Bird Announces First Quarter 2022 Financial Results
Bird Global reported a 48% year-over-year revenue increase to $38.0 million for Q1 2022, exceeding guidance. The company plans to accelerate profitability through cost-saving initiatives projected to yield at least $80 million in annual savings. Net income improved to $10.4 million, a significant turnaround from a $76.2 million loss in the previous year. However, the adjusted EBITDA loss was $36.8 million, worsening year-over-year. Looking ahead, Bird anticipates revenue between $275 million and $325 million for FY 2022, targeting positive adjusted EBITDA by Q3 2022.
- Revenue increased by 48% year-over-year to $38.0 million.
- Net income improved to $10.4 million from a loss of $76.2 million.
- Cost-saving initiatives are expected to yield $80 million annually.
- Targeting positive adjusted EBITDA by Q3 2022.
- Adjusted EBITDA loss of $36.8 million, an increase from the prior year's loss.
First Quarter Revenue Increased by
Announces Cost Savings Initiatives Focused on Accelerating Path to Profitability
First Quarter Ended
-
Revenue was
, representing an increase of$38.0 million 48% compared to in the same period in 2021 (the "prior year period").$25.7 million -
Gross margin, which is net of vehicle depreciation, as a percentage of revenue was
9% compared to8% in the prior year period. -
Ride Profit (before Vehicle Depreciation) was
, representing an increase of$13.0 million 72% compared to in the prior year period. Ride Profit Margin (before Vehicle Depreciation) was$7.6 million 39% compared to35% in the prior year period. -
Total operating expenses were
, including$100.2 million of non-cash stock-based compensation expense; Adjusted Operating Expenses, which excludes the non-cash stock-based compensation expense as well as certain non-cash, non-recurring items or non-core expenses, were$48.7 million , representing an increase of$50.0 million 35% year-over-year. -
Net income was
compared to net loss of$10.4 million in the prior year period. Net income as a percentage of revenue was$76.2 million 27% compared to net loss as a percentage of revenue of297% in the prior year period. -
Adjusted EBITDA loss was
compared to$36.8 million in the prior year period. Adjusted EBITDA loss as a percentage of revenue improved 18 percentage points to$29.5 million 97% compared to115% in the prior year period.
Outlook
The Company announced its plans to accelerate its path to profitability by streamlining and consolidating its resourcing against its core business. The Company now expects:
-
Revenue between
to$275 million for fiscal year 2022, representing approximately$325 million 50% year-over-year growth at the midpoint; -
Annual run-rate cost savings of at least
for fiscal year 2022, resulting in an annual Adjusted Operating Expense run-rate of no more than$80 million ; and$160 million - Positive Adjusted EBITDA in the third quarter of fiscal year 2022 and full fiscal year 2023.
|
Three Months Ended |
||||||
|
2022 |
2021 |
% Change |
||||
(in millions, except as otherwise noted) |
|
|
|
||||
Rides |
|
7.3 |
|
|
4.4 |
|
|
Average Rides per Deployed Vehicles per Day (x) |
1.0x |
1.1x |
(2)% |
||||
Average Deployed Vehicles (in thousands) |
|
78.9 |
|
|
47.0 |
|
|
Gross Transaction Value |
$ |
43.1 |
|
$ |
31.3 |
|
|
Revenue |
$ |
38.0 |
|
$ |
25.7 |
|
|
Gross margin |
$ |
3.4 |
|
$ |
2.0 |
|
|
Ride Profit (before Vehicle Depreciation) (1) |
$ |
13.0 |
|
$ |
7.6 |
|
|
Ride Profit (after Vehicle Depreciation) (1) |
$ |
3.8 |
|
$ |
2.0 |
|
|
Total operating expenses |
$ |
100.2 |
|
$ |
41.0 |
|
|
Adjusted Operating Expenses (1) |
$ |
50.0 |
|
$ |
37.0 |
|
|
Net income (loss) |
$ |
10.4 |
|
$ |
(76.2 |
) |
|
Adjusted EBITDA (1) |
$ |
(36.8 |
) |
$ |
(29.5 |
) |
(25)% |
(1) Ride Profit, Adjusted Operating Expenses and Adjusted EBITDA are non-GAAP financial measures. See "Non-GAAP Financial Measures and Key Metrics" for additional information on non-GAAP financial measures and the appendix to this press release for a reconciliation to the most comparable GAAP measures. |
Subsequent Events
The Company also announced that management, the Board of Directors and key shareholders, including
Additionally, in May, the Company entered into a Standby Equity Purchase Agreement (the "Purchase Agreement") with an affiliate of
Presentation
This press release presents historical results, for certain periods presented, of
Conference Call Information
A conference call to discuss the Company’s first quarter 2022 financial results and other business updates is scheduled for today,
A recording of the conference call will be available approximately two hours following the call and can be accessed online for 90 days.
