Weber stocks plunged by nearly 6 percent in early trading on Monday.
The current CEO was replaced by the Chief Technology Officer, Alan Matula, this morning.
Net sales was affected by lower retail traffic, both in-store and online.
The Biden Recession is here.
Net Sales performance was affected by slower retail traffic, both in-store and online, in all key markets, as well as continued foreign currency devaluations that impact our reported results.
Management believes that the slower retail traffic patterns are the result of pressured consumer shopping behaviors globally, due to rising inflation, supply chain constraints, fuel prices, and geopolitical uncertainty.
The Company expects these market headwinds to continue into the fiscal fourth quarter of 2022.
The Company now expects Adjusted EBITDA to be marginally profitable, which is materially lower than the internal budget related to the previously announced fiscal year 2022 Adjusted EBITDA guidance.
The Company also expects to have a net loss in the period ending June 30, 2022. Profitability was negatively impacted by significant currency devaluations within the quarter, promotional activity to enhance retail sell through, lower margin country, and product mix, as well as substantial freight cost increases.