Boxed Inc (NYSE:BOXD) stock fell 1.83% (As on Mar 16, 12:12:52 AM UTC-4, Source: Google Finance) after the company in the fourth quarter of FY 21 has reported 4.2% rise in the Net revenue was $45.0 million for the fourth quarter. The increase was primarily due to the increase in Software & Services net revenue, which was partially offset by a modest decline in Retail net revenue. Software & Services net revenue was $5.3 million, which has no comparable period in 2020 as the Company did not recognize any net revenue for this segment in 2020. Retail net revenue was $39.7 million, a decrease of $3.5 million, or 8.1% versus the prior year period, as prior period results were bolstered by COVID-19-driven B2C demand. Gross profit of $9.2 million for the fourth quarter increased $3.1 million, or 50.4%, versus the prior year period. Gross margin was 20.3% for the fourth quarter, an increase of 625 basis points from 14.1% in the prior year period, primarily due to an increase in net revenue mix from the higher-margin Software & Services segment. Net loss was $38.9 million for the fourth quarter, compared to a net loss of $7.3 million in the prior year period. In the fourth quarter, Boxed incurred $20.7 million in other income (expense), net, largely relating to $15.3 million in non-cash expenses resulting from changes in fair value of warrants and other derivative liabilities, combined with one-time transaction costs associated with Boxed’s business combination.

Moreover, Adjusted EBITDA was a loss of $13.2 million for the fourth quarter, compared to a loss of $6.2 million in the prior year period, primarily due to increases in advertising expense and public company related investments in staff, insurance costs, and professional services costs. Gross Merchandise Value (“GMV”) was $45.9 million for the fourth quarter, compared to $48.0 million in the prior year period, which was primarily due to a reduction in Active Customers impacted by COVID-19-related volatility. Average Order Value (“AOV”) was $131 for the fourth quarter, an increase of $13, or 11.5%, versus the prior year period. The increase was attributable to an increase in B2B order mix, combined with price increases implemented in reaction to industry-wide inflationary pressures across the grocery supply chain. The Company’s cash and cash equivalents balance as of December 31, 2021 was $105.0 million. As of December 31, 2021, Boxed had total debt principal outstanding of $132.5 million, of which $87.5 million relates to the PIPE Convertible Notes.