, CEO, has exited the company after only four months in the role. Holt previously held positions at Walmart and Conn’s HomePlus. She was one of the highest-ranking female executives at Walmart before taking the top role at Conn’s.

Beyond’s restructuring, though, goes deeper than just a change in CEOs. The company’s marketing and merchandising leadership roles have been streamlined across all three brands, and Dave Nielsen has been appointed as president, overseeing marketing, merchandising, and supply chain functions for Beyond.

The restructuring at the top comes on the heels of a first quarter that saw light growth, reversing a trend of year-over-year decline. Beyond also relaunched the Overstock brand.

In addition, the past year saw Beyond acquire children’s apparel brand Zulily. Beyond spent $4.5 million for the rights to Zulily’s domain name, website, trademarks, customer database, social media accounts and software. The company plans to relaunch the Zulily website sometime in 2024. Like Overstock with its “crazy good deals,” Zulily was known for its “flash sales,” which came in the form of 72-hour deep discounted deals.

Recent quarterly earnings results at Beyond

In its first-quarter earnings report, Marcus Lemonis, the increasingly active executive chairman, pointed to margin improvement, SG&A reduction, efficiency, and alignment as key goals of the streamlining and restructuring. Lemonis said these actions will help “our organization to reflect what we believe will yield greater efficiencies and better results. I’m pleased with the sequential progress we are making and clearly see the path to our goal.”

Cheri Mason, president of Catalyst Leadership Management, which provides corporate consulting, said Beyond was on the right track with its moves.

“When you have co-chief executives, who is in charge of what?” Mason asked. Nevertheless, she said that Beyond’s structural changes were wise from a management standpoint.

“And expanding the role of the executive chairman makes sense,” she stated. “Employees today expect to see and engage with C-suite leaders.”

Mason added that Beyond’s moves may be as much about pleasing its 1,000-plus employees as it is for Beyond brands’ customers.

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Ecommerce earnings recap: What you missed from Lovesac, Signet Jewelers and more

Brian Warmoth — Mon, 17 Jun 2024 17:05:51 +0000

New earnings results are out from retailers in Digital Commerce 360’s Top 1000 list of leading ecommerce retailers in North America. Their results highlighted challenges in the current environment for consumers. Academy Sports + Outdoors, The Lovesac Company, and Signet Jewelers were among the latest to share results. Here’s the ecommerce earnings summary you need to know for this quarter. Read more ecommerce earnings coverage here.

Parentheses indicate the merchant’s ranking in the Top 1000, unless otherwise stated.

This week’s ecommerce earnings takeaways

The Lovesac Company reported a 6.1% decrease year over year in net sales for the quarter, focusing on upcoming launches to boost results later in the year.
Signet Jewelers shared that net sales fell 9.4% year over year but indicated that a new loyalty program was being received well by customers.

Academy Sports + Outdoors (No. 144)

The Lovesac Company (No. 389)

In the meantime, he expressed optimism about the furniture retailer’s omnichannel efforts and upcoming product launches.

Signet Jewelers Ltd. (No. 55)

Other recent ecommerce earnings results

Alibaba Group Holding Limited

Q4 2024: Alibaba said it grew revenue 7% year over year in its fiscal fourth quarter ended March 31, 2024. Meanwhile, net income decreased 96% compared to the prior Q4.

Read more on Alibaba’s earnings here.

Amazon.com Inc. (No. 1)

Q1 2024 earnings: Amazon net sales increased 13% to $143.3 billion in its fiscal first quarter. Meanwhile, its operating income more than tripled.

Read more on Amazon’s earnings results here.

Bark, Inc. (No. 201)

Q4 2024 earnings: Bark reported a 3.6% year-over-year decrease in revenue to $121.5 million for its first fiscal quarter of 2024, which ended March 31. It also recorded $490.2 million in revenue for its 2023 fiscal year, which was down 8.4% from the previous year.

Bath & Body Works, Inc. (No. 62)

Q1 2024 earnings: Bath & Body Works said it saw a 0.9% year-over-year decrease in net sales, which totaled $1.4 billion during its first fiscal quarter of 2024 ended May 4.

