ALLBIRDS REPORTS FOURTH QUARTER AND FULL YEAR 2023 FINANCIAL RESULTS; ACHIEVES Q4 FINANCIAL GUIDANCE TARGETS Company Provides 2024 Outlook Separately, the Company also announced today that COO Joe Vernachio has been appointed as CEO, effective March 15, 2024. He will oversee all operations and continue advancing Allbirds' strategic transformation plan. Co-Founder & CEO Joey Zwillinger will remain on the Board of Directors and serve as a special advisor to Allbirds. • Fourth quarter net revenue decreased 14. ...

Analysts on Wall Street project that Allbirds, Inc. (BIRD) will announce quarterly loss of $0.22 per share in its forthcoming report, representing a decline of 46.7% year over year. Revenues are projected to reach $68.88 million, declining 18.2% from the same quarter last year.Over the past 30 days, the consensus EPS estimate for the quarter has remained unchanged. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.Ahead of a company's earnings d ...

SAN FRANCISCO, March 05, 2024 (GLOBE NEWSWIRE) -- Allbirds Inc., a global lifestyle brand that innovates with sustainable materials to make better footwear and apparel products in a better way, announced the completion of its previously announced agreements with distributor partners in Australasia and Japan. With the completion of these agreements, Allbirds has transitioned four international regions from direct selling to a distributor model. The shift from a direct go-to-market model to a third-party dist ...

The direct-to-consumer boom is coming to an end.A once-bustling group of companies, backed by billions in venture capital funding, saw a record year for IPOs in 2021. Now, three years later, most of those direct-to-consumer, or DTC, companies still struggle with profitability."It's that profitability angle now that demarcates the winners in DTC from the losers," said GlobalData Retail's managing director, Neil Saunders. "One of the problems with a lot of direct-to-consumer companies is they're not profitabl ...

It’s almost impossible to walk around a gym or sporting goods store in 2024 and not see someone wearing Allbirds (NASDAQ:BIRD) footwear. These athletic shoes may not look like the Nike (NYSE:NKE) or Adidas (OTCMKTS:ADDYY) sneakers that athletes have styled for decades. But when the company launched in New Zealand in 2014, it didn’t take long for it to make an undeniable splash. By bringing sustainability to the booming athletic footwear market, the startup reached a $1.7 billion valuation by 2020. Since the ...

SAN FRANCISCO, Jan. 17, 2024 (GLOBE NEWSWIRE) -- Allbirds, Inc. (NASDAQ:BIRD), a global lifestyle brand that innovates with sustainable materials to make better footwear and apparel products in a better way, today announced two new executive leadership appointments. Kelly Olmstead, formerly SVP of Brand & Marketing, has been promoted to Chief Marketing Officer; and footwear industry veteran Adrian Nyman was appointed to the newly created position of Chief Design Officer, both effective December 2023. "We ar ...

Allbirds, Inc. (NASDAQ:BIRD) Q3 2023 Earnings Conference Call November 8, 2023 5:00 PM ET Company Participants Christine Greany - The Blueshirt Group Joey Zwillinger - CEO Annie Mitchell - CFO Conference Call Participants Bob Drbul - Guggenheim Alex Straton - Morgan Stanley Janine Stichter - BTIG Cristina Fernandez - TAG Mark Altschwager - Baird Tom Nikic - Wedbush Securities Krista Zuber - TD Cowen Operator Good afternoon, everyone, and welcome the Allbirds Third Quarter 2023 Earnings Call. [Operator Instr ...

Table of Contents In addition, statements that "we believe" and similar statements reflect our beliefs and opinions on the relevant subject. These statements are based on information available to us as of the date of this Quarterly Report on Form 10-Q. While we believe that such information provides a reasonable basis for these statements, that information may be limited or incomplete. Our statements should not be read to indicate that we have conducted an exhaustive inquiry into, or review of, all relevant ...

