Business
Aterian Reports Second Quarter 2024 Results
Second Quarter Net Loss Improved by 89.6% Year Over Year Company Achieved Adjusted EBITDA Profitability SUMMIT, N.J., Aug. 08, 2024 (GLOBE NEWSWIRE) --
About this update from Aterian, Inc.
[{"type":"text","content":"Second Quarter Net Loss Improved by 89.6% Year Over Year Company Achieved Adjusted EBITDA Profitability SUMMIT, N.J., Aug. 08, 2024 (GLOBE NEWSWIRE) -- Aterian, Inc. (Nasdaq: ATER) (“Aterian” or the “Company”) today announced results for the second quarter ended June 30, 2024. Second Quarter Highlights Second quarter 2024 net revenue declined 20.6% to $28.0 million, compared to $35.3 million in the second quarter of 2023, primarily reflecting the impact of our SKU rationalization efforts.Second quarter 2024 gross margin improved to 60.4%, compared to 42.2% in the second quarter of 2023, primarily reflecting the positive impact of our SKU rationalization efforts and less liquidation of high-cost inventory compared to the prior period.Second quarter 2024 contribution margin improved to 17.4% from (3.6)% in the second quarter of 2023, primarily reflecting the positive impact of our SKU rationalization efforts and less liquidation of high-cost inventory compared to the prior period.Second quarter 2024 operating loss of ($3.2) million improved compared to an operating loss of ($36.4) million in the second quarter of 2023, reflecting an improvement of 91.2%. Second quarter 2024 operating loss includes ($2.9) million of non-cash stock compensation while second quarter 2023 operating loss includes ($3.2) million of non-cash stock compensation, a non-cash loss on impairment of intangibles of ($22.8) million, and restructuring costs of $(1.2) million.Second quarter 2024 net loss of ($3.6) million improved from a ($34.8) million loss in the second quarter of 2023, reflecting an improvement of 89.6%.Second quarter 2024 adjusted EBITDA improved to $0.2 million from a loss of ($8.0) million in the second quarter of 2023, reflecting an improvement of 102.0%.Total cash balance at June 30, 2024 was $20.3 million. Third Quarter OutlookFor the third quarter of 2024, Aterian Management believes that net revenue will be between $25.0 million and $27.0 million and that adjusted EBITDA will be between $0.0 million to $0.6 million. Management continues to believe that the Company will be profitable on an Adjusted EBITDA basis for the second half of 2024. Non-GAAP Financial Measures For more information on our non-GAAP financial measures and a reconciliation of GAAP to non-GAAP measures, please see the “Non-GAAP Financial Measures'' section below. The m...