Business
Allbirds Reports Second Quarter 2023 Financial Results
Exceeds Q2 2023 Guidance Targets; Delivers Continued Progress Under the Company’s Strategic Transformation Plan Provides Third Quarter 2023 Financial Guidance
About this update from Allbirds, Inc.
[{"type":"text","content":"Exceeds Q2 2023 Guidance Targets; Delivers Continued Progress Under the Company’s Strategic Transformation Plan Provides Third Quarter 2023 Financial Guidance SAN FRANCISCO, Aug. 08, 2023 (GLOBE NEWSWIRE) -- Allbirds, Inc. (NASDAQ: BIRD), a global lifestyle brand that innovates with naturally derived materials to make better footwear and apparel products in a better way, today reported financial results for the second quarter ended June 30, 2023. Q2 2023 Overview Net revenue decreased 9.8% to $70.5 million versus a year ago and increased 3.8% compared to Q2 2021Net loss of $28.9 million, or $.19 per basic and diluted shareAdjusted EBITDA1 loss of $18.3 millionEnding inventory of $92.8 million, representing a decrease of 24% versus a year ago and the lowest level since Q2 2021Significantly reduced operating cash use in Q2; generated positive operating cash flow of $0.8 million compared to negative operating cash flow of $24.1 million a year ago.Introduced SuperLight collection, featuring an innovative midsole made of the Company’s most lightweight and low-carbon foam to dateAchieved B Corp recertification, earning an overall score of 96.5, up approximately 18% from the Company’s initial certification in 2016 “We are pleased to report another quarter of solid progress against our strategic transformation plan,” said Joey Zwillinger, Co-Founder and CEO. “Most notably, we gained traction across key benchmarks, including reducing inventory levels, lowering operating cash use and exercising cost control. Our teams are laser focused on the four key pillars under our plan, which has us on track to reignite growth, and improve capital efficiency with the goal of driving improved profitability.” Second Quarter Operating Results Net revenue decreased 9.8% to $70.5 million compared to the second quarter of 2022 and increased 3.8% compared to the second quarter of 2021. The year-over-year decrease is primarily attributable to a decrease in average selling price, driven by promotional activity, and an estimated $0.7 million negative impact from foreign exchange (FX). Gross profit totaled $30.1 million compared to $28.2 million in the second quarter of 2022, and gross margin increased to 42.8% compared to 36.1% in the second quarter of 2022. The increase in gross margin is primarily due to lower inventory write-downs, lower freight and logisti...