Traeger reported third-quarter revenue of $74.7 million, missing the consensus estimate of $79.37 million as the company continues to navigate its "Project Gravity" restructuring. Net loss widened to $10.33 per share, significantly deeper than the anticipated $4.64 loss, driven by lower average selling prices and a sharp decline in unit volumes across its core grill segment.
Key Highlights
- Grill revenue plummeted 48.1% to $39.7 million due to difficult comparisons and strategic channel shifts toward a distributor-focused model.
- Gross margin contracted to 33.5% from 38.7% in the prior year, pressured by warehousing deleverage and higher trade spend.
- Inventory levels were reduced by 19.5% year-to-date to $79.5 million, signaling progress in liquidity management and balance sheet health.