Allbirds, Inc. (NASDAQ:BIRD) Q2 2023 Earnings Conference Call August 8, 2023 5:00 PM ET Company Participants Christine Greany - The Blueshirt Group Joe Zwillinger - Chief Executive Officer Annie Mitchell - Chief Financial Officer Conference Call Participants Amanda Douglas - JPMorgan Alex Straton - Morgan Stanley Cristina Fernández - Telsey Advisory Group James Duffy - Stifel Bob Dribble - Guggenheim Edward Yruma - Piper Sandler Dylan Carden - William Blair Alex Douglas - TD Cowen Operator Good afternoon, l ...

Part I [Financial Statements (Unaudited)](index=8&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) Allbirds' unaudited financials as of June 30, 2023, reflect decreased assets, a wider net loss, and improved operating cash flow [Condensed Consolidated Balance Sheets](index=8&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets decreased to **$405.8 million** as of June 30, 2023, from **$462.4 million** at year-end 2022, primarily due to lower cash and inventory Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2023 | December 31, 2022 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $139,909 | $167,136 | | Inventory | $92,849 | $116,796 | | Total current assets | $253,220 | $308,934 | | **Total assets** | **$405,820** | **$462,364** | | **Liabilities & Equity** | | | | Total current liabilities | $45,156 | $50,012 | | Total liabilities | $141,974 | $145,595 | | **Total stockholders' equity** | **$263,846** | **$316,769** | [Condensed Consolidated Statements of Operations and Comprehensive Loss](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Loss) Net revenue decreased for both three and six-month periods ended June 30, 2023, with the six-month net loss widening to **$64.1 million** Statement of Operations Highlights (in thousands, except per share data) | Metric | Three Months Ended June 30, 2023 | Three Months Ended June 30, 2022 | Six Months Ended June 30, 2023 | Six Months Ended June 30, 2022 | | :--- | :--- | :--- | :--- | :--- | | Net revenue | $70,480 | $78,174 | $124,832 | $140,937 | | Gross profit | $30,148 | $28,191 | $51,965 | $60,794 | | Loss from operations | $(29,624) | $(29,329) | $(65,302) | $(49,308) | | **Net loss** | **$(28,937)** | **$(29,368)** | **$(64,103)** | **$(51,247)** | | Net loss per share | $(0.19) | $(0.20) | $(0.43) | $(0.35) | [Condensed Consolidated Statements of Stockholders' Equity](index=10&type=section&id=Condensed%20Consolidated%20Statements%20of%20Stockholders%27%20Equity) Total stockholders' equity decreased to **$263.8 million** as of June 30, 2023, from **$316.8 million** at year-end 2022, primarily due to the net loss - The primary driver for the reduction in stockholders' equity during the first six months of 2023 was the **net loss of $64.1 million**[486](index=486&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=12&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash used in operating activities significantly improved to **$20.1 million** for the six months ended June 30, 2023, from **$64.6 million** in the prior year Cash Flow Summary (in thousands) | Activity | Six Months Ended June 30, 2023 | Six Months Ended June 30, 2022 | | :--- | :--- | :--- | | Net cash used in operating activities | $(20,085) | $(64,632) | | Net cash used in investing activities | $(6,997) | $(16,933) | | Net cash provided by financing activities | $313 | $2,342 | | **Net decrease in cash** | **$(27,222)** | **$(80,652)** | [Notes to Condensed Consolidated Financial Statements](index=14&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Notes detail accounting policies, inventory reserves, a Q1 2023 restructuring plan, an amended **$50 million** credit agreement, and legal proceedings - In March 2023, the company initiated a strategic transformation plan, resulting in restructuring charges for professional fees and severance[557](index=557&type=chunk) - On April 17, 2023, the company amended its credit agreement, increasing the committed amount from **$40.0 million** to **$50.0 million** and extending the maturity date to April 17, 2026[5](index=5&type=chunk) - The company is facing two substantially similar securities class action lawsuits filed in April and May 2023, alleging violations of the Securities and Exchange Act of 1934 and the Securities Act of 1933[42](index=42&type=chunk) Inventory Reserve (in thousands) | Date | Reserve Amount | | :--- | :--- | | June 