About Bird
Bird is an electric vehicle company dedicated to bringing affordable, environmentally friendly transportation solutions such as e-scooters and e-bikes to communities across the world. Founded in 2017 by transportation pioneer
Non-GAAP Financial Measures and Key Metrics
This press release contains "Ride Profit," "Ride Profit Margin," "Adjusted Operating Expenses," and "Adjusted EBITDA," which are measures that are not prepared and presented in accordance with generally accepted accounting principles in
This press release also contains certain key business metrics which are used to evaluate our business, measure our performance, identify trends affecting our business, formulate business plans, and make strategic decisions. Gross Transaction Value ("GTV") reflects the total dollar value, excluding any applicable taxes, of Rides in our Sharing business and vehicle sales to retail customers and Bird Platform partners, in each case without any adjustment for retail discounts or refunds. In order to calculate GTV, we add back contra revenues from both Sharing and Product Sales and adjustments to the Bird Platform revenue we recognize. GTV is a key indicator of the scale of our business and ultimately drives revenue. We calculate Rides as the total number of trips completed by customers of our Sharing business. Rides are seasonal to a certain degree. Deployed Vehicles reflects the number of vehicles available to riders through our Sharing business. We calculate Deployed Vehicles on a pro-rata basis over a 24-hour period, wherein two vehicles deployed for a combined period of 24 hours equate to one Deployed Vehicle. Rides per Deployed Vehicle per Day ("RpD") reflects the rate at which our shared vehicles are utilized by riders. We calculate RpD as the total number of Rides divided by total Deployed Vehicles in our Sharing business each calendar day.
Forward-Looking Statements
This press release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. We based these forward-looking statements on our current expectations and projections about future events. All statements, other than statements of present or historical fact included in this press release, regarding our future financial performance and our strategy, expansion plans, future operations, future operating results, anticipated revenue for full year 2022, anticipated run-rate cost savings for full year 2022, anticipated Adjusted Operating Expenses for full year 2022, anticipated Adjusted EBITDA for the third quarter of 2022 and full year 2023, losses, projected costs, prospects, plans, and objectives of our management are forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as "may," "should," "could," "would," "expect," "plan," "anticipate," "intend," "believe," "estimate," "continue," "project," or the negative of such terms or other similar expressions. These forward-looking statements are subject to known and unknown risks, uncertainties and assumptions that may cause actual results, levels of activity, performance, or achievements to be materially different from any future results, levels of activity, performance, or achievements expressed or implied by such forward-looking statements. Except as otherwise required by applicable law, we disclaim any duty to update any forward-looking statements, all of which are expressly qualified by the statements in this section, to reflect events or circumstances after the date of this press release. We caution you that these forward-looking statements are subject to numerous risks and uncertainties, most of which are difficult to predict and many of which are beyond our control. