Fabletics focuses on Yitty for its next growth spurt
Fabletics is hinging its next phase of growth on its Yitty clothing partnership, COO Meera Bhatia tells Axios.
Why it matters: Yitty, a business venture with recording artist Lizzo, could well position Fabletics' for a public debut — which it was reportedly weighing last year.
What they're saying: "We may consider entering the public market at some point, but right now are focused on our business and have no timing to share," the company tells Axios.
- Fabletics declined to comment on the WSJ report from 2021 and future fundraising plans.
Details: Fabletics is heads-down on building out Yitty, which is Lizzo's first business venture outside of entertainment.
- And the fashion group isn't looking at acquiring or launching new brands in the near future, says Bhatia, who also serves as president of integrated service provider TechStyleOS.
- The long-term opportunity for Yitty, which started in shapewear, is to become a lifestyle brand.
By the numbers: The company is focused on expanding Fabletics' brick-and-mortar presence, with 86 locations, including two in Europe.
- In 2022 alone it has opened 13 stores and plans to continue that expansion in the U.S.
- Fabletics booked more than $500 million in revenue last year, Bhatia says, declining to disclose how much of that Yitty accounts for.
How it works: Fabletics, which provides affordable activewear, is as much a fashion company as a technology company, according to Bhatia.
- The company formed in 2013, the same year JustFab merged with ShoeDazzle, from which the FashionOS platform emerged to launch future brands, Bhatia says.
- FashionOS is tailored to Fabletics' global membership model, wherein customers pay a monthly membership fee for savings and discounts.
Of note: Kate Hudson was an early backer of Fabletics and remains involved in an advisory capacity. Kim Kardashian, who was behind ShoeDazzle, is no longer involved with the company.
Editor's note: This story was corrected by replacing references to TechStyleOS with Fabletics, which was spun off as an independent company last year during TechStyle Fashion Group's restructuring.