UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2025 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number: 001-41850 BEYOND, INC. (Exact name of registrant as specified in its charter) Delaware 87-0634302 (State or other jurisdiction of i ...

Financial Performance - Net revenue for Q1 2025 was $232 million, a decrease of 39.4% year-over-year[8] - Gross profit was $58 million, representing 25.1% of net revenue, with a 560 basis points improvement year-over-year[8] - Adjusted EBITDA improved by $35 million year-over-year, resulting in an adjusted EBITDA of ($13) million[8] - Net loss decreased by 46% year-over-year to $40 million, including $17 million of non-core and non-cash expenses[8] - The company reported a diluted net loss per share of $0.74, compared to $1.62 in the previous year[8] - Adjusted diluted net loss per share was $(0.74) in Q1 2025 compared to $(0.32) in Q1 2024[26] - Adjusted EBITDA improved to $(13,233) in Q1 2025 from $(47,843) in Q1 2024, indicating a significant reduction in losses[26] - The company reported a net loss of $(39,912) in Q1 2025, an improvement from $(73,928) in Q1 2024[26] Operational Metrics - Active customers decreased to 4,779 in Q1 2025 from 6,041 in Q1 2024, representing a decline of approximately 20.9%[21] - Total orders delivered in Q1 2025 were 1,196, down 46% from 2,211 in Q1 2024[21] - Average order value increased to $194 in Q1 2025 from $173 in Q1 2024, reflecting an increase of 12.1%[21] - Orders per active customer decreased to 1.34 in Q1 2025 from 1.41 in Q1 2024, a decline of 4.9%[21] Cash Flow and Expenses - Cash, cash equivalents, restricted cash, and inventory totaled $166 million at the end of Q1 2025[8] - Free cash flow was $(52,102) in Q1 2025, compared to $(38,032) in Q1 2024, reflecting an increase in cash outflow[27] - Net cash used in operating activities increased to $(50,921) in Q1 2025 from $(34,610) in Q1 2024[27] - Sales and marketing expenses were $31 million, or 13.5% of net revenue, reflecting a 430 basis points improvement year-over-year[8] - Technology and G&A expenses decreased to $41 million from $50 million in 2024, showing a $9 million improvement year-over-year[8] Strategic Focus - The company expects to transition out of restructuring and into a revenue growth phase within 60 days[1] - The company is focused on margin optimization, SKU rationalization, and fixed cost restructuring to restore financial discipline[2] - The company continues to focus on non-GAAP financial measures to provide a clearer picture of operational performance[22]

Corporate Changes and Branding - Beyond, Inc. changed its corporate name from Overstock.com, Inc. in November 2023 and transferred its common stock listing to the New York Stock Exchange [19]. - The company has undergone significant changes, including a rebranding from Overstock.com, Inc. to Beyond, Inc., and the acquisition of Bed Bath & Beyond and Zulily brands, which may lead to customer confusion and increased marketing costs [73]. Product and Service Offerings - The company offers a comprehensive array of products, with retail transactions fulfilled through a network of partners, reaching millions of product assortments [22]. - Beyond has entered into a collaborative partnership with Kirkland's Home brand to operate Bed Bath & Beyond neighborhood stores, enhancing market presence [21]. - The company actively cultivates relationships with manufacturers, distributors, and suppliers to ensure a diverse product offering, maintaining flexibility in supplier selection [23]. Customer Engagement and Experience - Beyond+ membership program and Welcome Rewards loyalty program enhance customer engagement and retention [21]. - The company emphasizes a simplified customer experience through a user-friendly interface and dedicated customer service [21]. - Effective marketing strategies are crucial for customer engagement and revenue generation, relying on email and search engine marketing [67]. Employee Relations and Development - The company reported approximately 610 full-time