Stitch Fix, the subscription clothing startup that launched in 2011, filed for an initial public offering today. As MarketWatch reports, the company’s SEC filing reveals that it was targeting for $100 million in proceeds (though this might change in future filings) and its financial disclosures reveal a company that has very strong revenues.
In 2014, it brought in $73.2 million, and by the 2017 fiscal year, it had hit $977.1 million. Stitch Fix was profitable in 2015 and 2016, but went back to a loss of roughly $600,000 this year.
As Bloomberg’s Shira Ovide points out on Twitter, one of the most impressive things about Stitch Fix is that while it is bringing in close to $1 billion in revenue, it has only raised a total of $42.5 million in its entire history. That’s much more sustainable growth than many high-growth fashion startups like Bonobos, which raised more than $127 million in funding, but ended up selling itself to Walmart.
Ovide also mentions that Stitch Fix is trying to pitch itself first as a technology company, and second as a fashion brand. She counted that the word “data science” appears 64 times in its IPO.
"Data science" appears 64 times in the Stitch Fix IPO. This is the "We want a tech company valuation, not an e-commerce valuation" pitch.
— Shira Ovide (@ShiraOvide) October 19, 2017
This morning, George W. Bush gave a speech in New York. His words didn’t mention President Trump’s name once, yet his message was clearly calling out the current president’s policies. “Bigotry and white supremacy in any form is blasphemy against the American creed,” said the former president.
“We need to recall and recover our own identity,” he went on. “Americans have a great advantage: To renew our country, we only need to remember our values.”
Social media has lit up in reaction to Bush Jr.’s speech, and not everyone is happy. Many, rightfully, are calling out the irony that the Republican whose presidency gave us the Iraq war–killing hundreds of thousands of people and destabilizing the world–is now railing against bigotry.
Verizon says it lost 18,000 pay-TV subscribers last quarter, largely because of cord-cutting, yet the company reportedly won’t try to win those customers back with a streaming channel bundle until at least next spring.
A half-dozen streaming bundles are already available–with more on the way–yet those services aren’t offsetting the decline of cable and satellite TV, as people opt for cheaper services like Netflix and Hulu. It’s hard to fault Verizon for approaching with caution, but the pressure’s on now that the telco is shedding subscribers in what’s traditionally been a strong quarter for pay TV.JN