Drugstore.com Inc. posted a 51% increase in net sales for the second quarter ended June 27, to $87.8 million, compared to $58.2 million for the period ended June 29, 2003.
“Our growth was led by strong sales in the over-the-counter (OTC) segment, which grew by 44%, and in the mail-order pharmacy segment, which posted 29% growth,” said Bob Barton, chief financial officer and acting CEO.
Sales in the OTC segment grew by were $36.7 million (including $3.9 million in wholesale OTC sales generated by the company’s December 2003 agreement to provide fulfillment services to Amazon.com, Inc.), mail-order pharmacy sales grew were $15.1 million, and local pick-up pharmacy sales grew were $23.1 million. The company’s vision segment (created in December 2003 as a result of the acquisition of International Vision Direct Corp.) contributed $12.9 million in net sales.
Order volume during the quarter (including wholesale OTC sales) grew by 48% year-over-year to over 1.16 million orders. Order volume for the first quarter of 2004 was 1.14 million orders.
The number of 12-month active customers grew by 28% to 1.68 million. The annual spend per active customer grew to $178, up 7%. Sales from repeat customers grew by 41% for the quarter, with revenue from repeat customers representing 72% of total sales. During the quarter, the company added 294,000 new customers (excluding wholesale OTC customers), bringing the total customer base to approximately 5.4 million unique customers since inception.
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