Eco-friendly footwear and apparel firm Allbirds said it added four new stores and introduced a new line of products in its first report since its debut on the public market, but sales growth wasn’t enough to stem growing losses at the direct-to-consumer (D2C) company.
Allbirds’ net revenue jumped 33% to $62.7 million in the quarter compared to the same time one year earlier, and rose 40% in Q3 compared to 2019. The company opened four new stores in the quarter, ending September with 31 total locations.
“We are pleased to deliver strong third-quarter performance, which reflects solid execution by our teams and robust global demand for the Allbirds brand,” said Joey Zwillinger, co-founder and co-CEO, in the company announcement.
“Revenue was strong across channels and geographies … with notable strength in U.S. physical retail,” he said. “Importantly, we saw strong consumer response in the quarter to our new product innovation, including our new Perform Apparel line.”
Zwillinger sees Allbirds as being “at the forefront of a generational change in consumer values and purchase behaviors, led by our mission to make better things in a better way — which means we’re aligning our purpose of reversing climate change with our product quality and financial outcomes.”
“We believe Allbirds is uniquely positioned in an exceptionally large and growing market,” he said. “As we continue to execute our strategic plan, we are focused on accelerating growth, creating value for our shareholders and building for a multi-decade journey.”
Related news: Allbirds Sees 91% Gain in Wall Street Debut, Almost Doubling IPO Price
Allbirds saw a 91% gain in its first day of NASDAQ trading on Nov. 3 under the symbol BIRD and raised almost $303 million. The stock closed its first day on the market at $28.64, almost doubling its initial public offering (IPO) price of $15 per share. It sits at just over $17 as of Wednesday morning (Dec. 1).
Other D2C brands to go public since September include Warby Parker, Brilliant Earth, Rent the Runway and On, a shoemaker backed by tennis star Roger Federer.
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