NYSE$AKA
a.k.a. Brands Holding · Q2 2023 earnings
Q2 2023 earnings · · Investor relations
Briefing
a.k.a. Brands' financial performance was affected by macroeconomic pressures, particularly in Australia, despite improvements in operating efficiencies and debt reduction.
a.k.a. Brands reported a decrease in net sales by 14.2% to $136.0 million compared to the second quarter of 2022. The U.S. net sales decreased by 2.8% but grew 12.3% on a two-year stack. The company reduced inventory by 16% since the end of fiscal 2022 and paid down $12.5 million of debt. Net loss was $(5.0) million, or $(0.04) per share.
- Net sales decreased 14.2% to $136.0 million, driven by declines in orders and average order value, especially in Australia.
- U.S. net sales decreased 2.8% year-over-year but showed 12.3% growth on a two-year stack.
- The company reduced inventory by 16% since the end of fiscal 2022 and paid down $12.5 million of debt, strengthening the balance sheet.
- Princess Polly is expanding its partnership with PacSun to 100 stores and will open its first store next month.
Headline financials
Revenue & EPS history
a.k.a. Brands · Revenue · Quarterly
$136M
Forward guidance
For the third quarter of 2023, the Company expects net sales between $138 million and $143 million and Adjusted EBITDA between $6 million and $8 million. For the full year 2023, the Company expects net sales between $555 million and $565 million and Adjusted EBITDA between $21 million and $25 million.
Tailwinds
- Net sales are expected to be between $138 million and $143 million for Q3 2023.
- Adjusted EBITDA is projected to be between $6 million and $8 million for Q3 2023.
- Full year net sales are anticipated to be between $555 million and $565 million.
- Adjusted EBITDA for the full year is expected to range from $21 million to $25 million.
- The outlook assumes foreign exchange rates remain at current levels.
Headwinds
- Continued macroeconomic pressures, specifically in the Australia Region, are expected to persist.
- The company's outlook is based on several assumptions, which may be subject to change.
- The company has not provided a quantitative reconciliation of its Adjusted EBITDA outlook to a GAAP net income outlook because it is unable to project certain reconciling items.
- These items include, but are not limited to, future equity-based compensation expense, income taxes, interest expense and transaction costs.
- These items are inherently variable and uncertain and depend on various factors, some of which are outside of the Company’s control or ability to predict.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 19 quarterly earnings reports · overlaid with Q2 2023
-1.7%
Avg return
Earnings day
-0.5%
Avg return
5 days after
-3.8%
Avg return
30 days after
57%
13 / 23 earnings
Positive
+59.5%
Q1 2025
Best reaction
-38.4%
Q4 2022
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +2.5% | -7.6% | -19.0% | |
| Q4 2025 | -4.5% | -3.9% | +1.8% | |
| Q3 2025 | +3.3% | -1.3% | -16.0% | |
| Q1 2025 | +59.5% | +55.3% | +38.9% | |
| Q4 2024 | -13.0% | -19.5% | -10.7% | |
| Q3 2024 | -0.1% | -14.9% | -17.3% | |
| Q2 2024 | +8.5% | +19.0% | +38.5% | |
| Q1 2024 | +23.5% | +53.1% | -4.5% | |
| Q4 2023 | -14.3% | -26.1% | -19.8% | |
| Q3 2023 | -21.3% | -20.3% | +30.0% | |
| Q2 2023 | -21.7% | -30.4% | -6.2% | |
| Q1 2023 | +10.6% | +6.7% | +34.2% | |
| Q4 2022 | -38.4% | -45.4% | -68.8% | |
| Q3 2022 | +17.3% | +27.6% | +5.8% | |
| Q2 2022 | +4.1% | +19.5% | +9.7% | |
| Q1 2022 | -5.6% | +9.8% | +14.5% | |
| Q4 2019 | -32.1% | -43.6% | -41.3% | |
| Q4 2021 | -32.1% | -43.6% | -41.3% | |
| Q3 2020 | +3.1% | +10.8% | -3.1% | |
| Q2 2021 | +3.1% | +10.8% | -3.1% | |
| Q4 2020 | +3.1% | +10.8% | -3.1% | |
| Q3 2021 | +3.1% | +10.8% | -3.1% | |
| Q1 2021 | +3.1% | +10.8% | -3.1% | |
| Q2 2020 | — | — | — | |
| Q1 2020 | — | — | — |
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