After Rough Start, Strong Revenue Numbers At Blue Apron

By AP

Published August 10th, 2017

After Rough Start, Strong Revenue Numbers At Blue Apron

NEW YORK (AP) — Customer growth and an increase in orders led to strong second quarter revenue for meal kit seller Blue Apron, which provided its first earnings report since becoming a public company.

The stock rose slightly in Thursday premarket trading.

Blue Apron, which went public in June, reported a 23 percent increase in customers from the prior-year period. The average revenue per customer was 1. That's below the 4 of the year-ago period but better than the 6 of the first quarter. Orders climbed to 4,033 from 3,399.

Blue Apron ships boxes to customers filled with all the raw ingredients needed to make home-cooked meals. Its cheapest kit, which makes four servings, costs about .

Total revenue for the period ended June 30 rose to 8.1 million from 1.9 million. That's better than the 5.8 million that analysts surveyed by FactSet predicted.

But Blue Apron has many rivals, including HelloFresh and Plated, and there are concerns that competition to deliver groceries to people's doorsteps will only heat up after e-commerce giant Amazon.com Inc. announced plans to buy organic grocer Whole Foods. In some cities, Amazon already sells meal kits with recipes created by home goods mogul Martha Stewart.

Blue Apron Holdings Inc. lost .6 million, or 47 cents per share, in the quarter. A year earlier the New York-based company earned .5 million, or breakeven per share. Wall Street forecast a loss of 27 cents per share.

The company, which was founded five years ago, has yet to make a profit. It reported a loss of million last year, but its sales have soared. Blue Apron posted revenue of 5.4 million for 2016, more than double its level the year before.

Last month Blue Apron said that one of its co-founders, Matthew Wadiak was stepping down from his role as chief operating officer and would become a senior advisor to the company.

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This story was generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on APRN at https://www.zacks.com/ap/APRN

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Keywords: BLUE APRON HLDG, Earnings Report

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