Stitch Fix Inc

Previous wording

You should read the following discussion and analysis of our financial condition and results of operations together with our unaudited condensed consolidated financial statements and related notes thereto included in Part I, Item 1 of this report and with our audited consolidated financial statements and related notes and our Annual Report on Form 10-K (the “2023 Annual Report”) for the year ended July 29, 2023, filed with the Securities and Exchange Commission on September 20, 2023. We use a 52- or 53-week fiscal year, with our fiscal year ending on the Saturday that is closest to July 31 of that year. The fiscal year ending August 3, 2024(“fiscal 2024”)consists of 53 weeks, and the fiscal year ended July 29, 2023(“fiscal 2023”)consisted of 52 weeks. Throughout this Quarterly Report on Form 10-Q (this “Quarterly Report”), all references to quarters and years are to our fiscal quarters and fiscal years unless otherwise noted.

Current wording

You should read the following discussion and analysis of our financial condition and results of operations together with our unaudited condensed consolidated financial statements and related notes thereto included in Part I, Item 1 of this report and with our audited consolidated financial statements and related notes and our Annual Report on Form 10-K (the “2024 Annual Report”) for the year ended August 3, 2024, filed with the Securities and Exchange Commission on September 25, 2024. We use a 52- or 53-week fiscal year, with our fiscal year ending on the Saturday that is closest to July 31 of that year. The fiscal year ending August 2, 2025(“fiscal 2025”)consists of 52 weeks, and the fiscal year ended August 3, 2024(“fiscal 2024”)consisted of 53 weeks. Throughout this Quarterly Report on Form 10-Q (this “Quarterly Report”), all references to quarters and years are to our fiscal quarters and fiscal years unless otherwise noted.

Previous wording

Since our founding in 2011, we have helped millions of women, men, and kids discover and buy what they love through personalized shipments of apparel, shoes, and accessories. Currently, clients can engage with us in one of two ways that, combined, form an ecosystem of personalized experiences across styling, shopping, and inspiration: (1) by receiving a personalized shipment of items informed by our algorithms and sent by a Stitch Fix stylist (a “Fix”); or (2) by purchasing directly from our website or mobile app based on a personalized assortment of outfit and item recommendations (“Freestyle”). For a Fix, clients can choose to schedule automatic shipments or order on demand after they fill out a style profile on our website or mobile app. After receiving a Fix, our clients purchase the items they want to keep and return the other items, if any. Freestyle utilizes our algorithms to recommend a personalized assortment of outfits and items that will update throughout the day and will continue to evolve as we learn more about the client.

Current wording

In 2011, Stitch Fix introduced an innovative approach to shopping for clothing and accessories. We were inspired by the opportunity to create a client-first styling experience, offering an alternative to impersonal, time-consuming and inconvenient traditional shopping. Clients engage with us by (1) receiving a curated shipment of items informed by our algorithms and chosen by a Stitch Fix Stylist (a “Fix”); or (2) purchasing directly from our website or mobile app based on an individualized assortment of outfit and item recommendations (“Freestyle”). Clients choose to schedule regular shipments or order a Fix on demand. Then, after receiving a Fix, they can purchase the items they want to keep and return the other items, if any.

Previous wording

During the first quarter of fiscal 2024, we ceased operations of our UK business and the accounting requirements for reporting the UK business as a discontinued operation were met. Accordingly, any discussion of historical information in Management’s Discussion and Analysis below reflect the results of the UK business as a discontinued operation, and, amounts and disclosures below relate to the Company's continuing operations for all periods presented, unless otherwise noted. Refer to Note 12, “Discontinued Operations” within the Notes to the Condensed Consolidated Financial Statements included in Item 1 of this Quarterly Report for further details.

Current wording

During the first quarter of fiscal 2024, we ceased operations of our UK business and the accounting requirements for reporting the UK business as a discontinued operation were met. Accordingly, any discussion of historical information in Management’s Discussion and Analysis below reflects the results of the UK business as a discontinued operation, and amounts and disclosures below relate to the Company's continuing operations for all periods presented, unless otherwise noted. Refer to Note 12, “Discontinued Operations” within the Notes to the Condensed Consolidated Financial Statements included in Item 1 of this Quarterly Report for further details.

Previous wording

For the three and nine months ended April 27, 2024, we reported $322.7 million and $1,017.9 million in net revenue, representing a year-over-year decline of 15.8% and 17.1%, respectively, compared to the three and nine months ended April 29, 2023. As of April 27, 2024 and April 29, 2023, we had 2,633,000 and 3,288,000 active clients, respectively, representing a year-over-year decline of 19.9%.