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including, but not limited to: the COVID-19 pandemic and the impact of the actions taken to mitigate the pandemic; the Company’s relatively short operating history and new and evolving business model; the fact that the Company has incurred significant operating losses in the past and may not be able to achieve or maintain profitability in the future; the Company’s ability to retain existing riders or add new riders, or maintain or increase riders’ level of engagement with the Company’s products and services; the Company’s ability to attract and continue to work with qualified Fleet Managers, or manage Fleet Managers’ utilization rates; changes to the Company’s pricing and its effect on the Company’s ability to attract or retain the services of qualified Fleet Managers and riders; the ability of Fleet Managers to maintain vehicle quality or service levels, or material changes to labor classifications or franchise regulations; competition in the Company’s new and rapidly changing industry; the impact of poor weather and seasonality on the use of the Company’s products and services; the Company’s ability to obtain vehicles that meet quality specifications in sufficient quantities on commercially reasonable terms, which has been affected by global supply chain constraints; the Company’s reliance on third-party insurance policies; illegal, improper or inappropriate activity of riders; exposure to product liability in the event of significant vehicle damage or reliability issues; the Company’s metrics and estimates, including the Company’s key metrics, being subject to inherent challenges in measurement; the Company’s general reliance on third party distributors, partners, and payment processors for various parts of our business and the Company’s ability to manage these relationships; defects in our vehicles, mobile applications, or other services; action by governmental authorities to restrict access to Bird’s products and services in their localities; the Company’s presence and expansion in international markets and associated risks, including the ongoing conflict between
|
|||||||
Condensed Consolidated Balance Sheets |
|||||||
(in thousands, except per share amounts and number of shares) |
|||||||
|
|
|
|
||||
|
2022 |
|
2021 |
||||
|
(Unaudited) |
|
|
||||
Assets |
|
|
|
||||
Current assets: |
|
|
|
||||
Cash and cash equivalents |
$ |
35,026 |
|
|
$ |
128,556 |
|
Restricted cash and cash equivalents—current |
|
33,834 |
|
|
|
30,142 |
|
Accounts receivable, net |
|
9,885 |
|
|
|
8,397 |
|
Inventory, net |
|
23,262 |
|
|
|
28,242 |
|
Prepaid expenses and other current assets |
|
58,052 |
|
|
|
33,778 |
|
Total current assets |
|
160,059 |
|
|
|
229,115 |
|
Restricted cash and cash equivalents—non current |
|
1,487 |
|
|
|
1,203 |
|
Property and equipment, net |
|
1,315 |
|
|
|
1,526 |
|
Vehicle deposits |
|
104,313 |
|
|
|
117,071 |
|
Vehicles, net |
|
173,184 |
|
|
|
118,949 |
|
|
|
118,911 |
|
|
|
121,169 |
|
Other assets |
|
7,780 |
|
|
|
8,228 |
|
Total assets |
|
567,049 |
|
|
|
597,261 |
|
Liabilities, Redeemable Convertible Preferred Stock, and Stockholders’ Equity |
|
|
|
||||
Current liabilities: |
|
|
|
||||
Accounts payable |
|
8,294 |
|
|
|
5,002 |
|
Accrued expenses |
|
34,471 |
|
|
|
31,428 |
|
Deferred revenue |
|
42,757 |
|
|
|
43,345 |
|
Notes payable |
|
68,607 |
|
|
|
49,094 |
|
Other current liabilities |
|
5,978 |
|
|
|
5,089 |
|
Total current liabilities |
|
160,107 |
|
|
|
133,958 |
|
Derivative liabilities |
|
27,549 |
|
|
|
136,196 |
|
Other liabilities |
|
5,720 |
|
|
|
6,282 |
|
Total liabilities |
|
193,376 |
|
|
|
276,436 |
|
Commitments and contingencies |
|
|
|
||||
Stockholders’ Equity |
|
|
|
||||
Class A common stock, |
|
27 |
|
|
|
27 |
|
Additional paid-in capital |
|
1,522,270 |
|
|
|
1,475,300 |
|
Accumulated other comprehensive income |
|
3,065 |
|
|
|
7,538 |
|
Accumulated deficit |
|
(1,151,689 |
) |
|
|
(1,162,040 |
) |
Total stockholders’ equity |
|
373,673 |
|
|
|
320,825 |
|
Total liabilities, redeemable convertible preferred stock, and stockholders’ equity |
