Grill maker Weber’s efforts to turn around its flagging omnichannel retail business didn’t work out as planned in the second quarter of fiscal 2022 — the three months ending March 31.
Weber reported a net loss of $51 million year over year and a 6% drop in net sales from the same time in 2021 to $607 million this year. Investors have pushed Weber’s stock price down 7% in early trading Monday (May 16) as a result.
“Our second-quarter results reflect our proactive responses to supply chain and material cost inflation, which helped drive higher sequential gross margin and adjusted EBITDA margin versus the prior quarter,” said Chris Scherzinger, CEO of Weber, in the company press release.
Notably, Weber’s net sales are up 46% from 2020, an interesting result given how many people were stuck at home two summers ago because of the COVID-19 pandemic.
Related: From Grill Academies to New Stores and More D2C, Weber Moves to Dampen Inflation Headwinds
In February, Weber announced several new initiatives it had hoped would help to pull the company through the ongoing inflation hike, but nothing has helped to stem the tide of a stock that’s dropped more than 50% from its initial public offering last summer.
Weber opened seven new stores in the first quarter of 2022, bringing its global store count to 200. At the same time, the company announced a slew of website upgrades, a global social influencer program, a celebrity chef-backed Ambassadors program, more digital tutorials and more social outreach.
We’re always on the lookout for opportunities to partner with innovators and disruptors.
Learn More