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Jun 30, 2023

Solo Brands Q2 2023 Earnings Report

Reported strong results driven by focus on profitability and wholesale channel expansion.

Key Takeaways

Solo Brands reported a decrease in net sales by 3.7% to $130.9 million, but a significant increase in net income to $11.5 million. The company's focus on profitability led to an expansion of the adjusted EBITDA margin to 19.1%. They are raising their adjusted EBITDA margin target from 16.5% to 17.5% to 17% to 18% for the full year.

Net sales decreased by 3.7% to $130.9 million.

Net income increased by 157.9% to $11.5 million.

Adjusted EBITDA increased by 5.6% to $25.0 million.

Wholesale revenues increased 57.0% to $31.3 million.

Total Revenue
$131M
Previous year: $136M
-3.7%
EPS
$0.22
Previous year: $0.4
-45.0%
Gross Profit
$83.1M
Previous year: $86.7M
-4.2%
Cash and Equivalents
$60.6M
Previous year: $26.7M
+126.7%
Free Cash Flow
$35.4M
Previous year: $10.7M
+230.9%
Total Assets
$881M
Previous year: $859M
+2.6%

Solo Brands

Solo Brands

Forward Guidance

The company reiterates a revenue range of $520 to $540 million with the most likely outcome at the midpoint of the range at $530 million. While reiterating revenue guidance, they are raising their adjusted EBITDA margin target from 16.5% to 17.5% to 17% to 18% for the full year.