BARK Inc reported QQ1 2025 revenue of $116.2 million, a decline of 3.6% year-over-year and 4.3% quarter-over-quarter, with a gross margin of 60.6%. The company posted an operating loss of $10.6 million and a net loss of $10.0 million, translating to an EPS of −$0.057. EBITDA was negative at $6.45 million, underscoring near-term profitability headwinds driven by elevated operating expenses as the company continues to invest in growth initiatives across its Direct-to-Consumer and BarkShop platforms. Despite negative profitability, the balance sheet remains robust: cash and cash equivalents of $117.8 million, net debt of −$31.2 million, and a solid liquidity position that provides flexibility to fund growth and product development. Operating cash flow was modest at $1.8 million, while free cash flow stood at −$0.25 million, reflecting ongoing investments and working capital dynamics, notably elevated inventory levels.
The quarter shows meaningful progress on top-line stability but highlights ongoing margin pressure from SG&A and marketing investments. Inventory days approximately 158 days and a cash conversion cycle of about 142 days indicate working-capital intensity as Bark scales its subscription and commerce ecosystem. Management commentary (where available) emphasizes the ongoing focus on optimizing marketing efficiency, accelerating product development, and leveraging BarkBox/BarkShop to grow engagement and lifetime value. Given the current trajectory, the near-term focus remains on achieving operating leverage and cash-flow normalization while preserving brand momentum and customer retention. Investors should monitor profitability progression, gross-margin stabilization, inventory management, and the pace of other investments that could influence longer-term earnings power.