Blue Apron (APRN) falls as COVID-19 boost fails to save sales
- Shares of Blue Apron sinks as the company’s quarterly loss widens to $20.1 million in the three months through March.
- Sales have dropped 28 percent to $101.9 million as CEO Linda Findley Kozlowski slashed marketing costs to focus on high-loyalty customers.
- Since the end of the quarter, Blue Apron has seen a rise in consumer interest, with people isolated in their homes to slow the spread of the COVID-109 pandemic.
- “We are focused on driving customer retention and establishing longer-term consumer habits out of the heightened demand we have been seeing as a result of the impact of COVID-19,” CEO Linda Findley Kozlowski said. “We expect that this uptick in demand can be maintained beyond the period of the direct impact of COVID-19, even as restrictions begin to be lifted.”
- The company also said Wednesday it filed a shelf registration with the Securities and Exchange Commission to issue up to $75 million in stock or debt.
About Blue Apron
Blue Apron Holdings, Inc. operates as an ingredient-and-recipe meal kit service company. It engages in making home cooking accessible. The firm involves in demand planning, recipe creation, recipe merchandising, and marketing. Its products include meals and wine. The company was founded by Matthew J. Wadiak, Ilia M. Papas, and Matthew B. Salzberg in 2012 and is headquartered in New York, NY.