Pet airline, Amazon and DTC: the drivers of BARK’s latest financials

American omnichannel dog brand BARK has widened its net loss to $10.7 million (€9.8M) in Q2 of fiscal year (FY) 2026 ending 30 September 2025. The firm reported a net loss of $7 million (€6.4M) in the previous quarter. Year-over-year (YoY), the loss more than doubled (102%).

Revenue from July to September was down 15.2% to $107 million (€98.4M) but surpassed the company’s guidance range of $102 million (€88.1M) to $105 million (€90.7M).

BARK Air and DTC  

This performance was driven by the commerce and pet airline segments, which collectively contributed a record 26.5% to the total revenue.

Commerce revenue, which includes BARK’s retail business, registered $24.8 million (€22.8M), rising 5.6% YoY. Meanwhile, BARK Air’s revenue jumped 138% to $3.6 million (€3.3M).

In the direct-to-consumer (DTC) segment, revenue dropped 19.9% to $82.1 million (€75.5M) due to fewer subscriptions from the prior year.

Gross margin in the quarter was 57.9%, compared to 60.4% during the same period last year. “The decrease was primarily driven by higher commerce and air contribution, and elevated input costs, including tariffs and freight and customer mix in commerce,” the company says. 

Amazon partnership 

During the quarter, BARK’s subscription business, BarkBox, moved to Amazon’s last-mile network for delivery.

According to BARK’s CEO Matt Meeker, this is a “meaningful” milestone that will reduce the company’s last-mile delivery costs and improve delivery speed. This efficiency, he says, enabled BARK to deploy an additional $1 million (€863K) to drive both short- and long-term growth.

“We have seen 6 consecutive months of improvement in subscriber retention as we continue to capitalize on the Shopify platform,” he says.

Meeker also highlighted that the brand now extends beyond subscriptions with a presence across 50,000 retail locations nationwide. 

Guidance

For Q3 FY2026, BARK expects total revenue between $101 million (€92.9M) and $104 million (€95.7M), with adjusted EBITDA ranging from a loss of $5 million (€4.6M) to $1 million (€863K).

“Adjusted EBITDA would have been stronger, but we chose to invest roughly $1 million (€863K) in incremental efficient growth during the quarter, an investment we expect will pay off as the year goes on,” says Meeker.

The company notes that due to “ongoing uncertainty surrounding tariffs and their impact on overall demand and operating costs,” it decided not to provide full-year guidance.