Q1 revenue at Drugstore.com increased 48% to $84.4 million from $57 million a year ago, the company has reported. Net loss for the quarter was $4.6 million down from $5.7 million in last year’s Q1.
“The first quarter of 2004 was an exciting quarter for us, as we began to see a significant return from our growth initiatives. This was demonstrated by an impressive 46% year-over-year growth in revenue from repeat customers in our over-the-counter business, which shows that our customers are getting more from and are doing more of their shopping at the drugstore.com web store,” said Kal Raman, president and CEO.
Sales in over-the-counter products grew by 48% to $35.5 million, mail-order pharmacy sales grew by 24% to $14.5 million, local pick-up pharmacy sales were flat at $21.5 million, and sales in the vision segment, which the company created in December as a result of the acquisition of International Vision Direct Corp., were $12.9 million.
Other metrics that Drugstore.com reported:
• Average order increased by 10% to $78.
• The company processed 1 million orders during the quarter, up 33% from a year ago.
• Active customers grew by 21% to 1.57 million and the average customer spent $174, up from $160, annually. Sales from repeat customers grew by 45% for the quarter, with revenue from repeat customers representing 73% of total sales. During the quarter, the company added 306,000 new customers, bringing total customer base to over 5.1 million.
• Marketing and sales expense per new customer for the first quarter was $20, up $3 from the fourth quarter of 2003 reflecting the assumption and integration of Vision Direct marketing efforts.
• Fulfillment and order processing expenses declined as a percent of sales to 11% from 12.5%.
• Annualized inventory turns for the first quarter were approximately 17.
Drugstore confirmed its expectations that full-year sales will reach $360 million to $390 million, up more than 45% from last year with a net loss of $9.8 million to $13.8 million.
Back...