|
567,049 |
|
|
|
597,261 |
|
(1) Shares of preferred stock and common stock have been retroactively restated to give effect to the Business Combination. |
|
|||||
Condensed Consolidated Statements of Operations |
|||||
(Unaudited, in thousands, except per share amounts and number of shares) |
|||||
|
Three Months Ended |
||||
|
2022 |
|
2021 |
||
Revenues: |
|
|
|
||
Sharing |
33,577 |
|
|
21,649 |
|
Product sales |
4,401 |
|
|
4,021 |
|
Total revenues |
37,978 |
|
|
25,670 |
|
Cost of sharing, exclusive of depreciation |
21,386 |
|
|
14,398 |
|
Cost of product sales |
4,229 |
|
|
4,215 |
|
Depreciation on sharing vehicles |
8,940 |
|
|
5,017 |
|
Gross margin |
3,423 |
|
|
2,040 |
|
Other operating expenses: |
|
|
|
||
General and administrative (including stock-based compensation expense of |
84,650 |
|
|
30,190 |
|
Selling and marketing (including stock-based compensation expense of |
5,051 |
|
|
3,507 |
|
Research and development (including stock-based compensation expense of |
10,513 |
|
|
7,299 |
|
Total operating expenses |
100,214 |
|
|
40,996 |
|
Loss from operations |
(96,791 |
) |
|
(38,956 |
) |
Interest expense, net |
(1,401 |
) |
|
(1,572 |
) |
Other income (expense), net |
108,580 |
|
|
(35,652 |
) |
Income (loss) before income taxes |
10,388 |
|
|
(76,180 |
) |
Provision for income taxes |
37 |
|
|
20 |
|
Net income (loss) |
10,351 |
|
|
(76,200 |
) |
|
|||||||
Condensed Consolidated Statements of Cash Flows |
|||||||
(Unaudited, in thousands, except per share amounts and number of shares) |
|||||||
|
Three Months Ended |
||||||
|
2022 |
|
2021 |
||||
Cash flows from operating activities |
|
|
|
||||
Net income (loss) |
$ |
10,351 |
|
|
$ |
(76,200 |
) |
Adjustments to reconcile net loss to net cash used in operating activities: |
|
|
|
||||
Issuance of and mark-to-market adjustments of derivative liabilities |
|
(108,646 |
) |
|
|
31,504 |
|
Depreciation and amortization |
|
9,512 |
|
|
|
6,087 |
|
Non-cash vehicle expenses |
|
2,557 |
|
|
|
1,383 |
|
Stock-based compensation expense |
|
48,704 |
|
|
|
1,485 |
|
Amortization of debt issuance costs and discounts |
|
352 |
|
|
|
808 |
|
Bad debt expense |
|
20 |
|
|
|
502 |
|
Other |
|
278 |
|
|
|
(331 |
) |
Changes in assets and liabilities: |
|
|
|
||||
Accounts receivable |
|
(1,509 |
) |
|
|
243 |
|
Inventory |
|
3,323 |
|
|
|
3,015 |
|
Prepaid expenses and other current assets |
|
(13,814 |
) |
|
|
(2,397 |
) |
Other assets |
|
63 |
|
|
|
15 |
|
Accounts payable |
|
3,329 |
|
|
|
(2,431 |
) |
Deferred revenue |
|
(474 |
) |
|
|
1,378 |
|
Accrued expenses and other current liabilities |
|
3,952 |
|
|
|
(1,459 |
) |
Other liabilities |
|
(563 |
) |
|
|
61 |
|
Net cash used in operating activities |
|
(42,565 |
) |
|
|
(36,337 |
) |
Cash flows from investing activities |
|
|
|
||||
Purchases of property and equipment |
|
(251 |
) |
|
|
(66 |
) |
Purchases of vehicles |
|
(63,364 |
) |
|
|
(12,117 |
) |
Net cash used in investing activities |
|
(63,615 |
) |
|
|
(12,183 |
) |
Cash flows from financing activities |
|
|
|
||||
Proceeds from borrowings, net of issuance costs |
|
23,716 |
|
|
|
— |
|
Proceeds from issuance of redeemable convertible senior preferred stock and derivatives, net of issuance costs |
|
— |
|
|
|
187,781 |
|
Payment for taxes related to net share settlement |
|
(1,903 |
) |
|
|
— |
|
Proceeds from the issuance of common stock |
|
169 |
|
|
|
435 |
|
Debt repayments |
|
(4,353 |
) |
|
|
— |
|
Net cash provided by financing activities |
|
17,629 |
|
|
|
188,216 |
|
Effect of exchange rate changes on cash |
|
(1,003 |
) |
|
|
5,360 |
|
Net (decrease) increase in cash and cash equivalents and restricted cash and cash equivalents |
|
(89,554 |
) |
|
|
145,056 |
|
Cash and cash equivalents and restricted cash and cash equivalents |
|
|
|
||||
Beginning of period |
|
159,901 |
|
|
|
53,767 |
|
End of period |
$ |
70,347 |
|
|
$ |
