Brilliant Earth stock falls 20% after lower outlook

brilliant-earth-stock-falls-20%-after-lower-outlook

Brilliant Earth Group Inc. BRLT, +4.49% stock fell more than 20% in the extended session Thursday after the jewelry retailer reported revenue above Wall Street expectations but tweaked its outlook, saying it was feeling the pinch from the macroeconomic environment. Brilliant Earth said earned $3.4 million, or 3 cents a share, in the first quarter, compared with $2.4 million in the first quarter of fiscal 2021. Adjusted for one-time items, the company earned 5 cents a share. Sales rose 42% to $100 million, the company said. Analysts polled by FactSet expected Brilliant Earth to earn an adjusted 4 cents a share on sales of $98 million. As the second quarter progresses, the company is “seeing impact from the uncertain geopolitical and macroeconomic environment, reflected in moderating sales trends and in our updated outlook,” Chief Executive and founder Beth Gerstein said. Despite the headwinds, Brilliant Earth expects to deliver “strong sales growth and profitability in fiscal 2022 and believe our asset-light and data-driven operating model will serve to further separate us from peers in the current environment,” Gerstein said. Brilliant Earth guided for revenue between $450 million and $470 million for fiscal 2022, while the analysts surveyed by expect revenue around $501 million. Shares of Brilliant Earth ended the regular trading day up 4.5%. The company debuted on equity markets in September and bills itself as a provider of ethically sourced jewelry.

Source: Marketwatch

Related Posts