Purple Q3 2024 Earnings Report
Key Takeaways
Purple Innovation's third quarter revenue declined by 15.3% to $118.6 million, but the company saw improvements in profitability with adjusted gross margin increasing by 340bps and adjusted EBITDA loss narrowing to $(6.4) million. The restructuring plan is on track to deliver meaningful cost savings.
Third quarter net revenue decreased by 15.3% to $118.6 million compared to the same period last year.
GAAP gross margin was 29.7%, while adjusted gross margin improved to 40.5%, a 340bps increase year-over-year.
Net loss attributable to Purple Innovation was $(39.2) million, or $(0.36) per diluted share.
Adjusted EBITDA loss narrowed to $(6.4) million, an improvement from $(16.3) million in the prior year.
Purple
Purple
Forward Guidance
For the full year 2024, Purple expects to be at the lower end of its guidance range for net revenue of $490 million to $510 million and Adjusted EBITDA of $(20) million to $(10) million. The company expects positive Adjusted EBITDA in the fourth quarter.
Positive Outlook
- Prioritizing operational improvements
- Benefiting from operational improvements
- Expects positive Adjusted EBITDA in the fourth quarter