Shares of Aterian, Inc. (ATER) stock were dropping today following the release of second-quarter 2021 financial results. ATER stock price saw a downtrend of 39.61% to drop at $4.97 a share as of this writing. Aterian, Inc is the technology stock founded in 2014 and based in New York.

Second Quarter Financial Results:

• The Aterian stock reported a $36.3 million net loss in Q2, 2021, significantly higher than the net loss of $2.9 million in Q2 2020.
• Adjusted EBITDA of the stock decreased to a loss of $3.7 million in the reported quarter. The previous year’s same quarter adjusted EBITDA recorded a $3.4 million gain.
• ATER stock generated $68.2 million in net revenue which represents 14% year-over-year growth. Previous year same quarter net revenue was $59.8 million for the stock.
• ATER stock recorded $4.5 million operating income as compared to an operating loss of $1.8 million in Q2 2020. This includes  $23.3 million of benefit from the change in fair value of earn-out liabilities.
• The contribution margin for the reported quarter decreased 8.3% as compared to 16.8% in the same quarter of last year.
• Operating expenses for the ATER stock were $28.3 million in the second quarter of 2021. This shows that these expenses were decreased as compared to $29.4 million operating expenses in the same quarter of last year.
• ATER stock launched 19 new products in the second quarter of 2021 while it launched 8 products in the previous quarter.
• As of June 30, 2021, ATER stock had a cash balance of $61.9 million. The cash balance increased by $26.9 million as compared to the cash balance as of March 31, 2021.

ATER stock withdrawn 2021 Outlook:

It was difficult for ATER stock to predict shipping cost and inventory due to global supply chain crises. Furthermore, covid-19 is still making a significant impact on businesses. So in this situation, the prediction about near-term consumer behavior is a difficult task. Due to these facts, Aterian stock has withdrawn 2021 net revenue and adjusted EBITDA guidance for an unknown time.

Wrap Up:

Investors are responding negatively to the announcement of second-quarter 2021 financial results.Net loss of the Aterian stock has significantly increased as compared to the same period of the prior year. The stock has a market cap of $171.34 million and an 802,352 average trading volume. Investors eyeing ATER stock need to do deep research before adding this stock to their portfolio.