Owlet Inc reported record second-quarter total revenue of $33.9 million, up 29.9% year-over-year, with gross margin expanding to 54% excluding a tariff refund. Adjusted EBITDA excluding the tariff refund reached a record $2.9 million, while subscription revenue grew to a record $3.2 million with 130,000 paying subscribers and 36% DreamSock penetration in the US. International revenue surged 214% year-over-year, marking the highest international revenue quarter in company history, and the company secured a new $25 million credit facility with Wells Fargo that significantly reduces its interest rate margin by at least 525 basis points. However, Prime Day units sold fell 8% year-over-year due to aggressive competitor discounting, and third-quarter revenue is expected to decline sequentially and versus the prior year amid challenging comparisons and cautious consumer spending signals. The company also highlighted its AI parenting Copilot feature, which 85% of parents engage with daily, and plans to expand telehealth tiers within its Owlet 360 subscription service.
Owlet IncRecord revenue, margin expansion, and new credit facility highlight strong financial performance.
Wells Fargo & CompanyProvided a $25 million credit facility to Owlet, a business transaction benefiting Wells Fargo.
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