198,823 |
|
Components of cash and cash equivalents and restricted cash and cash equivalents |
|
|
|
||||
Cash and cash equivalents |
|
35,026 |
|
|
|
182,134 |
|
Restricted cash and cash equivalents |
|
35,321 |
|
|
|
16,689 |
|
Total cash and cash equivalents and restricted cash and cash equivalents |
$ |
70,347 |
|
|
$ |
198,823 |
|
|
|||
Calculations of Key Metrics and GAAP to Non-GAAP Reconciliations |
|||
Reconciliation of Gross Transaction Value to Revenue |
|||
|
Three Months Ended |
||
|
2022 |
|
2021 |
(in millions) |
|
|
|
Revenue |
38.0 |
|
25.7 |
Contra Revenue |
3.1 |
|
3.3 |
Platform Adjustment (1) |
2.1 |
|
2.3 |
Gross Transaction Value |
43.1 |
|
31.3 |
(1) Represents the difference between the full amount charged to Bird Platform partner riders (excluding applicable taxes) and the revenue recognized by Bird. |
Reconciliation of Adjusted EBITDA to Net Income (Loss) |
|||||
|
Three Months Ended |
||||
|
2022 |
|
2021 |
||
(in millions) |
|
|
|
||
Net income (loss) |
10.4 |
|
|
(76.2 |
) |
Interest expense, net |
1.4 |
|
|
1.6 |
|
Provision for income taxes |
0.0 |
|
|
0.0 |
|
Depreciation and amortization (1) |
9.8 |
|
|
6.9 |
|
Vehicle count adjustments |
0.6 |
|
|
(0.2 |
) |
Stock-based compensation expense |
48.7 |
|
|
1.5 |
|
Tariff refunds |
— |
|
|
— |
|
Other (income) expense, net |
(108.6 |
) |
|
35.7 |
|
Legal settlements and reserves |
0.9 |
|
|
1.2 |
|
Other non-recurring, non-cash, or non-core items |
— |
|
|
— |
|
Adjusted EBITDA |
(36.8 |
) |
|
(29.5 |
) |
(1) Depreciation and amortization excludes tariff depreciation and other adjustments, which were |
Reconciliation of Ride Profit to Gross Margin |
|||||
|
Three Months Ended |
||||
|
2022 |
|
2021 |
||
(in millions) |
|
|
|
||
Gross margin |
3.4 |
|
|
2.0 |
|
Vehicle depreciation (1) |
9.2 |
|
|
5.6 |
|
Vehicle count adjustments (2) |
0.6 |
|
|
(0.2 |
) |
Product Sales division (3) |
(0.2 |
) |
|
0.2 |
|
Ride Profit (before Vehicle Depreciation) |
13.0 |
|
|
7.6 |
|
Vehicle depreciation (1) |
(9.2 |
) |
|
(5.6 |
) |
Ride Profit (after Vehicle Depreciation) |
3.8 |
|
|
2.0 |
|
(1) Depreciation and amortization excludes tariff depreciation and other adjustments, which were |
(2) We exclude vehicle count adjustments as these are adjustments made based on results of physical inventory counts, which are non-cash in nature. |
(3) We exclude the revenue and cost of revenue associated with vehicle sales to retail customers and Bird Platform partners. |
|
Three Months Ended |
||||||
|
2022 |
|
2021 |
||||
Sharing Revenue |
$ |
33.6 |
|
|
$ |
21.6 |
|
Ride Profit Margin % (before Vehicle Depreciation) |
|
39 |
% |
|
|
35 |
% |
Ride Profit Margin % (after Vehicle Depreciation) |
|
11 |
% |
|
|
9 |
% |
Reconciliation of Adjusted Operating Expenses to Total Operating Expenses |
||||||||
|
|
Three Months Ended |
||||||
|
|
2022 |
|
2021 |
||||
(in millions, except as otherwise noted) |
|
|
|
|
||||
Total operating expenses |
|
$ |
100.2 |
|
|
$ |
41.0 |
|
Depreciation and amortization (1) |
|
|
(0.6 |
) |
|
|
(1.3 |
) |
Stock-based compensation expense |
|
|
(48.7 |
) |
|
|
(1.5 |
) |
Tariff refunds |
|
|
— |
|
|
|
— |
|
Legal settlements and reserves |
|
|
(0.9 |
) |
|
|
(1.2 |
) |
Other non-recurring, non-cash, and non-core items |
|
|
— |
|
|
|
— |
|
Adjusted Operating Expenses |
|
$ |
50.0 |
|
|
$ |
37.0 |
|
% of Revenue |
|
|
132 |
% |
|
|
144 |
% |
(1) Depreciation and amortization is comprised of property and equipment depreciation and intangible asset amortization, which is part of total operating expenses. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20220516005785/en/
Investor Contact
Investor@bird.co
Media Contact
press@bird.co
Source:
FAQ
What were Bird Global's Q1 2022 financial results?
What is Bird's outlook for 2022?
What cost-saving initiatives is Bird implementing?
When does Bird expect to turn positive in adjusted EBITDA?