Why Stitch Fix Shares Are Falling After Hours

Stitch Fix Inc SFIX shares are trading lower in Tuesday's after-hours session after the company reported worse-than-expected financial results and issued guidance below analyst estimates. 

Stitch Fix said fiscal fourth-quarter revenue decreased 16% year-over-year to $481.9 million, which missed average analyst estimates of $489.02 million, according to Benzinga Pro. The company reported a quarterly net loss of 65 cents per share, which missed average analyst estimates for a loss of 61 cents per share. 

Active clients decreased 9% year-over-year to 3.795 million, while net revenue per active client increased 8% year-over-year to $546.

"Today's macroeconomic environment and its impact on retail spending has been a challenge to navigate, but we remain committed to working through our transformation and returning to profitability," said Elizabeth Spaulding, CEO of Stitch Fix.

Stitch Fix expects fiscal first-quarter revenue to be between $455 million and $465 million versus the estimate of $522.68 million. 

SFIX Price Action: Stitch Fix has a 52-week high of $20.17 and a 52-week low of $4.61.

The stock was down 5.72% in after hours at $4.45 at time of publication.

Photo: Pexels from Pixabay.