Allbirds Q2 2022 Earnings Report
Key Takeaways
Allbirds reported strong second quarter performance, achieving revenue expectations and exceeding adjusted EBITDA expectations. Net revenue increased by 15% to $78.2 million, with a 21% growth in the United States. The company launched the Tree Flyer running shoe and introduced SwiftFoamTM technology. Simplification Initiatives are expected to generate annualized SG&A expense savings of $13 million to $15 million beginning in 2023.
Net revenue increased 15% to $78.2 million compared to Q2 2021.
Net revenue in the United States grew 21% to $59.3 million compared to Q2 2021.
Gross profit decreased to $28.2 million, with a gross margin of 36.1%.
GAAP net loss was $29.4 million, or $0.20 per basic and diluted share.
Allbirds
Allbirds
Allbirds Revenue by Geographic Location
Forward Guidance
Allbirds is providing the following financial guidance targets for the third quarter of 2022: Adjusted net revenue of $65 million to $70 million, representing growth in the range of 4% to 12% versus the third quarter of fiscal 2021 and Adjusted EBITDA loss of $17.5 million to $15.5 million, including an estimated $2 million of recurring public company costs.
Positive Outlook
- Automating and expanding our supply chain
- Streamlining our operating structure
- Reinvesting some of these savings into building brand momentum through product innovation
- Marketing
- Retail stores, and marquee third party partnerships
Challenges Ahead
- External headwinds pressuring consumer spending in the United States will persist in the back half of 2022
- Cautious outlook in our updated 2022 guidance targets
- Dynamic operating environment
- COVID-19 restrictions in China
- The crisis in Ukraine