Kits Eyecare (TSX: KITS) has reported its third quarter financial results, posting topline revenue of $41.9 million, a record figure for the firm.

Revenue improved by 34% on a year over year basis, up from $31.2 million in the third quarter of 2023, and a jump from the $37.9 million recorded in the second quarter. Notably, Kits indicated that $15.9 million of that revenue was from new customers, while seeing strong repeat customer revenue, with the company indicating that average order values increased without providing specifics.

Gross profit also improved, climbing to $13.8 million, a 34.3% improvement over Q3 2023, while gross margins amounted to 32.9%.

Net income declined on a sequential and year over year basis, falling from $0.2 million in the second quarter and $0.5 million last year to $0.1 million in the third quarter of 2024. Adjusted EBITDA came in at $1.6 million, versus $1.3 million in Q2, and $0.6 million last year.

Kits Eyecare closed the quarter out with a cash balance of $19.1 million, a slight decline from the $19.3 million it had on the balance sheet as of the end of the second quarter.

Finally, the company is anticipating fourth quarter revenue to come in between $43 and $45 million, while Adjusted EBITDA will sit within the range of 3% to 5% of revenue.

Kits Eyecare last traded at $10.00 on the TSX.

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