30, 2023 | $12,495 | | Dec 31, 2022 | $8,269 | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=31&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses an **11.4%** decrease in net revenue for the first six months of 2023, a strategic transformation plan, and sufficient liquidity with **$139.9 million** cash [Recent Developments](index=32&type=section&id=Recent%20Developments) Recent developments include a strategic transformation plan initiated in March 2023, a **9%** workforce reduction, and a transition to a new footwear manufacturing partner - A strategic transformation plan was announced in March 2023 to reignite growth, improve capital efficiency, and drive profitability[50](index=50&type=chunk) - Cost-saving initiatives include a **9%** reduction in the global corporate workforce in May 2023 and transitioning to a new footwear manufacturing partner by the end of 2023[51](index=51&type=chunk) - The company is evaluating a transition to a distributor model in certain international markets, signing non-binding letters of intent for Canada and South Korea in August 2023[630](index=630&type=chunk) [Results of Operations](index=37&type=section&id=Results%20of%20Operations) For the six months ended June 30, 2023, net revenue decreased **11.4%** to **$124.8 million**, and net loss widened to **$64.1 million**, driven by lower prices and increased operating expenses Comparison of Six Months Ended June 30, 2023 and 2022 (in thousands) | Metric | 2023 | 2022 | $ Change | % Change | | :--- | :--- | :--- | :--- | :--- | | Net Revenue | $124,832 | $140,937 | $(16,105) | (11.4)% | | Gross Profit | $51,965 | $60,794 | $(8,829) | (14.5)% | | Gross Margin | 41.6% | 43.1% | - | (3.5)% | | Total Operating Expense | $117,267 | $110,102 | $7,165 | 6.5% | | Net Loss | $(64,103) | $(51,247) | $(12,856) | 25.1% | - SG&A expenses for the six months increased by **$8.5 million (10.6%)**, driven by higher depreciation, rent, personnel costs due to more stores, and stock-based compensation[81](index=81&type=chunk)[82](index=82&type=chunk) - Marketing expenses for the six months decreased by **$5.6 million (19.0%)** due to reduced digital advertising spend[73](index=73&type=chunk) - Restructuring expenses of **$4.3 million** were incurred in the first six months of 2023 related to the new strategic plan, with no comparable expense in 2022[83](index=83&type=chunk) [Non-GAAP Financial Measures](index=43&type=section&id=Non-GAAP%20Financial%20Measures) Adjusted EBITDA, a key non-GAAP measure, showed an increased loss of **$39.9 million** for the six months ended June 30, 2023, compared to the prior year - Adjusted EBITDA is defined as net loss excluding stock-based compensation, depreciation & amortization, impairment, restructuring expense, other income/expense, interest, and taxes[88](index=88&type=chunk) Reconciliation of Net Loss to Adjusted EBITDA (in thousands) | Metric | Three Months Ended June 30, 2023 | Three Months Ended June 30, 2022 | Six Months Ended June 30, 2023 | Six Months Ended June 30, 2022 | | :--- | :--- | :--- | :--- | :--- | | Net loss | $(28,937) | $(29,368) | $(64,103) | $(51,247) | | **Adjusted EBITDA** | **$(18,284)** | **$(20,839)** | **$(39,943)** | **$(33,052)** | [Liquidity and Capital Resources](index=44&type=section&id=Liquidity%20and%20Capital%20Resources) As of June 30, 2023, the company held **$139.9 million** in cash, with an amended **$50 million** credit facility, and expects sufficient liquidity for the next 12 months - The company held **$139.9 million** in cash and cash equivalents as of June 30, 2023[106](index=106&type=chunk) - In April 2023, the credit agreement was amended to increase the committed amount to **$50.0 million** and extend the maturity to April 2026[94](index=94&type=chunk) - Net cash used in operating activities for the six months ended June 30, 2023, was **$20.1 million**, a significant improvement from **$64.6 million** in the prior year, primarily due to a **$16.3 million** decrease in inventory[96](index=96&type=chunk)[109](index=109&type=chunk) - Management believes existing cash and available credit will be sufficient to meet cash requirements over the next 12 months[134](index=134&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=47&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company faces market risks including interest rate, foreign currency, and inflation, though