employees as of December 31, 2024, with a focus on maintaining good employee relations and high competition for qualified personnel [37]. - Beyond's total rewards philosophy includes competitive compensation programs designed to attract and retain employees, linking compensation to company performance [40]. - The company offers a competitive benefits package, including medical, dental, vision insurance, health savings accounts, and a generous 401(k) matching program [49]. - The corporate culture is performance-based, inclusive, and collaborative, contributing to high levels of employee engagement [51]. - The company emphasizes employee development through various resources, including online courses and mentoring programs [50]. Financial Performance and Challenges - The company reported an accumulated deficit of $740.5 million as of December 31, 2024, with significant losses incurred from 2022 to 2024, including non-cash losses on equity method investments and a write-down loss on corporate headquarters [77]. - Economic downturns, inflation, and weaknesses in the U.S. housing market have adversely affected the company's financial performance, particularly in sales of home-related products, which are sensitive to consumer discretionary spending [71]. - Revenue decreased by 11% in 2024 compared to 2023, primarily due to an 8% decrease in orders delivered and a 3% decrease in average order value [173]. - Gross profit decreased by 21% in 2024 compared to 2023, with gross margin declining to 20.8% from 23.4% [174]. Operational Risks and Compliance - The company faces intense competition from numerous online and traditional retailers, including Amazon and Wayfair [62]. - The company must adapt to evolving consumer preferences and technological advancements to maintain market share [64]. - Compliance with evolving data privacy laws requires significant resources, and any failure to comply could result in legal liabilities and damage to the company's reputation [81]. - Cybersecurity incidents could lead to financial penalties and damage to the company's brand, as it relies on both internal and third-party IT systems for operations [88]. - The company is subject to Payment Card Industry Data Security Standard (PCI-DSS) compliance, and failure to meet these standards could result in fines and restrictions [93]. Investment and Financial Strategies - The company provided $17.0 million in debt financing to Kirkland's Stores, Inc., including an $8.5 million convertible promissory note [184]. - The company entered into an asset purchase agreement to acquire the Buy Buy Baby brand for a total purchase price of $5.0 million [185]. - The company may issue additional shares of common or preferred stock in the future, which could adversely affect trading prices [130]. Market and Economic Conditions - Global conflicts have increased costs and limited availability of resources, impacting commodity pricing and potentially reducing consumer demand [109]. - The company faces risks from tariffs and trade restrictions that could increase product prices and limit access to imported goods, particularly from China [72]. - The evolving business model increases complexity, impacting management, operations, and financial resources [116]. Tax and Legal Matters - The company reported tax contingencies of $3.7 million for both 2024 and 2023, with potential for additional assessments within the next 12 months [195]. - The effective tax rate for 2024 was (0.3)%, a significant decrease from (15.7)% in 2023, influenced by recurring and non-recurring items [216]. Cybersecurity and Technology - The company has established a cybersecurity risk management program guided by frameworks like NIST CSF, overseen by its Board of Directors [143]. - The company acknowledges the challenges posed by evolving cyber threats and has not observed significant impacts from known cybersecurity threats [144]. - Cyberattacks are expected to increase in frequency and sophistication, potentially hindering the company's ability to detect and recover from incidents [90].

