Figs’s (NYSE:FIGS) Q3: Strong Sales, Stock Jumps 16.2%

Healthcare apparel institution Figs (NYSE:FIGS) reported Q3 CY2025 results exceeding the market’s gross expectations , with income up 8.2% twelvemonth connected twelvemonth to $151.7 million. Its non-GAAP nett of $0.05 per stock was importantly supra analysts’ statement estimates.

Is present the clip to bargain Figs? Find retired successful our afloat probe report.

• Revenue: $151.7 cardinal vs expert estimates of $142.5 cardinal (8.2% year-on-year growth, 6.4% beat)

• Adjusted EPS: $0.05 vs expert estimates of $0.02 (significant beat)

• Adjusted EBITDA: $18.85 cardinal vs expert estimates of $12.38 cardinal (12.4% margin, 52.3% beat)

• Operating Margin: 6.4%, up from -6.2% successful the aforesaid 4th past year

• Free Cash Flow Margin: 0.4%, down from 13.1% successful the aforesaid 4th past year

• Active Customers: 2.78 million, up 108,000 twelvemonth connected year

• Market Capitalization: $1.24 billion

Rising to fame via TikTok and founded successful 2013 by Heather Hasson and Trina Spear, Figs (NYSE:FIGS) is simply a healthcare apparel institution known for its stylish attack to aesculapian attire and uniforms.

Reviewing a company’s semipermanent income show reveals insights into its quality. Even a atrocious concern tin radiance for 1 oregon 2 quarters, but a top-tier 1 grows for years. Thankfully, Figs’s 23.7% annualized gross maturation implicit the past 5 years was impressive. Its maturation bushed the mean user discretionary institution and shows its offerings resonate with customers.

We astatine StockStory spot the astir accent connected semipermanent growth, but wrong user discretionary, a stretched humanities presumption whitethorn miss a institution riding a palmy caller merchandise oregon trend. Figs’s caller show shows its request has slowed importantly arsenic its annualized gross maturation of 3.2% implicit the past 2 years was good beneath its five-year trend.

We tin excavation further into the company’s gross dynamics by analyzing its fig of progressive customers, which reached 2.78 cardinal successful the latest quarter. Over the past 2 years, Figs’s progressive customers averaged 5.8% year-on-year growth. Because this fig is higher than its gross maturation during the aforesaid period, we tin spot the company’s monetization has fallen.

This quarter, Figs reported year-on-year gross maturation of 8.2%, and its $151.7 cardinal of gross exceeded Wall Street’s estimates by 6.4%.

Looking ahead, sell-side analysts expect gross to stay level implicit the adjacent 12 months, a flimsy deceleration versus the past 2 years. This projection is underwhelming and suggests its products and services volition spot immoderate request headwinds.

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