Gina Boswell, CEO at Bath & Body Words, shared during its June 4 conference call that “there has been and continues to be significant work required to bring the company’s technology systems to where we need them to be for a leading omnichannel retail business of our size.” Looking ahead, she expects to be able to share more about these efforts later in 2024.

“We remain focused on investing in the foundational tools and systems need to support future growth, and have been engaging with world-class partners to do so,” Boswell said. “We continue to evolve the digital experience for our customers, and we look forward to sharing big wins from these efforts later in the year.”

Big Lots, Inc. (No. 237)

Q1 2024 earnings: Big Lots reported a 10.2% decrease in net sales year over year to $1.0 billion for its first fiscal quarter of 2024, which ended May 4. The company cited a “challenging consumer environment” as it announced a $205.0 million loss for the period.

The retailer is in the middle of a turnaround effort. It cited improved online promotions and experience as priorities as it looks to change course.

“We’re continuing to enhance the online experience and showcasing extreme bargain deals through the weekly ad, big bargains and big buyout sections, heavily featured on the site,” said Bruce Thorn, president and CEO at Big Lots, during the company’s June 6 earnings call. “We remain focused on influencing her home shopping journey through enabling customers to browse more products online and now offer a coming-soon preview, in-store inventory and have started the ability to preorder for core big-ticket items in furniture and seasonal at the end of Q2.”

Costco Wholesale Corp. (No. 6)

Q3 2024 earnings: Costco net sales grew 9.1% to $57.39 billion in its third fiscal quarter of 2024 ended May 12. During the same period, ecommerce sales grew 20.7%.

Read more on Costco ecommerce sales here.

GameStop Corp. (No. 35)

Q1 2024 earnings: GameStop said its net sales were down 28.7% year over year to $881.8 million for its first fiscal quarter of 2024 that ended May 4. The same period included a net loss of $32.3 million, which was smaller than its loss of $50.5 million a year earlier.

The company did not hold an earnings call after announcing earnings days earlier than previously scheduled. In addition, it shared that it would sell 75 million shares, following the sale of 45 million shares announced in May. That initial sale brought in about $933.4 million, Reuters reported. GameStop returned to the news spotlight ahead of its earnings release as meme-stock influencer and online streamer Keith Gill, who goes by the name “Roaring Kitty,” began sharing his recent trading activity publicly.

Lululemon Athletica, Inc. (No. 25)

Q1 2024 earnings: Lululemon Athletica announced net sales increased 10.4% to $2.2 billion in its first fiscal quarter ended April 28.

“In the first quarter, we saw strong momentum in our international markets, demonstrating how our brand continues to resonate around the world,” said Calvin McDonald, chief executive officer at Lululemon. “Guests responded well to our product innovations across categories, and we are pleased by the progress we are making to optimize our U.S. product assortment.”

During the company’s June 5 earnings call, Meghan Frank, its chief financial officer, noted that Lululemon ecommerce sales were up significantly, contributing to the quarter’s results.

“In our digital channel, revenue increased 8% and contributed $906 million of top line or 41% of total revenue,” Frank stated.

The Home Depot Inc. (No. 4)

Target Corp. (No. 5)

Read more on Target’s earnings results here.

Walmart Inc. (No. 2)

Q1 2025: Walmart grew U.S. online sales 22% for its fiscal 2025 first quarter ended April 30, 2024. Consolidated revenue grew 6.0% to $161.5 billion in Q1.

Read more on Walmart’s earnings here.

Ecommerce earnings calendar

Here’s when other ecommerce earnings are scheduled to report this quarter:

Levi Strauss & Co.: June 26
H&M: June 27
Nike: June 27

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The post Ecommerce earnings recap: What you missed from Lovesac, Signet Jewelers and more appeared first on Digital Commerce 360.

