Overstock's transformation from online retail company to blockchain leader hit another speed bump Monday.
Overstock said in a Securities and Exchange Commission filing Monday it has laid off approximately 250 employees, or about 12% of its workforce, so far this year. The company reported a net loss of more than $40 million for the fourth quarter and said that sales fell 1%. Shares of Overstock (OSTK) plunged 10% on the news.
CEO Patrick Byrne said in a letter to shareholders that "the losses were nauseating" and that the retail operations would be profitable again by year's end.
The mere fact that Overstock is still a retailer is frustrating to investors though. The company said in November that it hoped to sell its online retail business by February of this year so it could focus on its tZero security tokens for e-commerce and Medici Ventures, an investing firm that's betting on blockchain, a public digital ledger of transactions.
But Overstock said Monday that it still did not have a buyer for the retail arm. It has hired investment bank Guggenheim Securities to help with a possible transaction.