Allbirds 'dramatically' slows pace of new hires as loss widens

1 month ago

A woman walks past an Allbirds store in the Georgetown neighborhood of Washington, D.C., on Tuesday, Feb. 16, 2021.

Al Drago | Bloomberg | Getty Images

Allbirds on Monday announced a number of efforts to cut costs as the sustainable shoe maker reported wider loss compared with a year earlier, although its sales grew about 15%.

The company citied a slowdown in consumer spending toward the end of June and said it has "dramatically" slowed the pace of corporate new hires and backfills for departing employees. It said it has cut its global corporate workforce by about 8%.

Its shares fell around 1% in after-hours trading on the news.

Here's how Allbirds did in its fiscal second quarter compared with what analysts were anticipating, based on Refinitiv estimates:

Loss per share: 12 cents vs. 16 cents expectedRevenue: $78.2 million vs. $77.8 million expected

Allbirds reported a net loss in the three-month period ended June 30 of $29.4 million, or 20 cents per share, compared with a loss of $7.6 million, or 14 cents a share, a year earlier. Excluding one-time items it lost 12 cents per share.

Revenue grew 15% to $78.2 million compared with $67.9 million a year earlier.

This story is developing. Please check back for updates.

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