Ecommerce earnings recap: What you missed from Petco, Williams-Sonoma and more

Mary Meisenzahl — Tue, 28 May 2024 16:07:23 +0000

New earnings results are out from retailers in Digital Commerce 360’s Top 1000 list of leading ecommerce retailers in North America. Their results show how some retailers found success growing online sales despite a challenging sales environment. Petco, Urban Outfitters and Williams-Sonoma were among the latest to report. Here’s the ecommerce earnings summary you need to know from this quarter. Read more ecommerce earnings coverage here.

Parentheses indicate the merchant’s ranking in the Top 1000, unless otherwise stated.

This week’s ecommerce earnings takeaways

Some retailers still see significant runway to grow their online sales. BJ’s grew digital sales more than 20% in the quarter with a focus on convenience and omnichannel fulfillment.
Not all discount chains are worried about competition from Temu and Shein. TJX said that growing Chinese retailers aren’t a significant threat.

AutoZone Inc. (No. 283)

Q3 2024: AutoZone reported net sales increased 1.9% to $4.2 billion in the third quarter ended May 4. Sales were negatively impacted by cool and wet weather in the Northeast and Midwest, as well as slow tax refund rollouts, the retailer said. Both factors led to a year-over-year decline in do-it-yourself sales, AutoZone noted. However, the retailer expects those trends to moderate in Q4.

BJ’s Wholesale Club Holdings Inc. (No. 44)

Q1 2024: BJ’s said total revenue increased 4.1% to $4.92 billion in the first quarter ended May 4. Comparable store sales increased 1.6% due to strong traffic and unit growth. Meanwhile, digital sales increased 21% year over year, BJ’s said, and 40% on a two-year basis. Digital sales growth was in the double digits every quarter of the past two years.

About 90% of online sales are fulfilled by stores through buy-online-pickup-in-store and same-day delivery, the retailer said.

E.l.f. Beauty (No. 681)

Q4 2024: E.l.f net sales increased 71% to $321.1 million in the fourth quarter ended March 31. That was about $30 million higher than the $292.6 million expected by analysts. The sales growth was driven by strength in both retail and online sales, e.l.f. said.

Lowe’s Cos. Inc. (No. 11)

Q1 2024: Lowe’s Cos. Inc. reported that online sales grew about 1% in the first quarter of fiscal 2024 ended May 3. Meanwhile, Lowe’s total sales declined 4.0% to $21.4 billion, and comparable sales fell 4.1%.

Read more on Lowe’s earnings results here.

Macy’s Inc. (No. 14)

Q1 2024: In the first quarter ended May 4, Macy’s net sales declined 2.7% to $4.8 billion from Q1 in 2023. Meanwhile, comparable sales — including online sales — declined 1.2%. Those sales declines came after the retailer announced plans to close 150 stores and invest in a new strategy to turn negative trends around.

Petco Health and Wellness Co, Inc. (No. 86)

Q1 2024: Petco reported that net revenue declined 1.7% to $1.5 billion in the first quarter ended May 4. It also had a net loss of $45 million, compared to a $1.9 million net loss in the year-ago period.

Consumable product sales were flat while discretionary supplies declined 7%, the retailer said. Services, however, grew 10% due to strength in mobile clinics and grooming, the retailer said.

Ralph Lauren Corp. (No. 69)

Q4 2024: Ralph Lauren revenue increased 2% to $1.6 billion in the fourth quarter ended March 30. Full-year revenue increased 3% to $6.6 billion.

Online sales declined 4% in North America. Meanwhile, they increased 11% in Europe and 19% in Asia. Ralph Lauren began testing an artificial intelligence (AI) predictive buying model in Asia and Europe to give better information on sizing and best-selling products in 2024, it said. Based on early success, the retailer will scale up the technology to 25% of direct-to-consumer business in fiscal 2025.

Shoe Carnival Inc. (No. 575)

Q1 2024: Shoe Carnival reported that net sales increased 6.8% to $300.4 million in the first quarter of 2024 ended May 4.

“We are encouraged by the strong results delivered this quarter, with net sales growth above our expectation, gross profit margin expansion versus prior year, and earnings at the high end of our expectation,” CEO Mark Worden said in a statement. “We gained significant market share, with accelerating sales momentum across our business as the quarter progressed, including double-digit growth in sandals that continued in the quarter after the Easter holiday period.”