Financial Performance - Fourth quarter net revenue was $303 million, a decrease of 21.1% year-over-year, with total net revenue for the full year at $1.4 billion, down 10.6% year-over-year[10] - The fourth quarter net loss was $81 million, representing a 50% improvement compared to the previous year, with an adjusted EBITDA loss of $28 million, a 43% year-over-year improvement[4] - Gross profit for the fourth quarter was $70 million, or 23.0% of total net revenue, with a gross margin expansion of 380 basis points year-over-year[10] - Operating loss for the fourth quarter was $42.9 million, compared to a loss of $64.6 million in the same quarter last year[14] - The company reported a diluted net loss per share of $1.66 for the fourth quarter and $5.56 for the full year[10] - The net loss for the year ended December 31, 2024, was $258,795 thousand, a decrease from a net loss of $307,842 thousand in 2023, representing a 15.9% improvement[17] - The adjusted EBITDA for the year ended December 31, 2024, was $(143,984) thousand, compared to $(61,293) thousand in 2023, indicating a decline in operational performance[30] Customer Metrics - Active customers decreased by 4% year-over-year to 5.4 million, while orders delivered fell by 34% year-over-year to 1.7 million[10] - Active customers decreased to 5,415 in the three months ended December 31, 2024, down from 5,612 in the same period of 2023, reflecting a decline of 3.5%[24] - Last twelve months (LTM) net revenue per active customer decreased to $258 in 2024 from $278 in 2023, a decline of 7.2%[24] - Orders delivered fell to 1,675 in the three months ended December 31, 2024, compared to 2,549 in the same period of 2023, a decrease of 34.3%[24] - Average order value increased to $181 in the three months ended December 31, 2024, up from $151 in 2023, an increase of 19.9%[24] Cash Flow and Liquidity - The company ended the fourth quarter with a cash and restricted cash balance of $186 million[10] - Net cash used in operating activities for the year ended December 31, 2024, was $174,304 thousand, compared to $18,586 thousand in 2023, indicating a significant increase in cash outflow[30] - Free cash flow for the year ended December 31, 2024, was $(188,619) thousand, compared to $(37,767) thousand in 2023, reflecting a worsening cash position[30] - Net cash provided by investing activities was $24,926 thousand in 2024, contrasting with a net cash outflow of $(44,630) thousand in 2023[19] - The company reported proceeds from the sale of intangible assets amounting to $10,275 thousand in 2024, with no such proceeds reported in 2023[19] Strategic Focus - The company is focused on margin improvement and fixed cost reductions, aiming to build a profitable foundation[3] - Beyond, Inc. is ramping up its Overstock brand and refining its SKU/vendor strategy, which is expected to drive growth and profitability[4] Balance Sheet - Total liabilities decreased to $239.2 million from $276.7 million year-over-year, while stockholders' equity fell to $162.7 million from $359.1 million[13]

Financial Performance - Total net revenue for the three months ended September 30, 2024, was $311,428, a decrease of 16.6% compared to $373,313 for the same period in 2023[14] - Gross profit for the nine months ended September 30, 2024, was $220,502, down 24.5% from $292,156 in the prior year[14] - Operating loss for the three months ended September 30, 2024, was $(43,553), compared to $(40,930) for the same period in 2023, indicating a worsening of 6.5%[14] - Net loss for the nine months ended September 30, 2024, was $(177,536), an increase of 20.9% from $(146,849) in the same period of 2023[14] - For the three months ended September 30, 2024, the net loss was $61,030 thousand, compared to a net loss of $63,049 thousand for the same period in 2023, representing a decrease of 3.2%[19] - The net loss attributable to common shareholders for the three months ended September 30, 2024, was $61.0 million, resulting in a basic and diluted net loss per share of $1.33[74] - The nine-month net revenue decreased by 7.2% for the period ended September 30, 2024, primarily due to an 11% decrease in average order value[95] - Gross profit for the nine months ended September 30, 2024, decreased by 24.5% compared to the same period in 2023, with gross margin decreasing to 20.2% from 24.8%[100] Assets and Liabilities - Total current assets decreased to $183,082 as of September 30, 2024, from $350,073 as of December 31, 2023, reflecting a decline of 47.5%[10] - Total liabilities decreased to $232,145 as of September 30, 2024, down 