SFIXNasdaqRetail-Catalog & Mail-Order HousesUS GAAP · USD

Stitch Fix, Inc.

Stitch Fix, Inc. is a U.S.-based online personal styling company that sells clothing, shoes, and accessories through curated shipments and direct online shopping. The business combines human stylists with proprietary algorithms and data science to match clients with merchandise across its Fix and Freestyle offerings.

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Revenue1,348m USD
+6.4 %y/y
Operating profit (EBIT)-21.7m USD
+44.2 %y/y
EBIT margin-1.6%
+1.5 ppy/y
Net income-12.6m USD
+56.1 %y/y

Fiscal year 2026 · change from previous year

Development 2021–2026

-50005001,0001,5002,0002,500m USD2021: 2,101 m USD2021: EBIT -63 m USD20212022: 2,018 m USD2022: EBIT -184 m USD20222023: 1,638 m USD2023: EBIT -155 m USD20232024: 1,337 m USD2024: EBIT -133 m USD20242025: 1,267 m USD2025: EBIT -39 m USD20252026: 1,348 m USD2026: EBIT -22 m USD20261,348-22
RevenueOperating profit (EBIT)
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Business

Share of revenue
Fix styling service55 %

Curated shipments assembled by Stylists and algorithms, with items kept or returned.

Freestyle direct sales35 %

Direct purchases from the website or mobile app based on personalized recommendations.

Style Pass and styling fees5 %

Nonrefundable styling-related fees and annual access programs credited toward purchases.

Private label merchandise5 %

Owned brands and exclusive items designed from client data and sold only through Stitch Fix.

Customers

Stitch Fix serves U.S. consumers who want personalized apparel discovery without traditional shopping friction. Its client base includes women, men, kids, and specialty fit segments such as petite, maternity, and plus-size customers. The model depends heavily on repeat purchasing from active clients and on keeping clients engaged over time.

Women

Buy curated apparel, shoes, and accessories for style discovery and fit convenience.

Men

Buy personalized clothing and accessories through Fix or Freestyle for easier shopping.

Kids and family shoppers

Buy children’s apparel through the same personalized shopping platform.

Specialty fit customers

Buy petite, maternity, and plus-size apparel where fit and assortment matter most.

Highly engaged repeat clients

Buy frequently and drive a disproportionate share of revenue through recurring purchases.

Strategy

Stitch Fix’s strategy centers on using client data, AI, and stylist expertise to improve personalization and merchandise matching. It also relies on expanding and refining its assortment, including private-label and exclusive brand products, to improve client engagement and differentiate the service. Retaining active clients and attracting new ones remain central because the model depends on repeat purchases and long-term relationships.

Strengthen personalization engineMedium term

Better matching improves client satisfaction, conversion, and repeat purchases.

Grow active client baseShort term

Revenue depends on attracting new clients and retaining existing ones.

Broaden merchandise assortmentMedium term

A wider assortment helps serve more body types, styles, and price points.

Geography

Stitch Fix operates in the United States and reports a single continuing segment there. The company previously operated in the United Kingdom, but that business was discontinued, so current revenue and operations are U.S.-based. Geography matters mainly through domestic fulfillment, shipping, and sourcing rather than international market diversification.

Risks

The business is exposed to client retention risk, because repeat purchases from active clients drive a large share of revenue. It also faces fulfillment, shipping, inventory, and sourcing risks typical of apparel retail, where demand can shift quickly and merchandise must be managed carefully. Brand, intellectual property, and digital traffic risks matter as well because the company depends on its name, proprietary algorithms, and online discovery channels.

Sorted by severity
LowMediumHighLowMediumHighImpact →Likelihood →Client retention and engagement decline1New client acquisition shortfall2Inventory and merchandise mix execution3Fulfillment and shipping disruption4Sourcing and tariff exposure5
Impact is the risk’s severity and likelihood how probable it is over the next few years, both assessed from the company’s reports. Numbers match the list.
  1. Client retention and engagement declineImpact: HighLikelihood: High

    Revenue depends heavily on repeat purchases from active clients.

    Exposure: Repeat clients and high-frequency Fix users

  2. New client acquisition shortfallImpact: HighLikelihood: High

    Growth depends on bringing in new clients and converting them to repeat users.

    Exposure: Marketing and onboarding funnel

  3. Inventory and merchandise mix executionImpact: HighLikelihood: High

    Apparel demand, fit, and assortment choices directly affect sell-through and returns.

    ExposureBuyingPricingMarkdownsInventory reserves
  4. Fulfillment and shipping disruptionImpact: MediumLikelihood: High

    The service depends on timely picking, packing, and delivery to clients.

    Exposure: Fulfillment centers and carrier network

  5. Sourcing and tariff exposureImpact: MediumLikelihood: High

    Merchandise costs can rise if sourcing conditions or tariffs worsen.

    Exposure: Apparel and accessory supply chain

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Accounting

Judgemental items
Revenue netting and refund reserves

Reported revenue depends on estimated returns, discounts, and sales tax treatment.

Impact: Can shift revenue and gross margin between periods

Gift card breakage

Unused gift cards are recognized as revenue over expected redemption patterns.

Impact: Creates timing differences in revenue recognition

Inventory reserves and write-offs

Apparel demand and fit uncertainty require estimates for unsold or obsolete stock.

Impact: Affects cost of goods sold and reported margin

Seasonality and merchandise mix

Apparel demand and markdown activity vary by season and assortment changes.

Impact: Can cause meaningful quarter-to-quarter comparability noise

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Last updated: 24/09/2026