Shoe Carnival acquired Rogan’s Shoes in February for $45 million.

Target Corp. (No. 5)

Q 1 2024: Target reported that total revenue declined 3.1% to $24.5 billion in the first quarter of fiscal 2024 ended May 4. However, online sales did increase slightly. Declines in discretionary categories were partially offset by continuing growth in the beauty category.

Read more on Target’s earnings results here.

The TJX Companies, Inc. (No. 66)

Q1 2025: TJX reported that net sales increased 6% to $12.48 billion in the first quarter of fiscal 2025 ended May 4. The retailer operates the TJ Maxx, Marshalls, Sierra and Home Goods chains.

TJX said that low-price online retailers Temu and Shein are not a threat.

“We see very little issue with them taking market share from us,” CEO Ernie Hermann told investors. “I could see that their business model could overlap with some other brick-and-mortar guys or some other online guys for sure. But we just don’t see that as bumping up with our customer base or end use.”

Urban Outfitters Inc. (No. 28)

Q1 2025: Urban Outfitters net sales increased 7.8% to a record $1.20 billion in the first quarter ended April 30. Online sales grew in the high single digits, the retailer said.

Urban Outfitters is also rethinking its marketing strategy with a greater focus on social media. So far, it’s working. “The brand is encouraged that some of their recent adjustments to distribution channels, content, and community conversations have resulted in growth in new and total customers on the digital channel for the first time in quite some time,” chief operating officer Frank Conforti told analysts.

Williams-Sonoma Inc. (No. 19)

Q1 2024: Williams-Sonoma said revenue declined 4.9% to $1.66 billion in the first quarter ended April 28. Of the retailer’s brands, Pottery Barn sales declined the most, down 10.8%. West Elm also declined 4.8%. However, Williams Sonoma and Pottery Barn Kids and Teen grew 0.9% and 2.8%, respectively.

Williams-Sonoma shared plans to invest in its ecommerce experience with a focus on AI and first-party data collection. Those investments will improve product discovery, personalization, last-mile delivery and more, the retailer said.

Other recent ecommerce earnings results

Alibaba Group Holding Limited

Q4 2024: Alibaba said it grew revenue 7% year over year in its fiscal fourth quarter ended March 31, 2024. Meanwhile, net income decreased 96% compared to the prior Q4.

Read more on Alibaba’s earnings here.

Amazon.com Inc. (No. 1)

Q1 2024 earnings: Amazon net sales increased 13% to $143.3 billion in its fiscal first quarter, and its operating income more than tripled.

Read more on Amazon’s earnings results here.

Boot Barn Holdings Inc. (No. 404)

Q4 2024: Boot Barn reported that net sales declined 8.7% to $388.5 million in its fiscal fourth quarter ended March 30. Ecommerce sales declined 7.6%. For the full year, net sales grew 0.6% to $1.67 billion, the retailer said.

Boot Barn’s core customers are still facing persistent inflation, but fourth-quarter trends were meaningfully better than Q3’s, it said.

Canada Goose Holdings Inc. (No. 200)

Q4 2024: Canada Goose said revenue increased 22% to $358.0 million in its fiscal fourth quarter ended March 31. Direct-to-consumer revenue grew 19% due to higher ecommerce sales, it said. Revenue for the full year increased 10% to $1.33 billion. Layoffs of 17% of its workforce in March contributed to cost savings and greater efficiencies, Canada Goose said.

However, even as results improved this quarter, “there’s clearly still some headwinds around consumer spending and specifically consumer luxury spending,” chief financial officer Neil Bowden told investors.

Chewy Inc. (No. 12)

Q4 2023 results: Chewy, Inc. reported that net sales grew in its Q4 and fiscal 2023 ended Jan. 28, 2024, even as pet adoptions declined.

Costco Wholesale Corp. (No. 6)

Q2 2024 earnings: Costco said net sales grew 5.7% to $57.33 billion in its second fiscal quarter of 2024 ended Feb. 18. Ecommerce comparable sales grew 18.4% in the same period.

