RedEnvelope Posts Strong Q2
RedEnvelope Inc., San Francisco, yesterday reported net revenue of $10.6 million for the second quarter of fiscal 2005 ended Sept. 26, 2004. Net revenue climbed 27 percent from the year-ago period.RedEnvelope is a multichannel retailer of upscale gifts that are available through a catalog and Web site, redenvelope.com. The company shipped about 148,000 orders in the second quarter, with jewelry as the largest of 14 product categories.
Revenue from customers who receive the catalogs increased 63 percent in the quarter while online sales grew 34 percent. Net revenue from existing customers represented about 62 percent of total net revenue in the period.
At the end of the quarter, RedEnvelope's customer file totaled about 2 million names.
The company completed the installation of new materials handling and warehouse management systems in the second quarter. It also launched an outdoor and print ad campaign that began appearing in the last few days of September.
