1-800-FLOWERS.COM, Inc. recently released its 10-Q report, providing an insight into the company's financial performance and operations. The company, founded in 1976 and headquartered in Jericho, New York, operates through three segments: Consumer Floral & Gifts, Gourmet Foods & Gift Baskets, and BloomNet. Its extensive range of products includes fresh-cut flowers, floral and fruit arrangements, plants, gifts, personalized products, gourmet foods, and gift baskets, among others. The company offers its products and services through various online platforms and brands such as 1-800-Flowers.com, Harry & David, and Simply Chocolate.
In the Management’s Discussion and Analysis of Financial Condition and Results of Operations, 1-800-FLOWERS.COM, Inc. addressed its financial condition, change in financial condition, cash flow, liquidity, and results of operations. The company noted that total consolidated revenues decreased by 5.7% to $775.5 million and 6.7% to $1,017.6 million during the three and six months ended December 29, 2024, compared with the same periods in the prior year. The company attributed the decline to broader macro-economic conditions impacting consumer discretionary spending, particularly in everyday or just-because gift giving. Furthermore, the company recorded a non-cash impairment charge of $19.8 million for the PersonalizationMall tradename due to a decline in actual and projected revenue.
The report also highlighted the company's recent acquisitions, including the purchase of certain assets of Scharffen Berger, a chocolate manufacturing company, and Card Isle, an e-commerce greeting card company. The acquisitions aimed to expand the company's product offerings in the Gourmet Foods & Gift Baskets Segment and enhance its presence in the greeting card category across all brands. Additionally, the company updated its fiscal 2025 guidance, expecting total revenues to decline in the mid-single digits, with adjusted EBITDA projected to be in a range of $65 million to $75 million and free cash flow in a range of $25 million to $35 million.
The report also provided non-GAAP financial measures, including EBITDA, Adjusted EBITDA, adjusted net income, and adjusted segment contribution margin, to supplement the GAAP results and provide a comprehensive view of the company's performance. As a result of these announcements, the company's shares have moved -0.4% on the market, and are now trading at a price of $8.05. For more information, read the company's full 10-Q submission here.
