The COVID-19 pandemic may have spurred Americans to purchase flowers for ailing friends and family.
One of the country’s largest online flower distributors, 1-800-Flowers.Com, reported record revenue and profits for its fiscal 2020 fourth quarter (Q4) that ended on June 28 and the full year.
The New York-based floral and gourmet foods gift retailer announced its net revenues increased 61 percent to $418 million in Q4, compared with $259 million in the prior year.
Total net revenues also climbed for the full fiscal year with a 19.3 percent increase to $1.49 billion, compared with $1.25 billion in the prior year, reflecting strong growth across its business segments.
“The record results of our fourth quarter and fiscal 2020 year demonstrate the strong execution of our strategy to engage with our customers and build deeper relationships and thereby drive sustainable, long-term growth,” said CEO Chris McCann in a statement. “Despite the unprecedented challenges brought on by the COVID-19 pandemic, all our associates across the company have worked tirelessly to help our customers express themselves and remain connected during a very difficult time.”
Net income was $9.8 million, or 15 cents per diluted share in Q4.
Adjusted net income for the quarter was $15 million, or 23 cents per diluted share, compared with a net loss of $8.3 million, or 13 cents per share, compared to the same period last year.
For the full year, adjusted net income increased 87 percent to $65 million, or 98 cents per diluted share, compared with $34.8 million, or 52 cents per diluted share, in the prior year.
Adjusted earnings before interest, taxes, depreciation, and amortization was $32.5 million in Q4 compared with a $2.7 million loss in Q4 of last year. Adjusted EBITDA increased for the year to 57.8 percent to $129.5 million, compared with $82.1 million in fiscal year 2019.
McCann said that through the first three quarters of fiscal 2020, prior to the onset of the pandemic, 1-800-Flowers saw strong growth.
“This reflects our ability to leverage our business platform, including our all-star family of brands, our focus on innovation in technology and product development and, most important, providing a truly exemplary customer experience,” McCann said in a statement. “We carried this momentum into the fiscal fourth quarter where it was accelerated by the pandemic as we saw customers increasingly turning to our brands and our expanded product offerings to help them remain connected and express themselves during a very difficult time. As a result, we achieved record top and bottom-line results for both the quarter and the full year.”