1-800-Flowers.com Inc. Tuesday reported a narrower net loss in the third quarter. Revenue rose slightly, driven by the company’s gourmet food and gift baskets segment.
The Carle Place-based online florist and gift company reported a net loss of $9.13 million in the third quarter ended March 27, compared with a net loss of $10.81 million in the same period a year earlier.
The company’s revenue for the third quarter increased $2 million to $234.2 million, compared with a year earlier. Revenue growth was driven primarily by the company’s gourmet foods and gift baskets segment, which increased 6.6 percent to $99.1 million, including Oregon-based gift-basket retailer Harry & David, which it acquired in 2014.
1-800-Flowers’ consumer floral and BloomNet Wire Service were down, 3 percent and 1.9 percent, respectively, reflecting the impact of Valentine’s Day falling on a Sunday this year, which was partially offset by Easter moving into the quarter.
“We are very pleased with the results of the quarter,” 1-800-Flowers chief executive Jim McCann said in a statement. “Both our Consumer Floral and BloomNet segments achieved better than anticipated revenues and year-over-year increases in bottom-line contribution. In addition, our Gourmet Food and Gift Basket segment achieved solid revenue growth despite continued weak retail traffic impacting our Fannie May stores.”
1-800-Flowers reiterated its forecast for revenue growth in fiscal 2016 of 4 percent to 5 percent, compared with revenues of $1.12 billion in fiscal 2015.
At the June 30 close of this fiscal year, Jim McCann, the company’s founder, will relinquish his title as chief executive to his brother, Chris McCann, who is currently the company’s president. Jim McCann will be named executive chairman.
Separately, 1-800-Flowers announced customers will be able to order gifts using Amazon’s Alexa, a voice command service, on devices including the Echo, Echo Dot, Amazon Tap, or Fire TV. For example, customers would be able say, “Alexa, ask 1-800-Flowers.com to order a dozen roses” and the company would process the order and arrange for delivery.
Shares of 1-800-Flowers rose 11 cents, or 1.4 percent, to close at $8.11 on the Nasdaq Stock Market Tuesday.