Business
The Honest Company Reports Third Quarter 2022 Results
Achieved Record Quarterly Revenue of $85 Million Driven By Retail Expansion and Innovation2023 First-Half Revenue Outlook of 7% to 10% Growth Versus the
About this update from The Honest Company, Inc.
[{"type":"text","content":"Achieved Record Quarterly Revenue of $85 Million Driven By Retail Expansion and Innovation2023 First-Half Revenue Outlook of 7% to 10% Growth Versus the First-Half of 2022 LOS ANGELES, Nov. 10, 2022 (GLOBE NEWSWIRE) -- The Honest Company (NASDAQ: HNST), a digitally native, mission-driven brand focused on leading the clean lifestyle movement, today reported financial results for the three and nine months ended September 30, 2022. Highlights: Third quarter revenue growth was 2% in the quarter. Revenue growth was negatively impacted by 8 percentage points due to a prior-year Skin and Personal Care rotational program with a key club retailer that did not repeat this year.Third quarter consumption of Honest products grew 6%(1)Accelerated growth in Household and Wellness category by integrating Honest Baby Clothing® into our lifestyle platformGross margin of 30.3% reflected a 30 basis point improvement versus the second quarter of 2022Updates full year 2022 revenue outlook for key digital customer’s inventory adjustments (lowering weeks of supply); maintains full year Adjusted EBITDA(2) outlook, reflecting positive Adjusted EBITDA in the fourth quarter2023 first-half revenue outlook of 7% to 10% growth versus the first-half of 2022 ____________ (1) According to independent third-party data. Reflects retail consumption for diapers, wipes, baby personal care, skin care and cosmetics items in total.(2) We do not provide guidance for the most directly comparable GAAP measure, net loss, and similarly cannot provide a reconciliation between our adjusted EBITDA outlook and net loss without unreasonable effort due to the unavailability of reliable estimates for certain components of net loss, including interest and other (income) expense, net, and the respective reconciliations. These items are not within our control and may vary greatly between periods and could significantly impact our financial results calculated in accordance with GAAP. “I’m delighted with our Honest team’s execution against our strategic priorities. In an uncertain macro environment, our brand and go-to-market strategies continue to resonate with the consumer. Our strong consumption and market share gains at retail have led to incremental distribution with both new and existing customers. We continue to make our products accessible to more consumers, while building brand...