Multi-channel retailer Dreams, Inc. revenues jumped 42.2 percent to $23.5 million in the first quarter from $16.5 million in the year-ago period. E-commerce revenues rose 52 percent to $16.8 million, largely driven by a 61 percent increase in the companys owned brands, led by FansEdge.com.
Management noted that Web syndication sites also contributed to the increase, with 56 websites generating a 51 percent increase in revenues to $5.7 million.
The companys loss from operations was $2.0 million in the first quarter, compared to a loss of $1.1 million in the same year-ago quarter. The loss from operations was attributed to one-time charges associated with the downsizing of non-core operations, an increase in cost of sales due to carryover expenses from the robust holiday season, as well as the investment in various initiatives to further leverage the company’s multi-channel retail strategy. Such initiatives include the company’s mobile channel, photo store and auction platforms, as well as the necessary staff to accommodate the growing infrastructure.
The net loss in the first quarter was $1.2 million or 3 cents a share, compared to a net loss of $864,000, or 2 cents per share in the same year-ago quarter.
