E-commerce grocery platform Boxed, Inc. finds its footing in a price-driven marketplace. The company, which offers bulk pantry consumables to households and businesses and licenses its e-commerce software to enterprise retailers, this week shared positive first-quarter financial results.
Overall, the balance sheet looks good for New York-based Boxed, which grew its net income 14.1% from a year ago to $46.6 million. The platform’s net retail revenue grew 11.3% year-over-year and its software and services arm’s net revenue jumped 127.1% over the same period. .
As net revenue, gross profit and average retail order value increased for the quarter, Boxed reported a net loss of $36.2 million and an adjusted EBITDA loss of $22.2 million , both higher than the previous year. Investments related to growth reduced gross profits somewhat, including costs related to advertising, labor and professional services. The company spent $6 million more on advertising in the first quarter of 2022 than in 2021 in an effort to support active customer growth and retention in the retail industry.
“We are delivering strong results to start 2022, with further growth acceleration and a host of exciting developments underway in our retail, software and services segments,” summarized Chieh Huang, Co-Founder and CEO. by Boxed. “B2B demand continued to strengthen in the quarter with the reopening of offices across America. Additionally, in this inflationary environment, we pride ourselves on delivering significant cost savings and convenience to our end customers. that may struggle during this period. Finally, we remain focused on investing in the advancement of our technology, which will support the growth of our software and services businesses around the world.
Along with sharing its track record, Boxed recapped some of its trading moves during the first part of its fiscal year. Among other initiatives, the company recently expanded its management team and expanded its partnership with FedEx to improve its delivery capability.
For the remainder of the year, Boxed maintained its previous guidance, expecting 24% to 38% year-over-year growth in total net revenue and an anticipated total loss in adjusted EBITDA of 70 to 80 millions of dollars. At the end of 2021, the online wholesaler became a public company.