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Blue Apron surges after beating on revenue and losing less money than expected

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Blue Apron reported more revenue than forecast and a smaller-than-expected loss in its first quarterly earnings release as a public company on Thursday.

Lower spending on marketing helped Blue Apron shrink its net loss from the first quarter.

The meal kit-delivery service said it earned $238.1 million in revenue, topping analysts’ forecast for $235.8 million according to Bloomberg. It posted an adjusted EBITDA loss of $23.9 million, or $0.47 per share, less than the expectation for a loss of $24.3 million.

Blue Apron shares rose by as much as 4% in premarket trading. The stock has been crushed since it started trading in June – down 38% through Wednesday’s close – amid concern that Amazon’s entry into the meal-delivery space would crimp its market share. Also, its financial statements suggested that it was spending much more to gain each new customer than it was earning back.

Blue Apron’s average revenue per customer fell year-on-year to $251 from $264. Its customer base increased by 23% from the same quarter a year ago, but fell from the first quarter after the planned reduction in marketing spending. Its spending on promotions increased from a year ago, however, by 8% to $34.5 million.

Het bericht Blue Apron surges after beating on revenue and losing less money than expected verscheen eerst op Business Insider.


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