Beyond, Inc. Reports 39.4% Revenue Decline and $39.9 Million Net Loss in Q1 2025

Beyond, Inc. reported a significant decline in financial performance for the first quarter of 2025, with net revenue falling to $231.7 million, a decrease of 39.4% compared to $382.3 million in the same period of 2024. The company attributed this decline primarily to a 46% drop in orders delivered, which was partially offset by a 12% increase in average order value. The decrease in orders was influenced by a reduction in website visits, driven by changing consumer spending preferences and macroeconomic factors affecting the home furnishings industry. Gross profit also decreased by 21.8% to $58.1 million, although gross margin improved to 25.1% from 19.5% due to effective merchandising actions and reduced carrier costs.

In terms of operational efficiency, Beyond, Inc. made notable reductions in operating expenses, which totaled $81.7 million, down from $131.9 million a year earlier. Sales and marketing expenses decreased by 53.9% to $31.3 million, reflecting a strategic shift towards more efficient traffic channels. General and administrative expenses also saw a reduction of 30% to $14.3 million, primarily due to decreased staff-related costs. The company reported a net loss of $39.9 million, or $(0.74) per share, compared to a net loss of $73.9 million, or $(1.62) per share, in the prior year.

Strategically, Beyond, Inc. has been active in acquisitions and divestitures. In February 2025, the company completed the acquisition of certain intellectual property related to the buybuy BABY brand for $5 million, which is expected to enhance its product offerings. Additionally, in March 2025, Beyond sold its rights in the Zulily brand for $5 million while retaining a 25% ownership stake in a newly created entity. These moves are part of the company's broader strategy to streamline operations and focus on core brands.

As of March 31, 2025, Beyond, Inc. reported total assets of $363.7 million, down from $401.9 million at the end of 2024. The company had cash and cash equivalents of $114.6 million, a decrease from $159.2 million at the end of the previous year. The company’s total liabilities also decreased to $220.4 million from $239.2 million. The reduction in cash was primarily due to cash used in operating activities, which amounted to $50.9 million for the quarter.

Looking ahead, Beyond, Inc. remains cautious about the macroeconomic environment, including inflation and geopolitical events that could impact consumer confidence and spending. The company is focused on improving operational efficiency and exploring opportunities for growth through strategic investments and acquisitions. Despite the challenges, management believes that current cash reserves and expected cash flows will be sufficient to sustain operations for at least the next twelve months.