Investing

Voss Capital Discloses Major Position in PFSW / PFSweb After Q3 Results

Fintel Staff

Published: November 23, 2022 1:05 am

Fintel reports that Voss Capital, LLC has filed a 13G form with the SEC disclosing ownership of 1,310,365 shares of PFSweb, Inc. (PFSW). This represents 5.8% of the company.

PFSweb is a global commerce services company that manages the online customer shopping experience on behalf of major branded manufacturers and retailers.

Across two business units – LiveArea for data-driven marketing and omnichannel experience design through technology selection, platform implementation and orchestrated services, and PFS for order fulfillment, contact center, payment processing/fraud management, and order management services – they provide solutions to a broad range of Fortune 500® companies and household brand names such as Procter & Gamble, L’Oréal USA, ASICS, Pandora, Ralph Lauren, Shiseido Americas, the United States Mint, and many more.

In their most recent financial update, the company reported the following highlights:

Results and comparisons reflect the classification of LiveArea as a discontinued operation; all comparisons are to the comparable period in 2021.

• Total revenues increased 7% to $65.5 million.
• PFS Operations service fee equivalent (SFE) revenue (a non-GAAP measure defined and reconciled below) increased 4% to $43.7 million.
• PFS Operations service fee gross margin, excluding certain LiveArea-related activity, was 23% compared to 24%.
• Net loss from continuing operations was $6.1 million or $(0.27) per share, compared to net loss from continuing operations of $6.8 million or $(0.32) per share.
• Consolidated adjusted EBITDA from continuing operations (a non-GAAP measure defined and reconciled below) improved significantly to $0.2 million compared to $(1.3) million.
• PFS Operations adjusted EBITDA from continuing operations (a non-GAAP measure defined and reconciled below) increased 30% to $4.9 million compared to $3.8 million.
• Recorded nine bookings in Q3 worth an estimated $19 million in annual contract value (ACV). Q3 2022 marks PFS strongest sales bookings quarter since the Company began reporting this metric separately for its business units in 2018.
• Year-to-date through the third quarter of 2022, PFS has recorded 26 bookings worth an estimated $37 million in combined ACV, eclipsing the full year all-time PFS record.
• Fully exited the Allen, Texas headquarters building in October 2022 as the Company continues to implement its Work Anywhere hybrid workplace featuring office spaces co-located with all production facilities and continued full support for remote work. The Company anticipates significant cost savings and benefits to company culture with the Work Anywhere initiative.
• Opened new fulfillment center in North Las Vegas, the Company?s second fulfillment center in the region.
• Entered a new lease agreement for a second fulfillment center in the Dallas area. The facility is expected to open in the first half of 2023 and is expected to continue to improve productivity, reduce costs and provide co-located office space for corporate personnel.

What are other large shareholders doing?

Madison Avenue Partners, LP holds 2,633,189 shares representing 11.63% ownership of the company. No change in the last quarter.

AWM Investment Company, Inc. holds 2,054,155 shares representing 9.07% ownership of the company. In it’s prior filing, the firm reported owning 2,044,899 shares, representing an increase of 0.45%. The firm decreased its portfolio allocation in PFSW by 28.99% over the last quarter.

Newtyn Management, LLC holds 1,150,000 shares representing 5.08% ownership of the company. In it’s prior filing, the firm reported owning 1,131,505 shares, representing an increase of 1.61%. The firm decreased its portfolio allocation in PFSW by 6.66% over the last quarter.

Voss Capital, LLC holds 1,122,562 shares representing 4.96% ownership of the company. In it’s prior filing, the firm reported owning 873,734 shares, representing an increase of 22.17%. The firm decreased its portfolio allocation in PFSW by 10.25% over the last quarter.

Mangrove Partners holds 771,819 shares representing 3.41% ownership of the company. In it’s prior filing, the firm reported owning 487,163 shares, representing an increase of 36.88%. The firm increased its portfolio allocation in PFSW by 48.52% over the last quarter.

What is the overall Fund Sentiment?

There are 171 funds or institutions reporting positions in PFSweb, Inc.. This is an increase of 54 owner(s) or 46.15%.

Average portfolio weight of all funds dedicated to PFSweb, Inc. is 0.2203%, a decrease of 43.5656%. Total shares owned by institutions decreased in the last three months by 1.65% to 16,335,112 shares.

Fintel’s Fund Sentiment Score is a quantitative model that ranks companies from zero to 100 based on Fund Sentiment. Fund Sentiment is important because it tells you if funds are buying or selling – and in particular how the company ranks compared to other companies in the investing universe.

This article originally appeared on Fintel.