The world’s largest retailer will end free shipping for online orders under $50 Canadian starting April 2.
“Lean and efficient” infrastructure, low prices and customer service supported record growth, says CEO Patrick Byrne.
Overstock.com Inc. reported net operating income of $1.1 million for the fourth quarter ended Dec. 31, compared with an operating loss of $2.7 million in the year-ago quarter. For the year, operating loss totaled $4.1 million compared with $13.6 million for 2001. Fourth quarter revenue totaled a record $41.5 million, a 191% increase over last year’s Q4 revenue of $14.3 million. For the year, revenue was $91.8 million, a 129% increase over $40 million in 2001.
“Our fourth quarter results surpassed even our own expectations,” says CEO Patrick Byrne. “In what turned out to be lackluster quarter for many retailers, we managed record sales growth and achieved net income profitability for the fourth quarter.”
For the quarter, gross merchandise sales were $67.2 million, an increase of 170% over gross merchandise sales of $24.9 million in the year-ago quarter. For the year, gross merchandise sales were $154.5 million, a 123% increase over last year’s $69.3 million. Gross merchandise sales represent the gross sales price of goods sold by the company, including goods that Overstock sells on its own behalf and goods it sells for others and for which it receives a commission.