Nasdaq:FLWS
1 800 FLOWERS COM INC
A digital-first florist providing same-day delivery of flowers and gifts across North America via a robust omnichannel platform.
Key Metrics
Investment Thesis
Bull Case
Despite recent losses, the company retains a substantial cash position of $46.5M and manageable debt levels relative to its total assets of $772.6M. If management can successfully optimize its logistics network to reduce the high marketing expense ratio seen in 2025, the brand's dominance in same-day delivery could drive rapid margin expansion. The recovery in revenue trends or successful cost-cutting measures could unlock significant value from its undervalued equity base.
Bear Case
The company is currently unprofitable with a net loss of $200M and a negative operating profit, raising concerns about the sustainability of its business model in a low-margin sector. The sharp decline in revenue from $2.02B in 2023 to $1.69B in 2025 suggests a failing growth trajectory that may not be easily reversible. Investors should be wary of the high capital expenditures of $41.5M and the growing retained earnings deficit of $65M which limits financial flexibility.
About 1 800 FLOWERS COM INC
1 800 FLOWERS.COM operates as a leading digital florist and gift retailer serving North America with same-day delivery capabilities. The company specializes in online flower ordering, corporate gifting, and special occasion events through its proprietary technology platform and extensive logistics network. Key products include fresh cut flowers, floral arrangements, sympathy bouquets, and personalized gift baskets.
Analysis
Management Discussion
Management is facing substantial headwinds as the company reports a net loss of $200M for 2025, a sharp deterioration from the -$61M loss in 2024. Revenue has contracted to $1.69B in 2025 compared to $1.83B the prior year, indicating a challenging market environment or strategic shift away from high-growth initiatives. The massive cash burn is exacerbated by significant investing outflows of $44.5M and financing cash flows of -$42.1M, suggesting aggressive capital allocation or restructuring efforts amidst declining profitability.
Industry Overview
The digital florist industry is highly competitive with low barriers to entry but significant scale advantages held by established players like 1 800 FLOWERS.COM. Success in this sector depends on mastering perishable inventory management, optimizing last-mile delivery costs, and maintaining a strong brand reputation during peak seasonal demand periods. Industry consolidation is common as smaller players struggle with the high fixed costs of technology platforms and logistics infrastructure.
Financial Statements
Income Statement
Balance Sheet
Cash Flow
| Metric | 2023 | 2024 | 2025 |
|---|---|---|---|
| Revenue | $2.02B | $1.83B | $1.69B |
| Cost of Revenue | $1.26B | $1.10B | $1.03B |
| Gross Profit | $757.5M | $734.8M | $652.3M |
| Operating Expenses | $792.5M | $736.8M | $857.1M |
| Operating Income | $-35.0M | $-2.1M | $-204.8M |
| G&A | $112.7M | $118.1M | $116.9M |
| Marketing | $500.8M | $485.0M | $480.4M |
| Stock-Based Comp | $8.3M | $10.7M | $11.9M |
| D&A | $53.7M | $53.8M | $53.6M |
| Depreciation | $49.5M | $49.3M | $51.6M |
| Amortization | $4.2M | $4.4M | $2.0M |
| Other OpEx | $178.9M | $133.7M | $259.7M |
| Non-Operating Income | $0 | $0 | $0 |
| Interest Income | — | — | $3.4M |
| Pre-Tax Income | $-35.0M | $-2.1M | $-204.8M |
| Income Tax | $-2.1M | $203.0K | $-13.4M |
| Continuing Ops | $-33.0M | $-2.3M | $-191.4M |
| Discontinued Ops | $0 | $0 | $0 |
| Net Income | $-44.7M | $-6.1M | $-200.0M |
| Minority Interest | $0 | $0 | $0 |
| Net to Common | $-44.7M | $-6.1M | $-200.0M |
