Blue Apron (NYSE: APRN) customer base is shrinking, but those who are staying are spending more.
The number of customers Blue Apron served in the third quarter shrank 6% from the year-ago quarter and 9% from last quarter. Average revenue per customer increased to $245 from $227 from the same time last year, but down from $251 last quarter.
Blue Apron attributed the dip to seasonal trends of the meal kit business and strategic actions which it's undertaking.
The meal kit company posted revenue of $210.6 million, beating analysts' expectations of $191.5 million. That's up 3% from the year-ago quarter, but down from the $238.1 million posted last quarter.
Blue Apron lost 47 cents per share in the quarter. Analysts had expected a loss of 42 cents per share.
Blue Apron has decreased its marketing expenses to rein in costs. In the third quarter, marketing cost $32.4 million, or 16.3% of its revenue, down from $49.6 million, or 24.2% of its revenue in the year-ago quarter. It plans to continue to shrink its marketing expenses in the fourth quarter.
Last month, Blue Apron laid off 6% of its workforce, or 300 people. The company expects the move to save it $23.5 million annually in the beginning of next year.
The company posted a third quarter loss of $87.2 million, or 47 cents per share. In the year-ago quarter, the company lost $37.4 million or 56 cents per share.
Shares were down 10 cents, or 2.1%, by Wednesday’s close to $4.67
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