Business
The Honest Company Reports Second Quarter 2024 Results and Raises Full Year Outlook
Achieves Record Revenue of $93 million, up 10%Improved Profitability with Gross Margin of 38%, a 1,120 Basis Point IncreaseRaises Full Year 2024 Revenue and
About this update from The Honest Company, Inc.
[{"type":"text","content":"Achieves Record Revenue of $93 million, up 10%Improved Profitability with Gross Margin of 38%, a 1,120 Basis Point IncreaseRaises Full Year 2024 Revenue and Adjusted EBITDA Outlook LOS ANGELES, Aug. 08, 2024 (GLOBE NEWSWIRE) -- The Honest Company (NASDAQ: HNST), a personal care company dedicated to creating clean- and sustainably-designed products, today reported financial results for the three and six months ended June 30, 2024 compared to the three and six months ended June 30, 2023. “This quarter, it is evident that our team’s commitment to our three Transformation Pillars of Brand Maximization, Margin Enhancement, and Operating Discipline is working, resulting in outstanding performance that has exceeded our expectations. In addition to delivering our highest quarterly revenue of $93 million in the second quarter, we continued to increase profitability and achieved gross margin of 38%. This strong performance and momentum give us confidence to raise our financial outlook for the full year,” said Chief Executive Officer, Carla Vernón. “At Honest, we are a company of builders. And, with a stronger financial foundation in place, this team is fully enrolled in helping to expand and strengthen the Honest brand and the portfolio of products that our community loves and trusts.” Second Quarter Results(All comparisons are versus the second quarter of 2023) For the three months endedJune 30, 2024 2023 Change (In thousands, except percentages) Revenue$93,049 $84,544 $8,505 Gross margin 38.3 % 27.1 % 11.2 %Operating expenses$39,657 $36,285 $3,372 Net loss$(4,077) $(13,416) $9,339 Adjusted EBITDA(1)$7,595 $(4,099) $11,694 Revenue was $93 million, an increase of 10%, compared to the second quarter of 2023 driven by strong performance across our baby products and wipes portfolios. Tracked channel consumption(2) for the Company grew 7% compared to the comparative categories which were down 0.3% in the same period. ______________(1) See the reconciliation of adjusted EBITDA, a non-GAAP financial measure, to net loss in the table under “Use of Non-GAAP Financial Measures” below in this press release.(2) According to independent third-party tracked channel consumption data. Reflects consumption for diapers, wipes, baby personal care, skin care and cosmetics items for the latest 12 weeks ended June 16, 2024. Gross margin was 38.3% compared to ...