Current wording

For the three months ended November 2, 2024, we reported $318.8 million in net revenue, representing a year-over-year decrease of 12.6%, compared to the three months ended October 28, 2023. As of November 2, 2024, and October 28, 2023, we had approximately 2,434,000 and 2,989,000 active clients, respectively, representing a year-over-year decline of 18.6%.

Previous wording

During the three and nine months ended April 27, 2024, we experienced a decline in net revenue year-over-year primarily due to our challenges in acquiring and retaining clients. We expect these challenges in acquiring and retaining active clients to continue having a negative compounding effect on net revenue throughout the remainder of fiscal 2024 and into fiscal 2025.

Current wording

During the three months ended November 2, 2024, we experienced a decline in net revenue year-over-year primarily due to our challenges in acquiring and retaining clients. We expect these challenges in acquiring and retaining active clients to continue having a negative compounding effect on net revenue throughout fiscal 2025. We remain focused on retaining current clients, improving the conversion of new clients, and enhancing our overall client experience for new and existing clients.

Previous wording

Net loss from continuing operations for the three and nine months ended April 27, 2024 was $22.0 million and $83.1 million, compared to a net loss from continuing operations of $18.4 million and $130.0 million for the three and nine months ended April 29, 2023.

Current wording

Net loss from continuing operations for the three months ended November 2, 2024, was $6.3 million, compared to a net loss from continuing operations of $26.2 million for the three months ended October 28, 2023.

Previous wording

For more information on the components of net loss from continuing operations for the three and nine months ended April 27, 2024, refer to the section titled “Results of Operations” below.

Current wording

For more information on the components of net loss from continuing operations for the three months ended November 2, 2024, refer to the section titled “Results of Operations” below.

Previous wording

During the three and nine months ended April 27, 2024, in furtherance of and as an expansion of the restructuring plan announced in June 2022 (the “2022 Restructuring Plan”), we recorded $4.8 million and $21.2 million of additional restructuring charges. Related to the 2022 Restructuring Plan and stylist compensation restructuring, we estimate we will incur between$1.0 million and$1.5 millionof additional cash restructuring charges in thenext two fiscal quarters, with substantially all of the cash payments to be completed by the end of the first quarter of fiscal 2025.

Current wording

During the three months ended November 2, 2024, in furtherance of and as an expansion of the restructuring plan announced in June 2022 (the “2022 Restructuring Plan”), we recorded $1.0 million of additional restructuring charges. Related to the 2022 Restructuring Plan, we estimate we will incur an immaterial amount of additional cash restructuring charges over thenext fiscal quarter, with substantially all of the cash payments to be completed by the end of the next fiscal quarter.

Previous wording

(1) For the three and nine months ended April 27, 2024, depreciation and amortization excluded $1.6 million and $9.2 million reflected in “Restructuring and other one-time costs.” For the nine months ended April 29, 2023, depreciation and amortization excluded $1.8 million reflected in “Restructuring and other one-time costs.”

Current wording

(1) For the three months ended October 28, 2023, depreciation and amortization excluded $4.3 million reflected in “Restructuring and other one-time costs.”

Previous wording

(2) Restructuring and other one-time costs include restructuring charges as described in Note 11, “Restructuring” in the Notes to the Condensed Consolidated Financial Statements in Item 1, as well as one-time professional service fees and retention bonuses for continuing employees.

Current wording

(2) Restructuring and other one-time costs include restructuring charges as described in Note 11, “Restructuring” in the Notes to the Condensed Consolidated Financial Statements in Item 1, and, for the three months ended November 2, 2024, also $1.4 million in one-time bonuses for certain continuing employees.

Previous wording

We define Free Cash Flow as cash flows provided by (used in) operating activities from continuing operations, reduced by purchases of property and equipment that are included in cash flows from investing activities from continuing operations. The following table presents a reconciliation of net cash flows provided by (used in) operating activities from continuing operations, the most comparable GAAP financial measure, to Free Cash Flow for each of the periods presented:

Current wording

We define Free Cash Flow as cash flows provided by operating activities from continuing operations, reduced by purchases of property and equipment that are included in cash flows from investing activities from continuing operations. The following table presents a reconciliation of net cash flows provided by operating activities from continuing operations, the most comparable GAAP financial measure, to Free Cash Flow for each of the periods presented:

Previous wording

We believe that the number of active clients is a key indicator of our growth and the overall health of our business. We define an active client as a client who checked out a Fix or was shipped an item via Freestyle in the preceding 52 weeks, measured as of the last day of that period. A client checks out a Fix when she indicates what items she is keeping through our mobile application or on our website. We consider each Women’s, Men’s, or Kids account as a client, even if they share the same household. We had 2,633,000 and 3,288,000 active clients as of April 27, 2024 and April 29, 2023, respectively, representing a year-over-year decline of 19.9%. The decline in active clients is due to dormant clients outpacing new client additions during the quarter, which we largely attribute to client conversion and retention challenges.

