“What online-only company is really profitable? Basically none of them. That’s this dirty secret.”

So said Everlane CEO Michael Preysman last week to CNBC’s Jim Cramer to explain why Everlane is opening stores.

The statement is a full reversal for Mr. Preysman, who told The New York Times in 2012 that he would rather “shut the company down” before opening a store.

Mr. Preysman told CNBC, “Everybody loves to say you don’t spend money online, but the way things work now with Facebook, Instagram, and how much it goes to acquire a customer, then you have to ship it all.” Read More