Overstock.com Inc. (OSTK, Financial) filed Quarterly Report for the period ended 2009-03-31.
Overstock.com Inc. is an online `closeout` retailer offering discount brand-name merchandise for sale over the Internet. Their merchandise offerings include bed-and-bath goods kitchenware watches jewelry electronics sporting goods and designer accessories. Overstock.com Inc. has a market cap of $307.5 million; its shares were traded at around $13.48 with and P/S ratio of 0.3. Overstock.com Inc. had an annual average earning growth of 47.6% over the past 5 years.
Free Cash Flow (a non-GAAP financial measure) for the three months ended March 31, 2009 and 2008 totaled $(28.8) million and $(42.4) million, respectively. For the twelve months ended March 31, 2009 and 2008, Free Cash Flow was $(3.2) million and $23.7 million. See Non-GAAP Financial Measures below for a reconciliation of Free Cash Flow to net cash provided by (used in) operating activities.
CommentaryBalance Sheet. We ended the quarter with $78.6 million in cash and cash equivalents, compared to $109.6 million at December 31, including marketable securities. Working capital was $33.7 million at March 31, 2009, down from $39.7 million at December 31, 2008. The $6.0 million difference is primarily comprised of $3.0 million used to retire debt (see below) and $1.7 million used for capital expenditures.
Direct revenue decreased 32% from $51.8 million in the first quarter of 2008 compared to $35.1 million in the first quarter of 2009. Fulfillment partner revenue increased 1% from the first quarter of 2008 compared to first quarter of 2009, from $151.1 million in the first quarter of 2008 to $152.3 million in the first quarter of 2009.
Other income (expense). For the three months ended March 31, 2009, other income (expense) was $1.7 million. This included a $1.9 million gain, net of amortization of debt discount of $63,000 on the extinguishment of $4.9 million of the Senior Notes (see Item 1 of Part I, Financial StatementsNote 10Stock and Debt Repurchase Program). This gain was offset in part by a loss on the disposition of fixed assets of $184,000.
Prior to the second quarter of 2002, we financed our activities primarily through a series of private sales of equity securities, warrants to purchase our common stock and promissory notes. During the second quarter of 2002, we completed our initial public offering pursuant to which we received approximately $26.1 million in cash, net of underwriting discounts, commissions, and other related expenses. Additionally, we completed follow-on offerings in February 2003, May 2004 and November 2004, pursuant to which we received approximately $24.0 million, $37.9 million and $75.2 million, respectively, in cash, net of underwriting discounts, commissions, and other related expenses. In November 2004, we also received $116.2 million in proceeds from the issuance of our 3.75% Convertible Senior Notes due 2011 in a transaction exempt from registration under the Securities Act. During 2006, we received $64.4 million from two stock offerings in May and December.
Read the The complete ReportOSTK is in the portfolios of Prem Watsa of Fairfax Financial Holdings, Inc..
Overstock.com Inc. is an online `closeout` retailer offering discount brand-name merchandise for sale over the Internet. Their merchandise offerings include bed-and-bath goods kitchenware watches jewelry electronics sporting goods and designer accessories. Overstock.com Inc. has a market cap of $307.5 million; its shares were traded at around $13.48 with and P/S ratio of 0.3. Overstock.com Inc. had an annual average earning growth of 47.6% over the past 5 years.
Highlight of Business Operations:
CommentaryCash Flows. We used $(27.1) million in cash flow from operations in the first quarter of 2009 compared to cash used of $(41.0) million during the same period in 2008. Operating cash flows in the first quarter are typically low compared to other times of year as we pay fulfillment partners and suppliers for products sold during the previous holiday season. On a trailing twelve month basis, however, operating cash flows were positive $15.9 million as of March 31, 2009. This compares to $27.2 million on a trailing twelve month basis as of March 31, 2008.Free Cash Flow (a non-GAAP financial measure) for the three months ended March 31, 2009 and 2008 totaled $(28.8) million and $(42.4) million, respectively. For the twelve months ended March 31, 2009 and 2008, Free Cash Flow was $(3.2) million and $23.7 million. See Non-GAAP Financial Measures below for a reconciliation of Free Cash Flow to net cash provided by (used in) operating activities.
CommentaryBalance Sheet. We ended the quarter with $78.6 million in cash and cash equivalents, compared to $109.6 million at December 31, including marketable securities. Working capital was $33.7 million at March 31, 2009, down from $39.7 million at December 31, 2008. The $6.0 million difference is primarily comprised of $3.0 million used to retire debt (see below) and $1.7 million used for capital expenditures.
Direct revenue decreased 32% from $51.8 million in the first quarter of 2008 compared to $35.1 million in the first quarter of 2009. Fulfillment partner revenue increased 1% from the first quarter of 2008 compared to first quarter of 2009, from $151.1 million in the first quarter of 2008 to $152.3 million in the first quarter of 2009.
Other income (expense). For the three months ended March 31, 2009, other income (expense) was $1.7 million. This included a $1.9 million gain, net of amortization of debt discount of $63,000 on the extinguishment of $4.9 million of the Senior Notes (see Item 1 of Part I, Financial StatementsNote 10Stock and Debt Repurchase Program). This gain was offset in part by a loss on the disposition of fixed assets of $184,000.
Prior to the second quarter of 2002, we financed our activities primarily through a series of private sales of equity securities, warrants to purchase our common stock and promissory notes. During the second quarter of 2002, we completed our initial public offering pursuant to which we received approximately $26.1 million in cash, net of underwriting discounts, commissions, and other related expenses. Additionally, we completed follow-on offerings in February 2003, May 2004 and November 2004, pursuant to which we received approximately $24.0 million, $37.9 million and $75.2 million, respectively, in cash, net of underwriting discounts, commissions, and other related expenses. In November 2004, we also received $116.2 million in proceeds from the issuance of our 3.75% Convertible Senior Notes due 2011 in a transaction exempt from registration under the Securities Act. During 2006, we received $64.4 million from two stock offerings in May and December.
Read the The complete ReportOSTK is in the portfolios of Prem Watsa of Fairfax Financial Holdings, Inc..