16.0% from $276,686 as of December 31, 2023[10] - Cash and cash equivalents were $140,371 as of September 30, 2024, a significant decrease from $302,605 as of December 31, 2023[10] - Total stockholders' equity decreased to $196,193 as of September 30, 2024, down 45.4% from $359,132 as of December 31, 2023[12] - The total stockholders' equity at the end of the period was $196,193 thousand, a significant decrease from $516,184 thousand at the end of the same period in 2023[19] - Total assets as of December 31, 2023, amounted to $298,451 thousand, with cash equivalents at $246,425 thousand and equity securities at fair value of $41,046 thousand[31] Cash Flow and Financing - Cash used in operating activities for the nine months ended September 30, 2024, was $152,625 thousand, compared to cash provided of $9,131 thousand for the same period in 2023[21] - The company reported a net cash decrease of $161,252 thousand for the period, compared to a decrease of $45,984 thousand in the prior year[21] - As of September 30, 2024, the company had $200.0 million available under its "at the market" sales program[59] - For the nine months ended September 30, 2024, the company reported a net cash outflow of $152.6 million from operating activities, compared to a net cash inflow of $9.1 million for the same period in 2023[128] - Financing activities led to a net cash outflow of $2.1 million for the nine months ended September 30, 2024, mainly due to $3.3 million for payment of taxes withheld upon vesting of employee stock awards[130] Expenses - Operating expenses for the three months ended September 30, 2024, totaled $109,528, a decrease of 11.6% from $123,833 in the same period of 2023[14] - Sales and marketing expenses for the three months ended September 30, 2024, were $51,859,000, a decrease of 9.9% compared to $57,541,000 in the same period in 2023[105] - General and administrative expenses for the three months ended September 30, 2024, were $17,571,000, a decrease of 27.1% compared to $24,109,000 in the same period in 2023[109] - Technology expenses totaled $27.7 million for the three months ended September 30, 2024, a decrease of $1.6 million compared to the same period in 2023[89] - Cash payments included in operating cash flows from lease arrangements for the nine months ended September 30, 2024, were $2.628 million, down from $4.475 million in the prior year[50] Strategic Initiatives - Beyond, Inc. continues to focus on its asset-light ecommerce model, owning various retail brands including Overstock and Bed Bath & Beyond[23] - The company announced a reduction-in-force affecting approximately 20% of its workforce to strategically reduce costs[80] - The company plans to expand its global loyalty program, Beyond +, to enhance customer retention[83] - The Zulily acquisition has allowed the company to attract a younger demographic that shops more frequently[87] - The company continues to monitor macroeconomic trends, including higher interest rates and inflation, which may impact consumer confidence and spending[91] Legal and Compliance - Company involved in various legal proceedings which could materially affect business operations and financial position[144] - Potential significant damages and costs associated with ongoing litigation could divert management's focus from business operations[144] Investments and Acquisitions - The company entered into a collaboration agreement and a $40 million investment into The Container Store Group, Inc., involving the purchase of 40,000 shares of Series B Convertible Preferred Stock[76] - The company will provide $17 million in debt financing to Kirkland's Stores, Inc., including an $8.5 million convertible note with a conversion price of $1.85 per share[78] - A Loan and Security Agreement was established with BMO Bank N.A. for a $25 million revolving line of credit to support strategic ventures[79] Miscellaneous - The company has made a strategic change in the presentation of merchant fees and customer service costs, now classified under operating expenses for greater transparency[27] - The company recorded a gain on the sale of intangible assets amounting to $10,250 thousand during the nine months ended September 30, 2024[21] - The company recognized a gain of $10.3 million from the sale of intellectual property related to the Wamsutta brand, included in Other expense, net[40] - The company recorded a value of $112.5 million in equity securities of private companies as of September 30, 2024, with $21.5 million in equity securities and $10.9 million in debt securities recorded at