Brilliant Earth Group Inc Reports Financial Results for Q2 2024

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Brilliant Earth Group, Inc. Reports Financial Results for Q2 2024

San Francisco, August 8, 2024 — Brilliant Earth Group, Inc. (NASDAQ:BRLT), a global leader in ethically sourced fine jewelry, today announced its financial results for the second quarter ending on June 30, 2024.

Key Financial Metrics

Metric	Q2 2024	Q2 2023	YoY Change	Consensus Estimate (Current Quarter)
Total Revenue	$105.4 million	$109.8 million	-4.0%	$107.15 million
GAAP Diluted EPS	$0.01	$0.09	-88.9%	$0
Adjusted Diluted EPS	$0.03	$0.05	-40.0%	N/A
Net Income	$1.4 million	$1.5 million	-6.7%	N/A
Adjusted EBITDA	$5.5 million	$6.0 million	-8.3%	N/A
Gross Margin	60.8%	57.6%	+320 bps	N/A

Interpretation: Despite a 4% year-over-year decline in total revenue, Brilliant Earth managed to generate a GAAP diluted EPS of $0.01 and an adjusted diluted EPS of $0.03, exceeding consensus estimates of $0 in EPS. The company improved its gross margin significantly by 320 basis points to 60.8%, demonstrating robust profit management amidst a challenging environment.

Revenue Performance by Segment

Segment	Q2 2024 Revenue	Q2 2023 Revenue	YoY Change
Total Orders	+ 3.6% YoY	-	+3.6%
Repeat Orders	+ 17% YoY	-	+17%
Wedding and Anniversary Bands	Double-Digit%	-	-
Fine Jewelry Bookings	+ 29% YoY	-	+29%

Interpretation: The company exhibited strong performance across its key segments, particularly with a 17% increase in repeat orders and a 29% year-over-year increase in fine jewelry bookings. This indicates growing customer loyalty and a successful push in fine jewelry and wedding bands.

Key Operational Data

Metric	Q2 2024	Q2 2023	YoY Change
Average Selling Price	Increased YoY	-	-
Number of Showrooms	On track to open 3 new showrooms in the second half of 2024: two in Boston and one in New York City street-level location	-	-

Comments from Company Officers

Beth Gerstein, Co-Founder and CEO, commented, "I'm pleased with our ability to manage the business with agility and discipline in a challenging industry and macroeconomic backdrop. We delivered quality order growth, expanded gross margin, and exceeded our profitability expectations."

Dividends or Share Repurchase Program

No dividends or share repurchase programs were announced in the earnings release.

Forward Guidance

Brilliant Earth did not provide specific forward guidance but referenced ongoing strategic initiatives and expansion plans, including the opening of new showrooms later this year.

Stock Price Movement

Following the earnings release, Brilliant Earth’s stock price experienced a 2.06% increase.

In summary, Brilliant Earth demonstrated resilience and strategic growth despite a decline in total revenue. The robust increases in repeat orders and fine jewelry bookings coupled with margin expansion underscore the company's solid performance in a competitive market.