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Sep 30, 2022
Solo Brands Q3 2022 Earnings Report
Announced strong results, exceeding third quarter expectations with strong revenue growth and healthy gross margins.
Key Takeaways
Solo Brands reported a 47.1% increase in net sales to $102.2 million compared to Q3 2021. However, the company experienced a net loss of $4.0 million and a decrease in adjusted net income and adjusted EBITDA.
Net sales increased by 47.1% to $102.2 million.
Net loss was $4.0 million.
Adjusted net income decreased by 52.1% to $7.6 million.
Adjusted EBITDA decreased by 38.1% to $11.2 million.
Solo Brands
Solo Brands
Forward Guidance
The company revised its full year revenue guidance and reaffirming its previous guidance for adjusted gross margin and adjusted EBITDA margin.
Positive Outlook
- Adjusted gross margin is planned to be above 60% of total revenue.
- Adjusted EBITDA margin is expected to be in the mid-teens as a percentage of total revenue.
Challenges Ahead
- Total revenue is expected to grow 15% to 20% versus our prior guidance of a mid-20% range.
- Guidance is based on a number of assumptions that are subject to change and many of which are outside the Company’s control.
- If actual results vary from these assumptions, the Company’s expectations may change.
- There can be no assurance that the Company will achieve these results.