Footwear and apparel brand Allbirds has managed to narrow its losses for the second quarter, which management described as “operational progress”.

The company’s net loss for the three months ended June 30 was $19.1 million, down from $28.9 million in the prior-year period. Adjusted EBITDA loss was $13.7 million, above the company’s guidance.

Net revenue decreased 26.8 per cent to $51.6 million, in line with expectations. The decline was due to lower unit sales and planned retail store closures, partially offset by higher average selling prices.

CEO Joe Vernachio said the results represent “operational and financial progress” following 18 months of strong execution against the company’s strategic transformation plan.

“As we focus on reigniting our product and brand, we are encouraged by the strong consumer response to our recent new offerings. This makes us confident that our fresh, updated products coming to market beginning next year will build on that momentum,” Vernachio added.

During the quarter, the company spent $1 million on restructuring, accounting for 1.8 per cent of net revenue. 

For the full year, the retailer expects net revenue of $190 million to $210 million and adjusted EBITDA loss of $75 million to $63 million.

“We believe the combination of elevated product, storytelling and customer experience in the coming quarters will position the business to return to top-line growth in 2025 and enable us to build long-term shareholder value,” said Vernachio.