Allbirds, Inc. Class A ( (BIRD) ) has released its Q3 earnings. Here is a breakdown of the information Allbirds, Inc. Class A presented to its investors.
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Allbirds, Inc. is a global lifestyle brand known for its commitment to sustainability, using innovative materials like Merino wool and sugarcane to produce footwear and apparel. In its third quarter of 2025, Allbirds reported financial results that aligned with its guidance, despite a 23.3% decrease in net revenue compared to the previous year. The company highlighted a strong response to new product introductions and maintained its focus on comfort, style, and sustainability.
The third quarter saw Allbirds’ net revenue drop to $33.0 million, primarily due to structural changes such as international distributor transitions and planned retail store closures. The gross margin fell slightly to 43.2%, while the net loss was $20.3 million. Despite these challenges, the company managed to reduce its inventory by 25% compared to the previous year, aligning with expectations.
Allbirds’ strategic focus includes cost reduction, liquidity enhancement, and value-creating opportunities. Marketing expenses increased to support new product launches, reflecting a strategic investment in digital advertising. The company also reported an adjusted EBITDA loss of $15.7 million, a slight improvement from the previous year.
Looking ahead, Allbirds has updated its full-year 2025 revenue outlook, projecting net revenue between $161 million and $166 million. The company remains committed to its turnaround strategy, emphasizing cost reduction and growth initiatives to capture consumer interest and drive future profitability.