Business
Purple Innovation Reports Fourth Quarter and Full Year 2023 Results
Company Projecting Mid to High Single Digit Percentage Revenue Growth in 2024 with Positive Adjusted EBITDA in the Second Half of the Year LEHI, Utah, March
About this update from Purple Innovation, Inc.
[{"type":"text","content":"Company Projecting Mid to High Single Digit Percentage Revenue Growth in 2024 with Positive Adjusted EBITDA in the Second Half of the Year \nLEHI, Utah, March 12, 2024 /PRNewswire/ -- Purple Innovation, Inc. (NASDAQ: PRPL) (\"Purple\"), a comfort innovation company known for creating the \"World's First No Pressure ™ Mattress,\" today announced results for the fourth quarter and year ended December 31, 2023.\n\n \n \n \n \n \n \n\n \nFourth Quarter Financial Summary (Comparisons versus Fourth Quarter 2022 and Third Quarter 2023)1\nNet revenue was $145.9 million, an increase of 1.1% compared to 4Q22 and an increase of 4.2% compared to 3Q23.Direct-to-Consumer (DTC) revenue increased 4.3% compared to 4Q22 and increased 2.4% compared to 3Q23.Wholesale revenue decreased 2.7% compared to 4Q22 and increased 6.7% compared to 3Q23.Gross margin was 33.2% compared to 34.6% in 4Q22 and 33.8% in 3Q23.Adjusted gross margin, which excludes discounts and transitional costs associated with the new product transition, was 36.7% in 4Q23 compared to 37.1% in 3Q23.Operating expenses were $64.7 million, or 44.3% of revenue compared to $61.9 million, or 42.9% of revenue in 4Q22 and $79.9 million, or 57.1% in 3Q23.Operating loss was $(16.2) million compared to an operating loss of $(11.9) million in 4Q22 and an operating loss of $(32.6) million in 3Q23.Net loss was $(18.3) million as compared to a net loss of $(71.7) million in 4Q22 and a net loss of $(36.0) million in 3Q23.Adjusted net loss was $(15.8) million, or $(0.15) per diluted share as compared to adjusted net loss of $(8.1) million, or $(0.09) per diluted share in 4Q22 and an adjusted net loss of $(19.4) million or $(0.18) per diluted share in 3Q23.EBITDA was $(10.1) million compared to $155.4 million in 4Q22 and $(29.7) million in 3Q23.Adjusted EBITDA was $(9.8) million compared to $(0.8) million in 4Q22 and $(16.3) million in 3Q23.Full Year 2023 Financial Summary (Comparisons versus Full Year 2022)2\nNet revenue was $510.5 million, a decrease of 10.9% compared to 2022.Direct-to-Consumer (DTC) revenue decreased 10.2% compared to 2022.Wholesale revenue decreased 11.9% compared to 2022.Gross margin was 33.7% compared to 36.3% in 2022.Adjusted gross margin, which excludes discounts and transitional costs associated with the new product transition, was 37.2% in 2023.Operating expenses were $285.5...