APRN - Blue Apron rallies after earnings job cuts

2023-08-09 10:04:00 ET

Blue Apron ( NYSE: APRN ) jumped 7% after saying it cut 20% of its corporate staff.

For the second quarter, EPS of -$9.52 may not be comparable to consensus of -$1.80. Revenue of $106.23M missed the average analyst estimate by $3.36M.

Average Order Value of $75.66 increased 12.7% year-over-year and 7.7% sequentially, while Average Revenue per Customer of $397 was up 21.3% year-over-year and 14.8% sequentially.

For 2023, the company expects net revenue in the range of $410M to $415M and adjusted Ebitda loss in the range of $27M to $23M.

Last month, the company cut 20% of its corporate workforce with the reductions expected to drive additional annualized cost savings of approximately $7M.

“We are confident we have sufficient capital from operations to achieve our adjusted EBITDA profitability goal and to continue to move the business forward following the FreshRealm transaction,” Chief Executive Officer Linda Findley said in a statement.

“While the outsized net loss for the quarter was due to the one-time, non-cash charge associated with the transfer of our operational infrastructure, it does not account for the full financial incentives from FreshRealm and planned cost savings.”

“We see this transaction as financially beneficial for the Company starting in 2024 with a lower fixed cost base, a stronger balance sheet and new revenue opportunities, including the introduction of a new product line expected in the first half of next year.”

APRN has reduced year-over-year operating cash burn by over 70% and reduced adjusted EBITDA loss to $2.6M.

APRN is up 2.3% over the past five days and down 86% in the past 12 months.

More on Blue Apron:

• Blue Apron discloses that it cut 20% of its corporate workforce in July
• Blue Apron EPS of -$9.52, revenue of $106.23M misses by $3.36M
• Blue Apron eyes adjusted EBITDA profitability in Q2 next year

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