By Senad Karaahmetovic
Honest Company Inc (NASDAQ:HNST) shares are trading about 11% lower in pre-market Thursday after Jessica Alba’s company reported a loss for the fourth quarter.
HNST posted an adjusted Ebitda loss of $1.55 million while analysts were looking for a profit of nearly $2M. Revenue came in at $81.9M, above the consensus of $80.9M.
On a more negative note, the gross margin came in 380 basis points below the consensus and a 250-bps decline versus the fourth quarter of 2021, reflecting significantly higher product and fulfillment costs.
Going forward, the company anticipates “our full year 2023 revenue and Adjusted EBITDA would be in-line with our Fiscal Year 2022 results.”