Current wording

We believe that the number of active clients is a key indicator of the overall health of our business. We define an active client as a client who checked out a Fix or was shipped an item via Freestyle in the preceding 52 weeks, measured as of the last day of that period. Clients check out a Fix when they indicate what items they are keeping through our mobile application or on our website. We consider each Women’s, Men’s, or Kids account as a client, even if they share the same household. We had approximately 2,434,000 and 2,989,000 active clients as of November 2, 2024, and October 28, 2023, respectively, representing a year-over-year decline of 18.6%. The decline in active clients is due to dormant clients outpacing new client additions during the quarter, which we largely attribute to client conversion and retention challenges.

Previous wording

We believe that net revenue per active client is an indicator of client engagement and satisfaction. We calculate net revenue per active client based on net revenue over the preceding four fiscal quarters divided by the number of active clients, measured as of the last day of the period. Net revenue per active client was $525 and $516 as of April 27, 2024, and April 29, 2023, respectively, or an increase of 1.7% year over year.

Current wording

We believe that net revenue per active client is an indicator of client engagement and satisfaction. We calculate net revenue per active client based on net revenue over the preceding four fiscal quarters divided by the number of active clients measured as of the last day of the period. Net revenue per active client was $531 and $506 as of November 2, 2024, and October 28, 2023, respectively, or an increase of 4.9% year over year.

Previous wording

Our business and operating results are subject to national and global economic conditions and their impact on consumer discretionary spending. As the macroeconomic environment is experiencing inflation, rising interest rates, recessionary concerns, tightening labor markets, and general uncertainty regarding the overall future political and economic environment, we cannot predict whether or when such circumstances may improve or worsen or what impact such circumstances could have on our business.

Current wording

Our business and operating results are subject to national and global economic conditions and their impact on consumer discretionary spending. As the macroeconomic environment is experiencing inflation, recessionary concerns, and general uncertainty regarding the overall future political and economic environment, we cannot predict whether or when such circumstances may improve or worsen or what impact such circumstances could have on our business.

Previous wording

Marketing expense is recorded in selling, general, and administrative expenses in the condensed consolidated statements of operations and comprehensive loss. The largest component of our marketing expense is advertising, which was $28.6 million and $82.5 million for the three and nine months ended April 27, 2024, and $26.8 million and $86.6 million for the three and nine months ended and April 29, 2023, respectively. We expect advertising expense to approximate 9% to 10% of revenue in the fourth quarter ended August 3, 2024, respectively; however, we will continue to be methodical about our approach when we are making advertising decisions, and may adjust our spending up or down based on performance.

Current wording

Marketing expense is recorded in selling, general, and administrative expenses in the condensed consolidated statements of operations and comprehensive loss. The largest component of our marketing expense is advertising, which was $30.0 million for the three months ended November 2, 2024, and $29.7 million for the three months ended and October 28, 2023. We will continue to be methodical about our approach when we are making advertising decisions, and may adjust our spending up or down based on performance.

Previous wording

We intend to leverage our data science and deep understanding of our clients’ needs to make targeted investments in technology and product, and we plan to prioritize investments with near-term positive returns. In the second quarter of fiscal 2023, we decided to close our Salt Lake City fulfillment center in order to optimize network capacity. In June 2023, we announced the intended closures of our fulfillment centers in Bethlehem, Pennsylvania and Dallas, Texas. The Bethlehem, Pennsylvania location ceased operations during the three months ended October 28, 2023 and the Dallas, Texas location ceased operations in the three months ended April 27, 2024. Refer to Note 11, “Restructuring” within the Notes to the Condensed Consolidated Financial Statements included in Item 1 of this Quarterly Report for further details.

Current wording

We intend to leverage our data science and deep understanding of our clients’ needs to make targeted investments in technology and product.

Previous wording

Interest income is generated from our cash equivalents and investments in available-for-sale securities.

