“Our strong top-line performance was the direct result of the improvements we’ve made to our client experience and assortment,” Stitch Fix CEO Matt Baer said Wednesday (Sept. 24) during the company’s quarterly earnings call.
During the quarter ended Aug. 2, Stitch Fix earned net revenue of $311.2 million, which was up 4.4% year over year when adjusted to account for an extra week in the same quarter in 2024, according to a Wednesday earnings release.
Baer said during the call that the revenue exceeded the company’s guidance and marked its second consecutive quarter of revenue growth.
Throughout 2025, Stitch Fix has focused on innovations that strengthen its ability to deliver a shopping experience that is personalized and client-centric, according to a presentation released Wednesday.
During the call, Baer highlighted the company’s recent rollout of its AI Style Assistant that is designed to address one of its clients’ biggest challenges: describing to a human stylist what they want from a new outfit.
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The AI Style Assistant chats with clients and uses leading questions and generative AI imagery to help them express what they are looking for, Baer said.
“Through the feedback we secure from the AI Style Assistant, as well as our sophisticated algorithms and the expertise of our human stylists, we are now able to be that much more precise with meeting each client’s individual needs,” Baer said.
Stitch Fix is also rolling out a feature that uses generative AI to combine imagery of the customer’s likeness with a variety of outfit recommendations so that they can visualize how they will look in an outfit, Baer said.
Another innovation that is now in beta is a platform called Stylist Connect that helps clients and stylists collaborate whenever the client needs assistance.
“Client feedback on this feature has been incredibly positive, and we are also seeing higher order values from clients who have been part of the early rollout,” Baer said.
Features like these have helped Stitch Fix take market share from competitors that can’t deliver the personalization consumers want and expect, Baer said.
“That’s the level of service we aspire to provide every day, harnessing the power of AI, almost 15 years of proprietary data, our algorithms that get smarter with every interaction, our assortment of leading brands and the human connection of our stylists who know each of their clients personally,” Baer said.
