Business
Aterian Reports Third Quarter 2021 Results
Quarterly Net Revenue Grew 16% Year-Over-Year to $68.1 Million With Positive Adjusted EBITDA Quarterly Direct Revenue (excluding Wholesale and PPE) Grew 37%
About this update from Aterian, Inc.
[{"type":"text","content":"Quarterly Net Revenue Grew 16% Year-Over-Year to $68.1 Million With Positive Adjusted EBITDA Quarterly Direct Revenue (excluding Wholesale and PPE) Grew 37% Year-Over-Year Company Optimizing its Supply Chain and Secures Competitive Shipping Rates NEW YORK, Nov. 08, 2021 (GLOBE NEWSWIRE) -- Aterian, Inc. (Nasdaq: ATER) (“Aterian” or the “Company”) today announced results for the third quarter ended September 30, 2021. Third Quarter 2021 Highlights Net revenue grew 16% year over year to $68.1 million, compared to $58.8 million in the third quarter of 2020.Gross margin improved to 50.2% compared to 47.8% in the third quarter of 2020.Contribution margin declined to 12.1% from 19.1% in the third quarter of 2020 mainly as a result of cost increases due to supply chain disruptions.Operating income declined to a loss of $7.5 million, compared to operating income of $0.1 million in the third quarter of 2020.Operating expenses were $41.7 million which is an increase from $28.0 million in the third quarter of 2020. Operating expenses for the third quarter of 2021 include a $4.2 million benefit from the change in fair-value of earn out liabilities.Fixed operating expenses increased as a percentage of net revenue to 11.3% compared to 10.5% in the third quarter of 2020 when excluding non-cash stock-based compensation and amortization of intangibles of $11.4 million in the third quarter of 2021 and $4.9 million in the third quarter of 2020 and $4.2 million benefit from the change in fair-value of potential future performance based earnouts from acquisitions in 2021.Net loss of $(110.6) million, which includes a $(107.0) million loss from extinguishment of debt, a $8.1 million gain from the change in fair value of warrants, and a $(1.4) million gain associated with a derivative liability from our term loan, increased from a net loss of $(0.8) million in the third quarter of 2020.Adjusted EBITDA of $0.7 million decreased compared to $5.1 million in the third quarter of 2020.No new products launched in the third quarter compared to 8 in the third quarter of 2020.Total cash balance at September 30, 2021 decreased by $24.4 million from June 30, 2021 to $37.5 million. Yaniv Sarig, Co-Founder and Chief Executive Officer, commented, “This quarter was an all-hands effort to stabilize our business, strengthen our balance sheet and prepare Aterian to pur...