fair value using Level 3 inputs[139] - The company's Senior Note carries a fixed annual interest rate of 4.242%, indicating no material direct financial statement risk associated with changes in interest rates[136] - Most sales and operating expenses are denominated in U.S. dollars, minimizing current exposure to foreign currency risk[137] - The company continues to monitor inflationary pressures affecting commodity and shipping prices, energy, and labor costs, which could impact financial performance[138] - No changes in internal control over financial reporting during the quarter ended September 30, 2024, that materially affected internal controls[142] - The effective tax rate for the three months ended September 30, 2024, was (0.3)%, compared to 17.5% for the same period in 2023[119]

Financial Performance - Total net revenue for Q3 2024 was $311 million, a decrease of 16.6% year-over-year[3] - Gross profit was $66 million, representing 21.2% of total net revenue[3] - The net loss for the quarter was $61 million, with a diluted net loss per share of $1.33[3] - Adjusted EBITDA was ($32) million, or (10.2)% of net revenue[3] - Net loss for the three months ended September 30, 2024, was $61,030,000 compared to a net loss of $63,049,000 for the same period in 2023[22] - Adjusted EBITDA for the three months ended September 30, 2024, was $(31,913,000), compared to $(23,931,000) for the same period in 2023[23] - The company reported a net decrease in cash, cash equivalents, and restricted cash of $(161,252,000) for the three months ended September 30, 2024[22] - Free cash flow for the nine months ended September 30, 2024, was $(163,954,000), compared to $(7,412,000) for the same period in 2023[25] - Net cash used in operating activities for the nine months ended September 30, 2024, was $(152,625,000), compared to $9,131,000 for the same period in 2023[25] Customer Metrics - Active customers increased by 21% year-over-year to 6.0 million[3] - Active customers increased to 5,961,000 in the last twelve months, up from 4,907,000 in the previous year, representing a growth of approximately 21.5%[18] - Last twelve months (LTM) net revenue per active customer decreased to $248 from $322, a decline of about 22.9%[18] Orders and Average Order Value - Orders delivered decreased by 19% year-over-year to 1.6 million[3] - Total orders delivered in the three months ended September 30, 2024, were 1,569,000, down from 1,945,000 in the same period last year, a decrease of approximately 19.3%[18] - Average order value increased to $199 from $192, reflecting a growth of about 3.6%[18] Cost Management and Business Strategy - The company expects to reduce its fixed expense base by an annualized $65 million heading into 2025[2] - Beyond is transforming its business model to focus on affinity marketing and data monetization[2] - The company announced a $20 million annualized reduction in staff-related expenses[2] Other Financial Highlights - Cash and cash equivalents totaled $140 million at the end of Q3 2024[3] - The company recognized a gain of $10,250,000 from the sale of intangible assets during the three months ended September 30, 2024[22]

Financial Performance - Net revenue for the three months ended June 30, 2024, was $398.1 million, a decrease of 5.7% compared to $422.2 million for the same period in 2023[23]. - Gross profit for the three months ended June 30, 2024, was $80.2 million, down 25.4% from $107.6 million in the prior year[23]. - Operating loss for the three months ended June 30, 2024, was $(47.0) million, compared to a loss of $(4.2) million for the same period in 2023[23]. - Net loss for the three months ended June 30, 2024, was $(42.6) million, compared to $(73.5) million in the same period last year[23]. - Net loss for the three months ended June 30, 2024, was $42,578 thousand, compared to a net loss of $73,493 thousand for the same period in 2023, representing a 42% improvement[25]. - For the six months ended June 30, 2024, the net loss was $116,506 thousand, an increase from $83,800 thousand in the prior year, indicating a 39% increase in losses[25]. - The company reported a comprehensive loss of $42,574 thousand for the three months ended June 30, 2024, compared to a comprehensive loss of $73,489 thousand for the same period in 2023[25]. Assets and Liabilities - Total current assets decreased to $232.2 million as of June 30, 2024, from $350.1 million as of December 31, 2023, representing a decline of 33.7%[18]. - Total liabilities decreased to $246.4 million as of June 30, 2024, down from $276.7 million at the end