Provide Commerce Inc. exceeded its own forecast for its fourth quarter and fiscal year, reporting sales for the quarter that rose 52% to $51.9 million from a year ago. Net income was $4.2 million for the quarter compared with $4.5 million for the year-ago quarter. Net income for the quarter included a $3.2 million provision for income taxes versus a $300,000 provision in the fourth quarter of 2003. Provide Commerce operates the flower web site Proflowers.com, premium fresh fruit site CherryMoonFarms.com and premium meats site UptownPrime.com.
Collectively, for the quarter, the web sites added 373,000 new customers, 36% more than a year ago. For the year, 956,000 new customers were added, representing an increase of 47% over a year ago for a total of 3.1 million customers during the year. Repeat customers generated 54% of net sales in the fourth quarter versus 50% a year ago. Average order size rose a tad to $48.43 from $48.19 a year ago.
For the year, Provide Commerce, No. 63 in Internet Retailer`s Top 300 Guide to online retailers, reported that net sales rose 45% to $128.8 million. Net income before taxes increased 134% to $10 million, compared with $4.7 million last year.
“We are pleased with our results, which have exceeded our expectations for both net sales and profitability," says CEO Bill Strauss. “Our customer numbers reflect high levels of satisfaction and repeat purchase driven by high product quality and guaranteed freshness. Going forward, we’ll continue to invest in growing our business with the goal of strengthening our systems, operations and customer acquisition efforts.”