Overstock under-performs in the first quarter
Sales decreased in the first quarter for Overstock.com Inc., the retailer reported today. A dip in orders was to blame, declining 0.8% in the quarter, says Overstock, No. 27 in the Internet Retailer Top 500 Guide.
Despite the sales decline, Overstock turned a profit after losing money in the first quarter last year.
For the first quarter ending March 31, Overstock reported:
- Sales were $262.4 million, a 1.2% decrease from $265.5 million in the same quarter a year ago.
- Sales and marketing expenses declined 5.8% to $14.5 million from $15.4 million.
- Technology expenses decreased 6.6% from $16.7 million to $15.6 million.
- Net income of $2.7 million, compared to a net loss of $444,000 in the same quarter a year ago.
- Customer orders decreased about 0.8%, from 2.29 million to 2.27 million.
- Average order value decreased 0.8% from $126 to $125.
Also in the first quarter, Overstock hired Timothy Dilworth as senior vice president of marketing. He comes from Coldwater Creek, where he had worked since 2000. At Overstock, Dilworth will oversee all marketing activities, the retailer says.
Sam Peterson, senior vice president of technology at Overstock.com, will speak at the Internet Retailer Conference and Exhibition 2012 in a session titled "The key to tablet owners' hearts: apps."