Acquisitions made by 1-800-Flowers.com Inc. are paying off in the form of higher e-commerce sales.
For the 2007 fiscal year, 1-800-Flowers is reporting that web sales accounted for about 55% of total sales. Based on that percentage, 1-800-Flowers grew its annual e-commerce sales to around $501.9 million, an increase of 16.6% from web sales of $430.3 million in fiscal 2006.
Overall, 1-800-Flowers.com, No. 34 in the Internet Retailer Top 500 Guide, is reporting FY 2007 net income of $17.1 million on sales of $912.6 million vs. net income of $3.2 million on sales of $781.7 million in FY 2006. In Q4 the company had net income of $6.6 million on sales of $231.8 million vs. net income of $1 million on revenue of $211.1 million in the previous year.
"We are very pleased with our results for both the fourth quarter and the full year,” says CEO Jim McCann. “In particular, our strong growth in EBITDA and EPS illustrates our stated commitment to achieving solid revenue growth while concurrently improving gross profit margin and leveraging our platform to drive operating efficiencies.”
For the full fiscal year, more than 6.6 million e-commerce customers placed orders, with repeat customers representing 47.7% of the total, says 1-800-Flowers.com. The company also attracted approximately 3.5 million new e-commerce customers. "We believe these strong customer metrics illustrate our ability to leverage our unique collection of assets across all of our business categories and brands, including our database of more than 25 million customers, our floral-category brand leadership, and our extensive online and offline marketing programs," says McCann.
1-800-Flowers.com, which in recent years has acquired companies such as Fannie May Confections Inc., also reports that consumer floral e-commerce sales totaled $154 million in Q4 and $491.4 million for the full 2007 fiscal year.