Jessica Alba's Honest Co falls to 4-month low on bigger Q3 loss

Honest

10/11/2022 17:08

** Shares of eco-friendly baby, beauty and household
products maker Honest Co  HNST.O  falls as much as 11% to near
four-month low of $2.80 
    ** Co reports a bigger-than-expected Q3 net loss due to
persistent cost inflation, economic pressure on the consumer and
tighter inventory management by retailers
    ** HNST reports net loss of $11.8 mln, or 13 cents/shr vs
$5.1 mln, or 6 cents, a year earlier; analysts expected a loss
of 8 cents - Refinitiv
    ** Co also updates its FY 2022 revenue forecast and provides
preliminary 2023 revenue outlook
    ** HNST expects FY 2022 revenue to be between $310 mln and
$315 mln vs previous flat outlook compared to FY 2021,
reflecting mid-single-digit growth for the remainder of the year
    ** Analysts expect FY 2022 revenue of $319.1 mln 
    ** Co also expects FY 2023 revenue to reflect 7%-10% growth
over FY 2022, citing retail distribution expansion in H2 and new
round of price increases on diapers, wipes, personal care items
    ** YTD, stock has fallen ~64% 
 (Reporting by Granth Vanaik)
 ((Granth.Vanaik@thomsonreuters.com;))