BARK 2025 Q4 Earnings Misses Targets as Net Loss Increases 23.8%

BARK (BARK) reported its fiscal 2025 Q4 earnings on June 4th, 2025. The company experienced a decrease in revenue and an increase in net losses compared to the previous year. Revenue for the quarter was below expectations, which contributed to the decline in stock performance. BARK's guidance for the upcoming quarter indicates a potential decrease in revenue compared to the prior year, reflecting ongoing market challenges. The company's strategic focus remains on diversifying revenue streams amidst external pressures.

Revenue
The total revenue of BARK decreased by 5.0% to $115.41 million in 2025 Q4, down from $121.48 million in 2024 Q4.

Earnings/Net Income
BARK's losses deepened to $0.04 per share in 2025 Q4 from a loss of $0.03 per share in 2024 Q4 (28.0% wider loss). Meanwhile, the company's net loss widened to $-6.07 million in 2025 Q4, representing a 23.8% increase from the $-4.90 million loss recorded in 2024 Q4. The EPS reflects a negative trend in earnings performance.

Price Action
The stock price of BARK has edged up 2.27% during the latest trading day, has climbed 6.30% during the most recent full trading week, and has surged 20.54% month-to-date.

Post-Earnings Price Action Review
The strategy of buying BARK when revenue beats and holding for 30 days resulted in poor performance. It yielded a return of -69.85%, with a Sharpe ratio of -0.37 and a maximum drawdown of -85.29%. This strategy significantly underperformed the benchmark, which had a return of 27.00% over the same period. The negative returns highlight the challenges faced by investors using this approach, emphasizing the need for careful strategy evaluation and consideration of broader market conditions.

CEO Commentary
Matt Meeker - Co-Founder, CEO & Executive Chairman: "We delivered our first-ever adjusted EBITDA positive year... In Q4, we delivered $5.2 million in positive adjusted EBITDA, our best quarterly result ever... Revenue for the quarter was $115.4 million, lighter than expected... Tariffs and softening consumer sentiment accelerated our diversification efforts... We plan to accelerate the diversification of our revenue faster than previously planned... Moving forward, we'll invest more aggressively in new product lines and distribution channels... We’ve proven we can build a global brand for dogs and remain EBITDA positive in the years ahead."

Guidance
BARK expects Q1 total revenue between $99 million to $101 million, down 14% at the midpoint versus last year, and anticipates adjusted EBITDA between minus $1 million and positive $1 million. The company aims for commerce to grow to approximately one-third of the business over the next 2 to 3 years, despite the ongoing tariff challenges. The leadership has refrained from providing full-year guidance due to macroeconomic uncertainties and evolving tariff conditions.

Additional News
In February 2025, BARK's Board authorized an additional $4 million for share repurchases, increasing the company's flexibility for future buybacks. This decision reflects confidence in BARK's financial position and growth prospects for Fiscal 2026. CFO Zahir Ibrahim highlighted the company's progress and commitment to delivering long-term shareholder value through strategic share repurchase activities. Additionally, BARK announced its participation in the 2025 ICR Conference, where executives will discuss preliminary third-quarter fiscal year results, showcasing the company's ongoing strategic initiatives and market positioning efforts.