of 2023, a reduction of 10.9%[18]. - Cash and cash equivalents were $186.2 million as of June 30, 2024, down from $302.6 million at December 31, 2023, a decrease of 38.5%[18]. - Total cash, cash equivalents, and restricted cash decreased to $186,342 thousand at the end of the period from $343,076 thousand a year earlier, reflecting a decline of 46%[31]. - As of June 30, 2024, total contractual cash obligations amount to $46.354 million, with $4.312 million due within one year and $35.610 million due after five years[150]. Expenses - Sales and marketing expenses increased to $66.3 million for the three months ended June 30, 2024, up 34.7% from $49.2 million in the same period last year[23]. - Technology expenses totaled $27.3 million for the three months ended June 30, 2024, a decrease of $364,000 compared to the same period in 2023[108]. - General and administrative expenses decreased by $3.1 million for the three months ended June 30, 2024, compared to the same period in 2023[109]. - Customer service and merchant fees increased by $1.8 million for the three months ended June 30, 2024, primarily due to increased outsourced labor and credit card costs[109]. - Operating lease costs for the three months ended June 30, 2024, were $677,000, compared to $1,492,000 for the same period in 2023[68]. Stock and Equity - The company reported a weighted average of 45.7 million shares of common stock outstanding for the three months ended June 30, 2024[23]. - The total shares of common stock outstanding remained at 45,750 thousand as of June 30, 2024, unchanged from the previous year[29]. - The company had approximately 2.7 million shares of common stock remaining available under the Employee Stock Purchase Plan (ESPP) as of June 30, 2024[91]. - Stock-based compensation to employees and directors was $10,035 thousand for the six months ended June 30, 2024, down from $12,065 thousand in the prior year, a decrease of 17%[31]. - The stock-based compensation expense for the three months ended June 30, 2024, was $5,259,000, down from $6,270,000 for the same period in 2023[82]. Cash Flow - Operating cash flows showed a net cash used of $110,502 thousand for the six months ended June 30, 2024, compared to a net cash provided of $18,772 thousand in the same period of 2023[31]. - Net cash used in operating activities for the six months ended June 30, 2024, was $110.5 million, primarily due to a loss from operating activities adjusted for non-cash items[146]. - Investing activities resulted in a net cash outflow of $3.3 million for the six months ended June 30, 2024, mainly due to $8.0 million in property and equipment expenditures[147]. - Financing activities resulted in a net cash outflow of $2.6 million for the six months ended June 30, 2024, primarily due to tax payments upon vesting of employee stock awards[148]. Business Operations and Strategy - The company anticipates continued challenges in generating positive cash flow from operations due to ongoing market conditions and competition[12]. - The company is modifying its business model and expanding product offerings, which increases operational complexity and associated risks[170]. - The company is planning to sell its corporate headquarters, which could lead to an increase in remote work[173]. - The company continues to monitor liquidity and expects cash flows from future operations to be sufficient for at least the next twelve months[142]. - The company is evaluating the impact of recently issued accounting standards on its consolidated financial statements[41]. Legal and Regulatory Risks - The company is exposed to various legal proceedings that could materially affect its business and financial position[166]. - The company is subject to a wide variety of laws and regulations that may impede growth and increase expenses[154]. - Accrued tax contingencies as of June 30, 2024, stand at $3.8 million, with potential for additional assessments within the next 12 months[151]. Management and Workforce - The company underwent significant changes to its executive management team and board of directors in 2023 and 2024, with key positions still remaining open[173]. - In 2023, the company implemented a reduction in force and structural changes, including the elimination of Co-Chief Executive roles and dual Chief Merchant roles[173]. - The company emphasizes the importance of attracting and retaining highly-skilled personnel for future success[173]. - Uncertainties related to leadership changes and performance-based compensation may negatively impact employee retention and engagement[173].

