Cricut, Inc. (CRCT) had a very strong second quarter. Revenue increased 42% compared to the same quarter in 2020. This is very impressive because the 42% is on top of the 149% increase the company saw in 2020 over 2019.
Breaking down the revenue, machine sales grew 29%, accessories and materials grew 40%, and subscriptions grew 111% - the company's highest margin segment. In addition, international revenue grew 179%. This represents 8.5% of the company's total revenue, which is up from 4.3% in the same quarter last year.
However, despite such a strong quarter, the stock plummeted similar to many other companies that have followed a similar trend. The reason? On the conference call with analysts, management noted that second-quarter results benefited from channel fill as the company filled retail inventories with the new products.
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