| Metric | 2023 | 2024 | 2025 |
|---|---|---|---|
| Current Assets | $373.1M | $385.7M | $282.7M |
| Cash & Equivalents | $126.8M | $159.4M | $46.5M |
| Accounts Receivable | $20.4M | $18.0M | $21.7M |
| Inventory | $191.3M | $176.6M | $177.1M |
| Prepaid Expenses | $34.6M | $31.7M | $37.4M |
| Other Current Assets | $0 | $0 | $0 |
| Long-Term Assets | $678.3M | $646.9M | $489.9M |
| PP&E (Net) | $234.6M | $223.8M | $215.6M |
| Intangibles | $139.9M | $116.2M | $89.4M |
| Goodwill | $153.4M | $156.5M | $37.6M |
| Operating Leases | $124.7M | $113.9M | $107.5M |
| Other LT Assets | $25.7M | $36.4M | $39.8M |
| Total Assets | $1.05B | $1.03B | $772.6M |
| Current Liabilities | $220.3M | $227.8M | $221.4M |
| Accounts Payable | $52.6M | $80.0M | $74.6M |
| Current Debt | $10.0M | $10.0M | $21.0M |
| Current Leases | $15.8M | $16.5M | $15.9M |
| Deferred Revenue | $33.7M | $25.0M | $23.7M |
| Other Current Liab | $-33.7M | $-25.0M | $-23.7M |
| Long-Term Liabilities | $359.3M | $338.5M | $282.9M |
| Long-Term Debt | $186.4M | $177.1M | $134.8M |
| LT Operating Leases | $117.3M | $105.9M | $99.6M |
| Other LT Liab | $55.6M | $55.5M | $48.5M |
| Total Liabilities | $579.6M | $566.3M | $504.3M |
| Shareholders' Equity | $471.8M | $466.3M | $268.3M |
| Paid-In Capital | $388.2M | $399.2M | $411.3M |
| Retained Earnings | $271.1M | $265.0M | $65.0M |
| AOCI | $-170.0K | $-127.0K | $-140.0K |
| Total L&E | $1.05B | $1.03B | $772.6M |
| Metric | 2023 | 2024 | 2025 |
|---|---|---|---|
| Net Income (CFO) | $-44.7M | $-6.1M | $-200.0M |
| Non-Cash Adjustments | $269.4M | $115.6M | $181.1M |
| Working Capital Changes | $-109.4M | $-14.5M | $-7.5M |
| Cash from Operations | $115.4M | $95.0M | $-26.4M |
| Capital Expenditures | $44.6M | $38.6M | $41.5M |
| Cash from Investing | $-50.8M | $-42.3M | $-44.5M |
| Share Buybacks | $1.2M | $10.4M | $10.2M |
| Cash from Financing | $30.8M | $-20.1M | $-42.1M |
| FX Effect | $0 | $0 | $0 |
| Net Change in Cash | $95.3M | $32.6M | $-112.9M |
| Beginning Cash | $31.5M | $126.8M | $159.4M |
| Ending Cash | $126.8M | $159.4M | $46.5M |
Frequently Asked Questions
How does 1 800 FLOWERS COM INC make money?
The company's revenue is primarily driven by its e-commerce direct-to-consumer channel for individual flower orders, corporate gifting solutions for businesses, and special occasion event services including weddings and funerals. Additional streams include retail sales through physical locations and partnerships with third-party retailers that facilitate product distribution.
What are the main risks for FLWS?
Significant exposure to seasonal revenue fluctuations where demand heavily concentrates in specific holidays like Valentine's Day and Mother's Day. Rising input costs for fresh flowers, packaging materials, and fuel can severely impact gross margins given the perishable nature of the core product. Operational risks include supply chain disruptions affecting flower availability and potential liability issues from delivery accidents or allergic reactions to products.
What is FLWS's competitive advantage?
1 800 FLOWERS.COM leverages a proprietary logistics network enabling same-day delivery in major metropolitan areas, creating a significant barrier to entry for competitors. The company's strong brand recognition and customer data analytics allow for superior personalization of gift selections and targeted marketing campaigns. An extensive supplier base provides flexibility in sourcing unique floral varieties and managing inventory volatility.
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Not financial advice. All content is for informational purposes only. Data may contain errors. Consult a qualified financial advisor before making investment decisions.