HomeAllbirds (BIRD) Reports Third Quarter 2021 Earnings

Allbirds (BIRD) Reports Third Quarter 2021 Earnings

A woman walks past an Allbirds store in the Georgetown neighborhood of Washington, DC, on Tuesday, February 16, 2021.

riders | Bloomberg | Getty Images

Allbirds On Tuesday, it said its third-quarter revenue was up 33% from a year ago, while its losses widened as the cost of opening stores and listing its shares affected its results.

Shares of Allbirds fell more than 5% in trading extended to the report, which was its first as a public company.

For the three months ended September 30, net losses widened to $13.8 million, or 25 cents a share, from a loss of $7 million, or 13 cents a share, a year earlier.

Sales increased 33% to $62.7 million from $47.2 million a year earlier. The sustainable footwear maker said its revenue was up 40% on a two-year basis.

Co-founder and CEO Joey Zwillinger said the company has noticed significant strength in its US stores. Shoppers also responded well to product launches, including Recently launched performance clothing line.

Allbirds have expanded their lineup beyond the wool sneakers they’re known for. It now sells a variety of footwear, including running shoes, running shoes, and high tops. The company said it will continue to add more clothing items to the mix, hoping to attract new customers to the Allbirds brand and convince existing customers to spend more money on new items.

Allbirds are also investing in store growth to try and increase profitable sales. Its business has primarily grown online since its inception. But this comes with transportation costs, high rates of return, and other expenses.

The company ended the quarter with 31 retail locations, including those outside the US, that Allbirds previously reported. just “scratch the surface” With a brick-and-mortar imprint.

All of these investments come at a cost, which is part of the reason why Allbirds keep losing money.

Allbirds’ administrative, general, and sales expenses were $33.0 million, or 52.6% of revenue, compared to 42.5% of revenue for the same period in 2020. Costs related to opening four new stores and hiring more employees contributed to the increase.

For fiscal 2021, Allbirds said net revenue should rise anywhere between 23% and 24% from last year’s levels, to between $270 million and $272 million.

Allbirds shares fell slightly Since the company went public on November 3. The stock closed Tuesday at $19.24, about 9% below its opening price of $21.21.

Find the full earnings press release from Allbirds Here.