The San Francisco-based online styling service reported Q3 revenue of $535.6 million on Monday, an increase of 44% from $371.7 million in the prior-year period, which beat analysts’ estimate of $511 million.
The fashion subscription service has announced that Lake will be transitioning from her role as CEO to that of executive chairperson of the board. She will be succeeded at the helm of the business by Elizabeth Spaulding.
The NYC-based e-commerce platform specialized in selling kids’ fashion subscriptions to millennial parents has closed a seed funding round led by Bullpen Capital and Precursor Ventures, successfully raising $9.8 million.
The San Francisco-based fashion subscription service reported lower than expected Q2 net sales of $504.1 million on Monday, up 12% year over year from $451.8 million. The company’s quarterly net loss was $21.0 million.
The online styling service has reported a profit of $9.5 million in the first quarter, thanks to accelerated customer growth during the Covid-19 pandemic. On Monday, the company also named Dan Jedda as its new CFO.
Following a rough Q3 caused by coronavirus-related disruptions, the online styling service announced an uptick in revenues in the fourth quarter but failed to impress Wall Street with a net loss of $44.5 million.
Despite its digital focus, fulfillment delays meant that the company still felt the negative impact of the Covid-19 pandemic, reporting a 9% decline in Q3 revenue. The company is nonetheless optimistic for the future.