Financial Performance - Total net revenue was $398 million, a decrease of 5.7% year-over-year[2] - The net loss for the quarter was $43 million, with a diluted net loss per share of $0.93[2] - Adjusted EBITDA was ($36) million, representing (9.1)% of net revenue[2] - The company reported a net loss of $116,506 thousand for the three months ended June 30, 2024, compared to a net loss of $83,800 thousand for the same period in 2023[15] - Adjusted EBITDA for the three months ended June 30, 2024, was $(36,376) thousand, compared to $8,234 thousand for the same period in 2023[24] - The company reported a free cash flow of $(118,453) thousand for the six months ended June 30, 2024, compared to $6,724 thousand for the same period in 2023[26] - Net cash used in operating activities was $(110,502) thousand for the six months ended June 30, 2024, compared to $18,772 thousand for the same period in 2023[26] Customer Metrics - Active customers grew to 6.2 million, representing a 35% year-over-year increase[2] - Active customers increased to 6,221 thousand in June 2024, up from 4,621 thousand in June 2023, representing a growth of approximately 34.6%[19] - Last twelve months (LTM) net revenue per active customer decreased to $247 in June 2024 from $361 in June 2023, a decline of approximately 31.6%[19] Orders and Revenue - Orders delivered reached 1.9 million, an increase of 8% year-over-year[2] - Total orders delivered increased to 1,949 thousand in June 2024, compared to 1,803 thousand in June 2023, reflecting a growth of about 8.1%[19] - Average order value decreased to $204 in June 2024 from $234 in June 2023, a decline of approximately 12.8%[19] Cash and Expenses - Cash and cash equivalents totaled $186 million at the end of the second quarter[2] - The company experienced a net decrease in cash, cash equivalents, and restricted cash of $(116,407) thousand for the three months ended June 30, 2024[15] - The company incurred stock-based compensation expenses of $10,035 thousand for the three months ended June 30, 2024, down from $12,065 thousand for the same period in 2023[15] Strategic Outlook - The company is on track to reduce fixed expenses by $45 million on an annualized basis, with significant progress made in the second quarter[1] - The company aims to leverage its brands and technology platforms for strategic partnerships and joint ventures to enhance capital returns[1] - Beyond, Inc. expects financial performance to improve throughout the remainder of the year[1]

Financial Performance - Net revenue for the quarter ended March 31, 2024, was $382.281 million, a slight increase from $381.140 million in the same period last year[22]. - Gross profit decreased to $74.359 million from $101.684 million year-over-year, reflecting a decline of approximately 27%[22]. - Operating loss for the quarter was $57.525 million, compared to an operating loss of $8.364 million in the prior year, indicating a significant increase in losses[22]. - Net loss for the quarter was $73.928 million, compared to a net loss of $10.307 million in the same quarter last year, representing an increase in losses of approximately 617%[22]. - The company reported a basic net loss per share of $1.62 for the quarter, compared to a loss of $0.23 per share in the same quarter last year[22]. - For the quarter ended March 31, 2024, Beyond, Inc. reported a net loss of $73.93 million, compared to a net loss of $10.31 million for the same period in 2023, indicating a significant increase in losses[31]. - The accumulated deficit increased to $555.60 million from $184.14 million year-over-year, highlighting the company's ongoing financial challenges[29]. - A net loss attributable to common shareholders of $73.93 million was reported for the three months ended March 31, 2024, compared to a net loss of $10.31 million for the same period in 2023[93]. Assets and Liabilities - Total current assets decreased to $305.444 million from $350.073 million as of December 31, 2023[18]. - Total liabilities increased to $289.511 million from $276.686 million, indicating a rise in financial obligations[18]. - Cash and cash equivalents decreased to $256.323 million from $302.605 million, reflecting a cash outflow during the quarter[18]. - Total stockholders' equity decreased to $287.747 million from $359.132 million, indicating a decline in the company's net worth[20]. - Total assets as of March 31, 2024, amounted to $242.7 million, a decrease from $298.5 million as of December 31, 2023[44]. - Total liabilities remained stable at $537,000 as of March 31, 2024, compared to $513,000 at December 31, 2023[44]. - Total cash, cash equivalents, and restricted cash decreased to $256.49 million at the end of the period from $374.93 million at the end of the same period in 2023, reflecting a decrease of approximately 31.5%[31]. Cash Flow and Investments - Operating cash flow showed