Current wording

Interest income is generated from our cash, cash equivalents, and investments in available-for-sale securities.

Previous wording

Revenue decreased by $60.7 million and $209.9 million, or 15.8% and 17.1% during the three and nine months ended April 27, 2024, respectively, compared to the three and nine months ended April 29, 2023. The decrease for both periods was primarily due to a 19.9% decline in active clients from April 29, 2023 to April 27, 2024, which led to a decrease in sales of merchandise. Partially offsetting the revenue decline during the three months ended April 27, 2024, was an improvement in net revenue per active client, which was driven by an increase in the average order value with both average unit retail price and number of items kept by our clients per Fix increasing.

Current wording

Revenue decreased by $46.0 million, or 12.6% during the three months ended November 2, 2024, compared to the three months ended October 28, 2023. The decrease was primarily due to an 18.6% decline in active clients from October 28, 2023, to November 2, 2024, which led to a decrease in sales of merchandise. Partially offsetting the revenue decline during the three months ended November 2, 2024, was an improvement in net revenue per active client, which was driven by an increase in the average order value due to higher average unit retail prices for Fixes.

Previous wording

Gross margin for the three and nine months ended April 27, 2024, increased by 280 and 230 basis points, respectively, compared to the same period last year. For both respective periods, the increase in gross margin was primarily driven by improved product margins and transportation leverage as our carrier mix yielded more favorable rates year over year. For the three months ended April 27, 2024, the increase in gross margin was partially offset by additional inventory reserves.

Current wording

Gross margin for the three months ended November 2, 2024, increased by 180 basis points, compared to the prior year period. The increase in gross margin was primarily driven by transportation leverage as our carrier mix yielded more favorable year-over-year rates and improved product margins.

Previous wording

SG&A decreased by $12.4 million and $106.0 million for the three and nine months ended April 27, 2024, compared to the three and nine months ended April 29, 2023. The year-over-year decrease was primarily driven by our restructuring actions, as we realized lower year-over-year compensation and benefits expense including lower stock-based compensation expense, and lower facilities costs due to the $16.9 million non-cash impairment charge recorded in the three and nine months ended April 29, 2023. For the three months ended April 27, 2024, the decrease in SG&A was partially offset by an increase in advertising spend. For the nine months ended April 27, 2024, the decrease in SG&A was partially offset by one-time professional service fees.

Current wording

SG&A decreased by $34.0 million for the three months ended November 2, 2024, compared to the three months ended October 28, 2023. The year-over-year decrease was primarily driven by lower compensation and benefits expense including lower stock-based compensation expense, lower depreciation and amortization expense, and lower facilities costs, largely driven by our restructuring actions.

Previous wording

SG&A as a percentage of revenue increased to 53.2% for both the three and nine months ended April 27, 2024, compared with 48.0% and 52.7% for the three and nine months ended April 29, 2023, respectively. The increase in SG&A as a percentage of revenue for the three and nine months ended April 27, 2024, compared with the same period last year, was primarily driven by revenue declining at a faster rate than SG&A.

Current wording

SG&A as a percentage of revenue decreased to 48.2% for the three months ended November 2, 2024, compared with 51.5% for the three months ended October 28, 2023. The decrease in SG&A as a percentage of revenue for the three months ended November 2, 2024, compared with the same period last year, was primarily driven by lower compensation and benefits expense including lower stock-based compensation expense, lower depreciation and amortization expense, and lower facilities costs, largely driven by our restructuring actions, as a percentage of revenue.

Previous wording

Our continuing operations are subject to income taxes in the United States. Our effective tax rate for the three and nine months ended April 27, 2024 differs from the federal statutory income tax rate primarily due to the full valuation allowance recorded on our net federal and state deferred tax assets. The tax provision for the three and nine months ended April 27, 2024 is primarily comprised of state income taxes.

Current wording

Our continuing operations are subject to income taxes in the United States. Our effective tax rate for the three months ended November 2, 2024, differs from the federal statutory income tax rate primarily due to the full valuation allowance recorded on our net federal and state deferred tax assets. The tax provision for the three months ended November 2, 2024, is primarily comprised of state taxes.

Previous wording

Our effective tax rate for the three and nine months ended April 29, 2023 differed from the federal statutory income tax rate primarily due to the full valuation allowance recorded on our net federal and state deferred tax assets. The tax provision for the three and nine months ended April 29, 2023 is primarily comprised of state income taxes.

