Aterian | 8-K: FY2025 Q3 Revenue Misses Estimate at USD 19.02 M

Revenue: As of FY2025 Q3, the actual value is USD 19.02 M, missing the estimate of USD 19.88 M.

EPS: As of FY2025 Q3, the actual value is USD -0.28, beating the estimate of USD -0.63.

EBIT: As of FY2025 Q3, the actual value is USD -1.784 M.

Segment Revenue

• Net revenue for Q3 2025 was $19.0 million, a decrease from $26.2 million in Q3 2024, primarily due to the macroeconomic environment and lower unit volume on certain products due to price increases related to tariffs.

Operational Metrics

• Gross margin for Q3 2025 was 56.1%, down from 60.3% in Q3 2024, reflecting a change in product mix and the impact of tariffs on pricing and cost of goods sold.
• Contribution margin was 15.5% compared to 17.0% in the previous year.
• Total operating expenses decreased to $12.7 million from $17.6 million, reflecting the impact of cost reduction initiatives.
• Operating loss was - $2.0 million compared to an operating loss of - $1.7 million in Q3 2024.
• Net loss was - $2.3 million compared to a net loss of - $1.8 million in Q3 2024.
• Adjusted EBITDA loss was - $0.4 million compared to an Adjusted EBITDA gain of $0.5 million in Q3 2024.

Cash Flow

• Total cash balance at September 30, 2025, was $7.6 million, down from $18.0 million at December 31, 2024.

Unique Metrics

• The company launched new products and expanded sales channels, including the introduction of Squatty Potty wipes and the Tallow Skin Care line, which are expected to provide recurring revenue opportunities.

Outlook / Guidance

• Aterian reiterated its guidance for net revenue of $36 million to $38 million and Adjusted EBITDA of $0 to a loss of - $1.0 million for the six months ending December 31, 2025. This compares to net revenues of $34.8 million and an Adjusted EBITDA loss of - $4.7 million for the six months ended June 30, 2025.