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Symbotic posts surge in revenue and profit, but skepticism persists
Symbotic reported fiscal third quarter revenue of $721 million, with net income swinging to $55 million, while short interest remains elevated at 28.1% of the float.
Symbotic Inc. delivered a fiscal third-quarter update that combined fast top-line growth with a sharp earnings turnaround, but the stock still faces heavy skepticism from parts of Wall Street, according to Yahoo Finance. For the quarter ended in its fiscal third period, Symbotic posted revenue of $721 million, up 22% year over year and 7% sequentially, near the high end of its own forecast. Net income rose to $55 million after a $21 million loss a year earlier, and adjusted EBITDA more than doubled to $95 million from $45 million. Execution also included 11 new system deployments during the quarter, bringing total systems to 77 in deployment and 56 already operational. The company reported software revenue up 57% year over year to $13 million, and operation services revenue up 49% to $37 million, alongside expansion tied to Walmart, including a brake pack each-picking system now live at half of Walmart regional distribution centers and a new FirstSim Micro system beginning installation for ecommerce fulfillment. Despite the operational momentum, valuation and positioning remain stretched. Symbotic trades at a forward P/E of 238.1 as of August 14, and short sellers hold 28.1% of the float sold short. Yahoo Finance also noted cash declined to $1.7 billion from $2.0 billion, with backlog dipping slightly to $22.5 billion.