a net cash used of $34.61 million, contrasting with a net cash provided of $20.01 million in the same quarter of 2023[31]. - Cash used in operating activities for the three months ended March 31, 2024, was $(34.6) million, compared to $20.0 million provided in the same period in 2023[134]. - Investing activities for the three months ended March 31, 2024, resulted in a net cash outflow of $9.1 million, mainly due to $5.7 million for purchases of intangible assets and $3.4 million for property and equipment[136]. - Financing activities for the three months ended March 31, 2024, resulted in a net cash outflow of $2.5 million, primarily due to $3.2 million for payment of taxes withheld upon vesting of employee stock awards[136]. Expenses - Sales and marketing expenses as a percentage of revenue rose from 12.3% in Q1 2023 to 17.8% in Q1 2024, primarily due to increased performance marketing and brand advertising expenses[103]. - Technology expenses totaled $29.6 million for the three months ended March 31, 2024, reflecting a $1.0 million decrease compared to the same period in 2023[103]. - General and administrative expenses totaled $20.5 million for the three months ended March 31, 2024, a slight decrease of 0.1% compared to the same period in 2023[120]. - Customer service and merchant fees increased by 16.5% year-over-year to $13.9 million for the three months ended March 31, 2024, representing 3.6% of net revenue[123]. - Other expense, net for the three months ended March 31, 2024, was $18.8 million, up from $7.4 million in the same period in 2023, primarily due to an increase in loss from equity method securities[124]. Corporate Governance and Compliance - The company is committed to compliance with the Securities Exchange Act of 1934, as evidenced by the certifications signed by the Chief Financial Officer[31.1][31.3]. - KPMG LLP has provided a Preferability Letter, confirming the company's adherence to accounting standards[18.1]. - The company has made amendments to its Certificate of Incorporation and Bylaws, reflecting ongoing corporate governance updates as of November 6, 2023[3.2][3.3]. - The company is actively engaging with stakeholders through its reporting and compliance efforts, reinforcing its market position[31.1][31.3]. Strategic Initiatives - The company is preparing for future growth and expansion, as indicated by the ongoing updates to its equity incentive plan[10.4]. - The company is involved in ongoing litigation that could materially affect its business and financial position, with no estimates of possible losses available at this time[69]. - The company committed to a plan to sell its corporate headquarters, expected to complete within one year[48]. - The company is exposed to inflationary pressures due to increases in commodity and shipping prices, which may impact financial condition and results of operations[147].

Revenue and Growth - Revenue growth of 0.3% year-over-year, reaching $382 million in Q1 2024[6] - Net revenue for March 2024 was $382.3 million, a slight increase from $381.1 million in March 2023[21] - Delivered 2.2 million orders, a 27% YoY increase in transaction volume[6] - Orders delivered increased to 2.21 million in March 2024 from 1.74 million in March 2023[27] - Active customers reached 6.0 million, a 26% YoY increase[6] - Active customers grew to 6.04 million in March 2024, up from 4.80 million in March 2023[27] Profitability and Losses - Gross profit of $74 million, representing 19.5% of total net revenue[6] - Gross profit decreased to $74.4 million in March 2024 from $101.7 million in March 2023, reflecting higher cost of goods sold[21] - Operating loss of $58 million and net loss of $74 million in Q1 2024[6] - Operating loss widened to $57.5 million in March 2024 compared to $8.4 million in March 2023, driven by increased sales and marketing expenses[21] - Net loss increased significantly to $73.9 million in March 2024 from $10.3 million in March 2023[21] - Adjusted EBITDA (non-GAAP) of ($48) million, representing (12.5)% of net revenue[6] - Adjusted EBITDA was negative $47.8 million in March 2024, compared to positive $3.4 million in March 2023[33] Financial Position and Cash Flow - Cash and cash equivalents totaled $256 million at the end of Q1 2024[6] - Free cash flow was negative $38.0 million in March 2024, a significant decline from positive $14.8 million in March 2023[35] Customer Metrics - LTM net revenue per active customer decreased to $259 in March 2024 from $370 in March 2023[27] - Average order value dropped to $173 in March 2024 from $220 in March 2023[27] Strategic Initiatives - Acquired Zulily, aiming to double down on off-priced home and lifestyle business[1] - Soft launched Overstock site 6 months ahead of schedule, showing promising early growth[1] - Plan to reduce expenses by $45 million on an annualized basis, with half already achieved[5]