Read more on Costco ecommerce sales here.

Crocs Inc. (No.97)

Q1 2024: Crocs reported that revenue grew 6% to $939 million in its fiscal first quarter ended March 31. Direct-to-consumer sales, including ecommerce, grew 11.8%, while wholesale grew 3.2%.

The Home Depot Inc. (No. 4)

Read more on Home Depot’s earnings here.

VTEX

Q1 2024: VTEX reported that revenue grew 24.5% to $42.3 million. The global enterprise digital commerce platform said gross merchandise value (GMV) rose 22.2% to $4.0 billion.

VTEX provides ecommerce platforms for 25 retailers in the Top 1000.

Walmart Inc. (No. 2)

Q1 2025: Walmart grew U.S. online sales 22% for its fiscal 2025 first quarter ended April 30, 2024. Consolidated revenue grew 6.0% to $161.5 billion in Q1.

Read more on Walmart’s earnings here.

Under Armour Inc. (No. 99)

Q4 2024: Under Armour said that total revenue and ecommerce revenue both declined in its fourth quarter of fiscal 2024 ended March 31. Ecommerce sales made up 43% of total DTC sales in the quarter.

Read more on Under Armour’s earnings here.

Ecommerce earnings calendar

Here’s when other ecommerce earnings are scheduled to report this quarter:

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At Home names former Party City chief executive as its next CEO

Brian Warmoth — Fri, 17 May 2024 19:59:10 +0000

At Home Group Inc. selected Brad Weston, a seasoned retail executive, to become the home furnishings chain’s new CEO. He will bring more than three decades of experience to the role, including multiple CEO and board positions.

Weston is scheduled to take over as chief executive on June 3. He follows Lee Bird, who retired as At Home’s CEO in December.

At Home’s selection of Brad Weston as CEO

Brad Weston, incoming CEO of At Home | Source: At Home

“We are excited to welcome Brad, a proven leader with a distinguished track record of transforming and scaling world-class retail companies,” said Erik Ragatz, executive chairman of At Home. “Brad’s customer-centric vision and purpose-led leadership approach align perfectly with At Home’s culture and mission to enable everyone to make their house a home.”

Ragatz will transition from his current role as executive chairman to chairman of At Home’s board of directors as West arrives. Meanwhile, Weston will join an executive team that otherwise consists of Jeff Evans, its president and chief merchandising officer; Jerry Murray, chief financial officer; and Ashley Sheetz, chief operating officer. They are all expected to stay on, At Home announced.

“As we enhance and expand our business, inspiring customers with a disruptive offering of a broad and differentiated selection of home and holiday products for every budget, Brad is the ideal person to drive At Home forward in our next chapter of growth,” Ragatz stated.

Brad Weston’s retail career before joining At Home

Prior to accepting the chief executive position at At Home, Weston served as CEO of Party City Holdings, where he was also a board member. He started there in July 2019 as president of Party City Holdings Inc. and CEO of Party City Retail Group. He stayed on, leading the company through the COVID-19 pandemic until 2023 when Party City filed for bankruptcy and closed many underperforming stores.

Party City Holdings is No. 311 in the Top 1000. The Top 1000 database is Digital Commerce 360’s ranking of the largest North American online retailers by web sales. Digital Commerce 360 categorizes Newegg as a Specialty retailer.

Weston held the president and CEO titles at Petco, having also served as the pet supply retailer’s chief merchandising officer. At Home noted Weston’s attention to pet wellness, new store formats and omnichannel capabilities during his time there, helping Petco to scale.

In addition, Weston previously worked at Dick’s Sporting Goods as senior vice president and chief merchandising officer. Earlier in his career, he held other roles at May Merchandising Company and Robinsons-May. He still serves on boards for Boot Barn Holdings, Inc. and Vera Bradley, Inc.

“It’s an honor and privilege to join At Home, a unique and influential brand with a long runway for growth,” said Weston. “At Home’s legacy as a disruptive retailer, offering inspirational looks across styles and categories at compelling prices, remains a towering strength of the business.”

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