1. Investment Snapshot
2. Thesis
3. Valuation & Price Target
4. Business & Product Moat
5. People & Governance
6. Market & Macro
7. Financial Quality
8. Risk Register
9. Prediction Market
10. 𝕏 Posts
Discussion
1. Investment Snapshot
2. Thesis
3. Valuation & Price Target
4. Business & Product Moat
5. People & Governance
6. Market & Macro
7. Financial Quality
8. Risk Register
9. Prediction Market
10. 𝕏 Posts
Discussion
1. Investment Snapshot
2. Valuation
Discussion
Symbol
PIK
Event Date
2021-11-11
IPO Date (Actual)
2021-11-03
Sector
Consumer
Subsector
Broadline Retail
Offer Range
$8.50-$8.50
Shares Offered
2.12M
7.62M
$61.0M
27.8%
Implied Upside vs Midpoint
Description
We began operations in 2016 as a subscription-based e-commerce company. We make shopping easy, convenient, and accessible for parents by delivering, in a box, fashionable and personalized outfits for kids. kidpik provides kids clothing subscription boxes for boys and girls of varying sizes from toddler to youth that include mix-&-match coordinated outfits that are personalized based on each member’s style preferences. We focus on providing entire outfits from head-to-toe (including shoes) by designing each seasonal collection in-house from concept to box. We help parents avoid the challenges of in-store shopping by styling coordinated outfits for their children. We save them time by delivering personalized, mix-&-match outfits curated by our team of seasoned stylists, that are ready to wear right out-of-the-box. Members shop from the comfort of their home and have one week to decide what to keep, return or exchange. We believe that parents appreciate the time saving convenience and styling support, and kids love the fun unboxing discovery of their clothing, shoes, and accessories. We have seen member growth since launching our subscription boxes in 2016. Our growth has come mainly though social media marketing where we continuously explore new channels and by expanding into new product lines such as adding boys clothing and toddler sizes. We attribute our growth to having solved what we believe to be two main pain points for parents and kids while shopping: Finding fashionable outfits that match: Parents do not always have the expertise to put together stylized, fashionable looks. Avoiding challenging in-store shopping experiences: Shopping can be difficult, time consuming, and may result in additional challenges, such as parents being required to bring their children with them to go shopping and having to visit multiple stores. kidpik styles and delivers outfits directly to members’ doors. To determine what members will receive in a subscription box, consumers take a 3-minute style quiz on www.kidpik.com, which provides us information about silhouettes, colors, prints, fits, level of sparkle, favorite looks, and other style preferences they or their kids may have. Members then select a box delivery frequency that works best for them - every 4, 6, or 12 weeks, and enter their shipping and payment information. Our stylists, in conjunction with our propriety algorithm, select coordinating, mix-&-match outfits which are personalized to each child’s unique style preferences. Using our own warehouse facility and management team, we ensure that each box is packed consistently. The outfits in the box are picked by our stylists and are a surprise to our members when they receive their box. The box of personalized fashion is shipped based on our members’ chosen frequency. Members pay no styling, shipping, return or exchange fees for their boxes and only pay for what they keep. If a member would like to return or exchange any item, it is free. They are only required to put the items into a pre-paid USPS bag, which we provide upon delivery, and drop it in a USPS mailbox. Starting on August 24, 2021, we began testing a styling fee charge to new members that is credited toward items they purchase. All current active subscription members have been grandfathered into our prior pricing model and are provided use of our styling service for free. --- Our principal executive offices are located at 200 Park Avenue South, 3rd Floor, New York, New York 10003. Telephone number: (212) 399-2323. Our principal website address is www.kidpik.com.
KIDPIK CORP. annual income statement and balance sheet, FY 2021 to FY 2023, as reported in SEC filings.
| Metric | FY 2021 | FY 2022 | FY 2022 | FY 2023 |
|---|---|---|---|---|
| Revenue | $16.9M | $21.8M | $16.5M | $14.2M |
| Gross profit | $9.9M | $13.0M | $9.9M | $6.0M |
| Operating income | ($3.7M) | ($5.7M) | ($7.8M) | ($9.9M) |
| Net income | ($4.2M) | ($5.9M) | ($7.6M) | ($9.9M) |
| Metric | FY 2021 | FY 2022 | FY 2022 | FY 2023 |
|---|---|---|---|---|
| Total assets | $9.3M | $22.2M | $16.1M | $7.1M |
| Total liabilities | $7.6M | $7.4M | $7.4M | $6.1M |
| Total equity | $1.8M | $14.7M | $8.7M | $1.0M |
| Cash & equivalents | $685K | $8.4M | $605K | $199K |