Current wording

Our effective tax rate for the three months ended October 28, 2023, differed from the federal statutory income tax rate primarily due to the full valuation allowance recorded on our net federal and state deferred tax assets. The tax provision for the three months ended October 28, 2023, is primarily comprised of state taxes.

Previous wording

Our principal sources of liquidity are our cash, cash equivalents, investments, cash flows from continuing operations, and borrowing capacity under our credit facility. As of April 27, 2024, we had $196.5 million of cash and cash equivalents attributable to continuing operations, which included $24.7 million held outside the U.S. in the UK, and $48.0 million of short-term investments with contractual maturities of 12 months or less. We will use our cash balances in the UK to settle the remaining liabilities attributable to our discontinued operations, and we plan to repatriate the remaining UK cash into the U.S. within 12 months of liquidating of the UK entity. This cash repatriation may be subject to taxes and other local statutory restrictions.

Current wording

Our principal sources of liquidity are our cash, cash equivalents, investments, cash flows from continuing operations, and borrowing capacity under our credit facility. As of November 2, 2024, we had $137.2 million of cash and cash equivalents attributable to continuing operations, which included $0.3 million held outside the U.S. in the UK, and $116.1 million of short-term investments with contractual maturities of 12 months or less. We will use our cash balances in the UK to settle the remaining liabilities attributable to our discontinued operations, and we plan to repatriate the remaining UK cash into the U.S. within 12 months of liquidating of the UK entity. This cash repatriation may be subject to taxes and other local statutory restrictions.

Previous wording

On December 4, 2023, we entered into a first lien credit agreement with Citibank, N.A., as agent and lender, which provides for a $50.0 million revolving credit facility maturing on December 4, 2026 (the “2023 Credit Facility”). The 2023 Credit Facility includes a sub-facility that provides for the issuance of letters of credit in an amount of up to $30.0 million. Availability of the 2023 Credit Facility will be based upon a borrowing base formula and periodic borrowing base certifications valuing certain of our accounts receivable, credit card receivables, and inventory as reduced by certain reserves, if any. Our borrowing availability as of April 27, 2024 was $50.0 million, and our borrowing capacity was $29.4 million as a result of outstanding letters of credit, and no outstanding borrowing.

Current wording

On December 4, 2023, we entered into a first lien credit agreement with Citibank, N.A., as agent and lender, which provides for a $50.0 million revolving credit facility maturing on December 4, 2026 (the “2023 Credit Facility”). The 2023 Credit Facility includes a sub-facility that provides for the issuance of letters of credit in an amount of up to $30.0 million. Availability of the 2023 Credit Facility will be based upon a borrowing base formula and periodic borrowing base certifications valuing certain of our accounts receivable, credit card receivables, and inventory as reduced by certain reserves, if any. Our borrowing availability based on balances as of November 2, 2024, was $50.0 million, and our excess availability was $31.3 million as a result of outstanding letters of credit, and no outstanding borrowing.

Previous wording

In January 2022, our Board of Directors authorized a share repurchase program to repurchase up to $150.0 million of our outstanding Class A common stock, with no expiration date (the “2022 Repurchase Program”). We may repurchase shares from time to time through open market repurchases, privately negotiated transactions, or other means, including through Rule 10b5-1 trading plans. The actual timing, number and value of shares repurchased in the future will be determined by the Company in its discretion and will depend on a number of factors, including price, trading volume, market conditions, and other general business conditions. Repurchases will be funded from the Company’s existing cash and cash equivalents or future cash flow. The repurchase program may be modified, suspended, or terminated at any time. During the three and nine months ended April 27, 2024 and April 29, 2023, the Company made no repurchases of Class A common stock. As of April 27, 2024, the Company had repurchased an aggregate 2,302,141 shares of Class A common stock for $30.0 million, and $120.0 million remained available under the 2022 Repurchase Program authorization.

Current wording

In January 2022, our Board of Directors authorized a share repurchase program to repurchase up to $150.0 million of our outstanding Class A common stock, with no expiration date (the “2022 Repurchase Program”). We may repurchase shares from time to time through open market repurchases, privately negotiated transactions, or other means, including through Rule 10b5-1 trading plans. The actual timing, number and value of shares repurchased in the future will be determined by the Company in its discretion and will depend on a number of factors, including price, trading volume, market conditions, and other general business conditions. Repurchases will be funded from the Company’s existing cash and cash equivalents or future cash flow. The repurchase program may be modified, suspended, or terminated at any time. During the three months ended November 2, 2024, and October 28, 2023, the Company made no repurchases of Class A common stock. As of November 2, 2024, the

