Blue Apron Holdings Inc.
APRN,
shares were moving 9% higher in Thursday’s premarket action after the meal-kit company reported a smaller loss for its latest quarter than analysts had been modeling. Chief Executive Linda Findley also noted that the company was “actively pursuing all options available to us, including one or more financing opportunities and/or other strategic transactions, including significant commercial partnerships.” For the first quarter, Blue Apron reported a net loss of $17.0 million, or 26 cents a share, compared with a loss of $38.7 million, or $1.20 a share, in the year-earlier quarter. The FactSet consensus was for a 32-cent per-share loss, based on three estimates. Revenue declined to $113 million from $118 million, while analysts were modeling $112 million. Average order value rose 11.6% on a year-over-year basis but was down 3.9% sequentially. Blue Apron said the change largely reflected a price increase instituted in the second quarter of 2022 and increased promotional spending in the first quarter of 2023. “In marketing, we delivered a 50% reduction in cost per acquisition and improved conversion on reduced levels of marketing spend,” Findley said in the release. She noted that Blue Apron is taking “a disciplined approach to cash management.” The company saw free-cash-flow improvements of 64% relative to a year before, according to the release.
