Press release
CarParts.com Reports Second Quarter 2024 Results
TORRANCE, Calif., July 30, 2024 /PRNewswire/ -- CarParts.com, Inc. (NASDAQ: PRTS), a leading eCommerce provider of automotive parts and accessories, and a
About this update from Carparts.com, Inc.
[{"type":"text","content":"TORRANCE, Calif., July 30, 2024 /PRNewswire/ -- CarParts.com, Inc. (NASDAQ: PRTS), a leading eCommerce provider of automotive parts and accessories, and a premier destination for vehicle repair and maintenance needs, is reporting results for the second quarter ended June 29, 2024. \n\n \n \n \n \n \n \n\n \nSecond Quarter 2024 Summary vs. Year-Ago Quarter\nNet sales decreased to $144.3 million, down 18% from the year-ago quarter.Gross profit of $48.4 million vs. $60.4 million, with gross margin of 33.5%.Net loss was ($8.7) million, or ($0.15) per share, compared to a net loss of ($0.7) million, or ($0.01) per share.Adjusted EBITDA of ($0.1) million vs. $6.3 million.Cash of $34.1 million and no revolver debt.Total cumulative mobile app downloads of 450,000, more than double the number from the beginning of the year.Management Commentary\n\"Last quarter we discussed our emphasis on financial discipline and profitability by focusing on driving gross and net margins, accelerating efficiency and effectiveness to quickly deliver improved profitability; and achieving sustainable growth with strong long-term free cash flow.\nIn the second quarter, we made significant progress on gross margin and efficiencies, which reinforces our confidence that we're on the right track. We are confident in our roadmap and our opportunity as a leading online retailer in a highly fragmented $400 billion automotive aftermarket market. \nIn the first half of the year, we updated our pricing and marketing acquisition strategies to target more profitable customers and generate higher gross margins. As a result, in the second quarter, we saw sequential margin improvement with product margins at 54.0%, up 210 bps from Q1. We expect Q3 to be sequentially higher.\nWe are forging on a path that we expect will result in achieving sustainable and significantly positive Adjusted EBITDA next year while working towards achieving a 6-8% Adjusted EBITDA margin and enhanced free cash flow generation in the medium term\" said David Meniane, CEO. \nSecond Quarter 2024 Financial Results\nNet sales in the second quarter of 2024 were $144.3 million, down 18% from the year-ago quarter. The decrease was primarily driven by deliberate price increases to drive gross margin expansion combined with softness in consumer demand.\nGross profit in the second quarter was $48.4 million c...