Stitch Fix Inc. (SFIX), the online personal styling service, saw its shares surge 21.74% in Wednesday's intraday trading following the company's impressive first-quarter fiscal 2025 results. The strong performance was fueled by robust consumer demand for its personalized styling offerings and an improved assortment.

For the quarter ended November 2, 2024, Stitch Fix reported net revenue of $318.8 million, down 12.6% year-over-year but outpacing the consensus estimate of $306.9 million. The company delivered an adjusted loss per share of $0.05, significantly better than analysts' expectations of a $0.14 loss.

The company attributed its solid results to improvements in its assortment and client experience, as well as the ongoing execution of its transformation strategy. Stitch Fix introduced more newness and seasonally relevant styles into its offering during the quarter, driving a 6% increase in average unit revenue (AUR) year-over-year. The company's active client count stood at 2.434 million, slightly above the FactSet analyst consensus of 2.425 million, reflecting its efforts to acquire, retain, and reactivate highly engaged clients.

Stitch Fix's CEO, Matt Baer, stated, "Our clients are responding to the newness we have brought to our assortment as well as the improvements we've made to our client experience. This progress is a testament to the Stitch Fix team's ongoing execution of our transformation strategy, and we continue to expect to return to revenue growth by the end of FY26."