Allbirds, Inc. reported a loss on a 10 percent sales decline in the second quarter but said it had made progress in its turnaround program focused on reducing inventory levels, lowering operating cash use and controlling expenses.

Sales of $70.5 million topped company guidance in the range of $64 million to $69 million. Adjusted EBITDA loss of $18.3 million was better than company expectations for a loss in the range of $20 million to $23 million.

Q2 2023 Overview

  • Net revenue decreased 9.8 percent to $70.5 million versus a year ago and increased 3.8 percent compared to Q2 2021;
  • Net loss of $28.9 million, or $.19 per basic and diluted share;
  • Adjusted EBITDA  loss of $18.3 million;
  • Ending inventory of $92.8 million, representing a decrease of 24 percent versus a year ago and the lowest level since Q2 2021.

Q3 2023 Financial Guidance Targets
Allbirds is providing the following financial guidance targets for the third quarter of 2023, which reflects ongoing work under the company’s strategic transformation plan:

  • Net revenue of $56 million to $61 million, a decrease of 23 percent to 16 percent versus the third quarter of fiscal 2022; and
  • Adjusted EBITDA loss of $23 million to $20 million.

 

For full details for the Allbirds quarter, including CEO vision, direction and progress against the company’s transformation plan to refocus efforts on core styles, go here:

EXEC: Allbirds Shares Pop As Transformation Efforts Gain Traction