Allbirds beat its earnings expectations and grew revenue by 16% in Q3, reaching $72.7 million. At the same time, net loss nearly doubled to $25.2 million, according to a company press release.
The direct-to-consumer brand is continuing to work through its “simplification initiatives” to cut costs and streamline operations. Those efforts include laying off 8% of its corporate workforce, reducing logistics costs by moving to automated distribution centers and liquidating excess inventory.
Co-CEO Joey Zwillinger expects some of the company’s headwinds to get worse before they get better, predicting “persistent inflation and high levels of promotional activity” in Q4. Despite those headwinds, Allbirds kept its outlook for the year the same.Retail Dive