On February 24, following the 2021 financial results, Farfetch Ltd. (FTCH) stock rose further in the after hours.
The anticipation of the upcoming earnings had caused investors to flock towards the stock during the regular session. Thus, FTCH traded at a volume of 13.19 million shares in the session. The stock closed the session in the green with a gain of 5.19%. While the stock did move up in the session, it also marked a new 52-week low during the session. After closing the regular session at $15.01, FTCH added a further 26.65% in the after-hours. Hence, following the results, the stock rose to a value of $19.01 in the after-hours session on Thursday. The after-hours volume remained 2.24 million shares.
The luxury fashion industry technology platform provider, Farfetch Ltd. has a market capitalization of $5.3 billion. Currently, the company has 328.25 million shares outstanding in the market. With a year-to-date loss of 55.10%, FTCH stock has declined by 13.69% in the past five days.
FTCH’s 2021 Financial Summary
Gross Merchandise Value
The company reported a GMV of $4.2 billion for fiscal 2021 and $1.3 billion for Q4 2021. The respective GMVs increased by 33% and 22% YOY against the prior-year periods.
Revenue
Moreover, the company’s revenue increased by 35% YOY for fiscal 2021 and 23% YOY for the fourth quarter. Thus, the reported revenues were $2.3 billion and $666 million for fiscal 2021 and Q4 2021, respectively.
Earnings Per Share
For Q4 2021, the company reported diluted EPS of $(0.23) against $(6.47) in the year-ago quarter. The diluted EPS for fiscal 2021 and 2020 was $(1.07) and $(9.69), respectively.
Liquidity
The company had cash and cash equivalents of $1,363.1 million on December 31, 2021.
2022 Outlook
For fiscal 2022, the company expects digital platform GMV to grow by 28-32% YOY and brand platform GMV by 20-25%. Furthermore, FTCH expects an adjusted EBITDA margin of 1-2% for fiscal 2022.
Violet Grey’s Acquisition
On January 28, the company announced its plan to acquire Violet Grey, the cult-favorite luxury beauty retailer, for an undisclosed sum. Following the acquisition, the founder of Violet Grey, Cassandra Grey will become the global advisor for Beauty of the FTCH marketplace. Along with this, she will also become the co-founder of NGG Beauty for incubating new brands, in addition to chairing Violet Grey. The company will be launching Beauty of the FARFETCH Marketplace later this year.
It was just in December 2021, that the company acquired the resale platform LUXCLUSIF for an undisclosed sum.