Previous wording

During the nine months ended April 27, 2024, cash provided by operating activities from continuing operations was $20.0 million, which consisted of a net loss from continuing operations of $83.1 million, adjusted by non-cash charges of $82.8 million and a $20.4 million change in net operating assets and liabilities. The non-cash charges were primarily driven by $59.9 million of stock-based compensation expense and $36.5 million of depreciation, amortization, and accretion, partially offset by $12.9 million of changes in inventory reserves. The change in net operating assets and liabilities was primarily due to a $29.0 million change in gross inventory balances due to a decline in inventory receipts to bring inventory balances in line with current demand.

Current wording

During the three months ended November 2, 2024, cash provided by operating activities from continuing operations was $14.3 million, which consisted of a net loss from continuing operations of $6.3 million, adjusted by non-cash charges of $24.5 million and a $4.0 million change in net operating assets and liabilities. The non-cash charges were primarily driven by $12.7 million of stock-based compensation expense; $6.9 million of depreciation, amortization, and accretion; and a $5.0 million change in inventory reserves. The change in net operating assets and liabilities was primarily due to a $26.2 million change in gross inventory balances as we increased purchases in advance of the fall and winter season. This was largely offset by an increase in accounts payable and accrued liabilities of $23.7 million due to timing of inventory receipts and payments.

Previous wording

During the nine months ended April 29, 2023, cash provided by operating activities from continuing operations was $50.7 million, which consisted of a net loss from continuing operations of $130.0 million, adjusted by non-cash charges of $115.9 million and a change of $64.7 million in net operating assets and liabilities. The non-cash charges were primarily driven by $78.4 million of stock-based compensation expense, $31.3 million of depreciation and amortization, and $16.9 million in asset impairment charges. The change in our net operating assets and liabilities was primarily due to a change of $58.5 million in our inventory balance due to a decline in inventory receipts to bring inventory balances in line with current demand and a cash inflow of $26.6 million from income tax refunds, partially offset by a decrease of $29.7 million in accounts payable and accrued liabilities due to timing of payments.

Current wording

During the three months ended October 28, 2023, cash provided by operating activities from continuing operations was $20.6 million, which consisted of a net loss from continuing operations of $26.2 million, adjusted by non-cash charges of $36.8 million and a $9.9 million change in net operating assets and liabilities. The non-cash charges were primarily driven by $19.9 million of stock-based compensation expense, $13.8 million of depreciation, amortization, and accretion. The change in our net operating assets and liabilities was primarily due to a $33.3 million increase in gross inventory balances, as we increased purchases in advance of the fall and winter season. This was largely offset by an increase in accounts payable and accrued liabilities of $42.2 million due to timing of inventory receipts and payments.

Previous wording

During the nine months ended April 27, 2024, cash used in investing activities from continuing operations was $39.5 million. This was primarily due to the purchase of securities available-for-sale of $47.9 million and the purchases of property and equipment of $10.3 million, partially offset by the maturities of available-for-sale securities of $18.3 million.

Current wording

During the three months ended November 2, 2024, cash used in investing activities from continuing operations was $35.7 million. This was primarily due to the purchases of securities available-for-sale of $46.1 million, partially offset by the sales and maturities of available-for-sale securities of $14.7 million.

Previous wording

During the nine months ended April 29, 2023, cash provided in investing activities from continuing operations was $36.3 million. This was primarily due to sales and maturities of available-for-sale securities of $50.6 million, partially offset by purchases of property and equipment of $14.9 million.

Current wording

During the three months ended October 28, 2023, cash provided in investing activities from continuing operations was $9.2 million. This was primarily due to the maturities of available-for-sale securities of $12.8 million, partially offset by purchases of property and equipment of $3.7 million.

Previous wording

During the nine months ended April 29, 2023, cash used in financing activities from continuing operations was $10.4 million, primarily due to payments for tax withholding related to vesting of restricted stock units.

Current wording

During the three months ended November 2, 2024, cash used in financing activities from continuing operations was $3.8 million due to payments for tax withholding related to vesting of restricted stock units.

Previous wording

During the nine months ended April 27, 2024, cash used in financing activities from continuing operations was $11.8 million, primarily due to payments for tax withholding related to vesting of restricted stock units.

Current wording

During the three months ended October 28, 2023, cash used in financing activities from continuing operations was $4.1 million, primarily due to payments for tax withholding related to vesting of restricted stock units.