Workflow
iRobot(IRBT) - 2024 Q2 - Quarterly Results
IRBTiRobot(IRBT)2024-08-06 20:18
Transcript
Slide

Revenue and Sales Performance - Q2 2024 revenue declined to 166.4million,a29.7166.4 million, a 29.7% decrease compared to Q2 2023 revenue of 236.6 million[5] - Revenue for the three months ended June 29, 2024 was 166.361million,adecreasefrom166.361 million, a decrease from 236.568 million in the same period in 2023[21] - Total revenue for the three months ended June 29, 2024, was 166.361million,adecreasefrom166.361 million, a decrease from 236.568 million in the same period last year[27] - Domestic revenue for the three months ended June 29, 2024, was 84.364million,comparedto84.364 million, compared to 130.958 million in the prior year period[27] - International revenue for the three months ended June 29, 2024, was 81.997million,downfrom81.997 million, down from 105.610 million in the same period last year[27] - Revenue from mid-tier and premium robots represented 76% of total robot sales in Q2 2024, down from 84% in the same period last year[8] - Total robot units shipped for the three months ended June 29, 2024, were 574,000, a decrease from 831,000 in the prior year period[27] - Average gross selling price for robot units for the three months ended June 29, 2024, was 330,comparedto330, compared to 347 in the same period last year[27] Gross Margin and Profitability - GAAP gross margin for Q2 2024 was 16.5%, down from 22.6% in Q2 2023, impacted by an 18.4millionnon−recurringchargerelatedtoinventorywrite−offs[5][6]−GAAPgrossmarginforthethreemonthsendedJune29,2024,was16.518.4 million non-recurring charge related to inventory write-offs[5][6] - GAAP gross margin for the three months ended June 29, 2024, was 16.5%, compared to 22.6% in the same period last year[34] - Non-GAAP gross margin for the three months ended June 29, 2024, was 16.7%, down from 23.2% in the prior year period[34] - GAAP Gross Profit guidance for Q3-24 is 72 - 76million,withaGrossMarginof3376 million, with a Gross Margin of 33% - 34%[39] - Non-GAAP Gross Profit guidance for Q3-24 is 72 - 76million,withaGrossMarginof3376 million, with a Gross Margin of 33% - 34%[39] Operating Expenses and Losses - GAAP operating loss for the three months ended June 29, 2024, was 61.068 million, compared to 71.056millioninthesameperiodlastyear[34]−Non−GAAPoperatinglossforthethreemonthsendedJune29,2024,was71.056 million in the same period last year[34] - Non-GAAP operating loss for the three months ended June 29, 2024, was 48.203 million, an improvement from 50.485millionintheprioryearperiod[34]−GAAPOperatingExpensesforFY−24areprojectedtobe50.485 million in the prior year period[34] - GAAP Operating Expenses for FY-24 are projected to be 267 - 271million[39]−Non−GAAPOperatingExpensesforFY−24areprojectedtobe271 million[39] - Non-GAAP Operating Expenses for FY-24 are projected to be 291 - 295million[39]−ResearchanddevelopmentexpensesforthesixmonthsendedJune29,2024were295 million[39] - Research and development expenses for the six months ended June 29, 2024 were 57.108 million, compared to 79.240millioninthesameperiodin2023[21]−SellingandmarketingexpensesforthesixmonthsendedJune29,2024were79.240 million in the same period in 2023[21] - Selling and marketing expenses for the six months ended June 29, 2024 were 69.696 million, compared to 98.072millioninthesameperiodin2023[21]NetLossandCashFlow−NetlossforthesixmonthsendedJune29,2024was98.072 million in the same period in 2023[21] Net Loss and Cash Flow - Net loss for the six months ended June 29, 2024 was 62.039 million, compared to a net loss of 161.912millioninthesameperiodin2023[21]−GAAPNetLossforthesixmonthsendedJune29,2024,was161.912 million in the same period in 2023[21] - GAAP Net Loss for the six months ended June 29, 2024, was (62,039) million, compared to (161,912)millionforthesameperiodin2023[36]−Non−GAAPNetLossforthesixmonthsendedJune29,2024,was(161,912) million for the same period in 2023[36] - Non-GAAP Net Loss for the six months ended June 29, 2024, was (100,581) million, compared to (85,215)millionforthesameperiodin2023[36]−GAAPNetLossPerShareguidanceforQ3−24is(85,215) million for the same period in 2023[36] - GAAP Net Loss Per Share guidance for Q3-24 is (0.40) - (0.30)[39]−Non−GAAPNetLossPerShareguidanceforQ3−24is(0.30)[39] - Non-GAAP Net Loss Per Share guidance for Q3-24 is (0.11) - (0.01)[39]−NetcashusedinoperatingactivitiesforthesixmonthsendedJune29,2024was(0.01)[39] - Net cash used in operating activities for the six months ended June 29, 2024 was 20.233 million, compared to 58.111millioninthesameperiodin2023[25]−Thecompanyexpectstogeneratemodestpositivecashflowfromoperationsduringthesecondhalfof2024[14]InventoryandAssets−InventoryasofJune29,2024,totaled58.111 million in the same period in 2023[25] - The company expects to generate modest positive cash flow from operations during the second half of 2024[14] Inventory and Assets - Inventory as of June 29, 2024, totaled 101.4 million, a 41% reduction compared to Q2 2023[7] - Inventory decreased to 101.365millionasofJune29,2024from101.365 million as of June 29, 2024 from 152.469 million as of December 30, 2023[23] - Non-GAAP Days in Inventory for the six months ended June 29, 2024, was 67 days, compared to 86 days for the same period in 2023[36] - Total assets decreased to 585.939millionasofJune29,2024from585.939 million as of June 29, 2024 from 733.698 million as of December 30, 2023[23] Cash and Liabilities - Cash and cash equivalents decreased to 108.513millionasofJune29,2024from108.513 million as of June 29, 2024 from 185.121 million as of December 30, 2023[23] - Total current liabilities decreased to 221.644millionasofJune29,2024from221.644 million as of June 29, 2024 from 287.147 million as of December 30, 2023[23] - Days Sales Outstanding for the six months ended June 29, 2024, was 37 days, compared to 28 days for the same period in 2023[36] Headcount and Compensation - The company reduced its total headcount by 35% since year-end 2023[7] - Headcount as of June 29, 2024, was 726, a decrease from 1,139 in the prior year period[27] - Stock-based compensation for the six months ended June 29, 2024 was 12.458million,comparedto12.458 million, compared to 16.505 million in the same period in 2023[21] Product Launches and Distribution - The company introduced the Roomba Combo 10 Max robot + AutoWash Dock, its most advanced product, in July 2024[4][10] - The Roomba Essential series achieved full distribution coverage, launching in 14,000 stores across all regions[9] Revenue and Gross Margin Guidance - Q3 2024 revenue is expected to be between 217millionand217 million and 223 million, with a GAAP gross margin of 33% to 34%[12] - Full-year 2024 revenue is revised to 765millionto765 million to 800 million, with a GAAP gross margin of 27% to 28%[13]