a **10%** change in rates would not have a material impact as of June 30, 2023 - The company is exposed to interest rate risk on its variable-rate credit facility, but had no amounts outstanding as of June 30, 2023[115](index=115&type=chunk)[144](index=144&type=chunk) - Foreign currency risk exists due to international subsidiaries, with translation adjustments recorded in other comprehensive income (loss), resulting in a **$0.5 million** loss for the six months ended June 30, 2023[116](index=116&type=chunk)[145](index=145&type=chunk)[419](index=419&type=chunk) - Inflation risk could increase supply chain, materials, and labor costs, potentially impacting gross margin if not offset by price increases or cost reductions[117](index=117&type=chunk)[146](index=146&type=chunk) [Controls and Procedures](index=48&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that the company's disclosure controls and procedures were effective as of June 30, 2023, with no material changes to internal control over financial reporting - Management concluded that as of June 30, 2023, the company's disclosure controls and procedures were effective at the reasonable assurance level[119](index=119&type=chunk) - There were no material changes to the company's internal control over financial reporting during the quarter ended June 30, 2023[150](index=150&type=chunk) Part II—Other Information [Legal Proceedings](index=49&type=section&id=Item%201.%20Legal%20Proceedings) The company and certain executives are defendants in consolidated securities class action lawsuits filed in April and May 2023, which the company intends to vigorously defend - Allbirds and certain executives were named as defendants in two securities class action lawsuits in April and May 2023, which have since been consolidated[42](index=42&type=chunk) - The lawsuits allege materially false and/or misleading statements about the company's business, operations, and prospects; the company intends to defend itself vigorously[42](index=42&type=chunk)[152](index=152&type=chunk) [Risk Factors](index=49&type=section&id=Item%201A.%20Risk%20Factors) The company faces numerous risks, including challenges in executing its strategic transformation plan, economic uncertainty, intense competition, supply chain concentration, and its dual-class stock structure - The company may be unable to successfully execute its strategic transformation plan announced in March 2023, which is designed to reignite growth, optimize stores, and improve cost savings[124](index=124&type=chunk)[421](index=421&type=chunk) - Economic uncertainty and inflationary pressures may continue to adversely affect consumer demand for discretionary items like the company's products[181](index=181&type=chunk)[410](index=410&type=chunk) - The business is subject to the risk of manufacturer concentration, having transitioned all new footwear manufacturing to a single partner in Vietnam during 2023[253](index=253&type=chunk)[278](index=278&type=chunk) - The dual-class stock structure concentrates voting control with co-founders and insiders, limiting the influence of other stockholders[708](index=708&type=chunk)[453](index=453&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=91&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This section reports no unregistered sales of equity securities during the period - There were no unregistered sales of equity securities[760](index=760&type=chunk)[795](index=795&type=chunk) [Defaults Upon Senior Securities](index=91&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) This section reports no defaults upon senior securities - There were no defaults upon senior securities[761](index=761&type=chunk) [Mine Safety Disclosures](index=91&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This section is not applicable to the company - Not applicable[786](index=786&type=chunk) [Other Information](index=92&type=section&id=Item%205.%20Other%20Information) This section reports no other information - There is no other information to report[796](index=796&type=chunk) [Exhibits](index=92&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the quarterly report, including officer certifications and XBRL data files, incorporating previously filed documents by reference - The exhibits include officer certifications pursuant to the Sarbanes-Oxley Act of 2002 and XBRL data files[787](index=787&type=chunk)