Overstock Q4 Revenues Fall 8.5%; Full Year Sees 11% Increase

February 27, 2022  by HFBusiness Staff in Business Strategy, Industry   

The company said operating income slipped 14.5 percent, but net income was substantially higher than the fourth quarter of 2020 because that quarter included a loss from discontinued operations.

During the most recent quarter, the number of active customers fell to 8.08 million from 9.19 million, but the average order value rose to $206 from $168 in the fourth quarter of 2020.

"Navigating the operating environment in our industry during the fourth quarter was challenging," said CEO Jonathan Johnson. "Despite challenges, we were committed to delivering on our profitability targets—and we did just that, driven in part by our largest Thanksgiving through Cyber Monday—or Cyber Five—period in the company's history.”

For the calendar year 2021, revenue was up 11 percent to $2.76 billion, while net income rose 14.8 percent to $111.1 million.

"This is our second consecutive year of profitability and market share growth," said Johnson. "The foundational operational improvements we have made over the past two years have stabilized the business and positioned us well to navigate through economic- and industry-specific cycles over the long term. We are proving we can adjust to, execute through, and take advantage of both positive and negative jolts in the market. It's encouraging that nearly one third of the overall home furniture and furnishings market continues to be transacted online. I believe increasing our brand association with home positions us favorably for 2022 and beyond.”