Aterian, Inc., together with its subsidiaries, operates as a technology-enabled consumer products company in North America and internationally. The company provides Artificial Intelligence Marketplace e-Commerce Engine, a software technology platform, which uses machine learning, natural language processing, and data analytics to design, develop, market, and sell products. Its platform offers home and kitchen appliances; kitchenware; heating, cooling, and health and beauty products; and air quality appliances, such as dehumidifiers, humidifiers, and air conditioners under the hOmeLabs, Vremi, Squatty Potty, Xtava, RIF6, Aussie Health, Holonix, Truweo, Mueller, Pursteam, Pohl and Schmitt, Healing Solutions, Photo Paper Direct, and Spiralizer brands. The company also sells essential oils. It primarily serves individual online consumers through Amazon and other e-commerce platforms, as well as through its owned and operated websites and other marketplaces. The company was formerly known as Mohawk Group Holdings, Inc. and changed its name to Aterian, Inc. in April 2021. Aterian, Inc. was founded in 2014 and is headquartered in New York, New York.
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Here are 1-3 brief analogies to describe Aterian:
Aterian is like Procter & Gamble for Amazon-first consumer brands.
Aterian is like Unilever for digitally native consumer products.
Aterian is like Constellation Brands for everyday e-commerce items.
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- Home & Kitchen Products: A range of consumer goods for household use, including small appliances, kitchenware, and home environment products.
- Health & Wellness Products: Items focused on personal care, fitness, and nutritional supplements.
- Outdoor & Travel Products: Gear and accessories designed for outdoor activities and travel.
- Consumer Electronics: Various electronic devices and accessories.
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Aterian (ATER) primarily sells directly to individual consumers through various e-commerce platforms, notably Amazon and Walmart.com, as well as its own direct-to-consumer websites. The company acquires, operates, and scales a portfolio of consumer brands across diverse categories.
Based on its product offerings, Aterian serves the following categories of individual customers:
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General Household Consumers: These customers purchase a wide range of products for their homes, including kitchen appliances (e.g., blenders, air fryers), home comfort devices (such as air purifiers, humidifiers, and fans), cleaning tools, and other everyday household essentials.
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Health and Personal Care Consumers: This category includes individuals seeking products focused on personal well-being, beauty, and self-care. Examples include aromatherapy diffusers, skincare tools, massage devices, and health monitoring accessories.
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Specialty Lifestyle Consumers: This segment encompasses individuals purchasing items for specific interests or needs that extend beyond general home and personal care. Examples include pet owners buying accessories for their pets, individuals seeking home office supplies, or those looking for unique or niche gift items.
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Arturo Rodriguez, Chief Executive Officer
Mr. Rodriguez has served as Aterian's Chief Executive Officer since June 2024, having previously held roles as Co-Chief Executive Officer from July 2023 to June 2024 and Chief Financial Officer from March 2021 to June 2024. He joined Aterian in September 2017 as Senior Vice President of Finance. Prior to Aterian, Mr. Rodriguez was the Chief Accounting Officer and Global Controller for Piksel, Inc. for five years, where he also served as Interim Chief Operating Officer in his final year. From 2000 to 2011, he held various financial leadership positions with the Atari Group, notably as Acting Chief Financial Officer of Atari, Inc. from 2007 to 2008 and Deputy CFO of Atari SA from 2008 to 2010. His career began as a Senior Auditor at Arthur Andersen in 1997. During his time at GT Interactive (which became Atari), he was involved in the company's "rollup strategy," acquiring various video game intellectual properties and brands, and later restructuring the company. Similarly, his tenure at Kit Digital (later Piksel) also involved a global restructuring effort. He is a New York State Certified Public Accountant.
Josh Feldman, Chief Financial Officer
Mr. Feldman has served as Aterian's Chief Financial Officer since June 2024, having been the Senior Vice President of Finance from May 2022 to June 2024. Before joining Aterian, he was the Head of Finance for Olivela, a luxury goods e-commerce company, from February 2021 to May 2022. From January 2018 to October 2020, he served as Vice President of Financial Operations for Hugo Boss North America. Mr. Feldman also held several senior finance roles at Saks Fifth Avenue and Hudson's Bay Company from 2007 to 2018 and began his career as an audit manager with KPMG. He is a Certified Public Accountant in New York.
Roi Zahut, Chief Technology Officer
Mr. Zahut is the Chief Technology Officer at Aterian.
Bryan Torres, Head of Revenue & Channel Ops
Mr. Torres serves as the Head of Revenue & Channel Ops for Aterian.
Jacob Modrzynski, Head of Supply Chain Operations
Mr. Modrzynski holds the position of Head of Supply Chain Operations at Aterian.
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The rapid emergence and growth of social commerce platforms, particularly TikTok Shop, poses a clear threat. Aterian's business model and proprietary technology are largely optimized for identifying trends, marketing, and selling products primarily on Amazon. The shift in consumer attention and purchasing power to platforms like TikTok Shop, which feature distinct algorithms, short-form video content, influencer-driven sales, and a different fulfillment paradigm, could dilute Aterian's competitive advantage and require significant adaptation to their established e-commerce strategy and technological infrastructure.
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Aterian, Inc. (symbol: ATER) is a technology-enabled consumer products company that offers a range of products including home and kitchen appliances, kitchenware, air quality appliances, health and beauty products, and essential oils. These products are sold under various brand names such as Squatty Potty, HomeLabs, Mueller Living, PurSteam, Healing Solutions, and Photo Paper Direct. The company primarily sells its products through online retail channels like Amazon, Walmart, and Target in the U.S., and Mercado Libre in Chile, Colombia, and Argentina, as well as through its own direct-to-consumer websites. Aterian has also expanded its operations to the UK and EU.
While Aterian operates within the broader e-commerce and consumer products markets, specific addressable market sizes for their individual main product categories or services with corresponding regional data are not readily available in the provided information. Therefore, it is not possible to identify the precise size of the addressable markets for Aterian's main products or services.
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Here are the expected drivers of future revenue growth for Aterian (ATER) over the next 2-3 years:
- Launch of New Products and Product Variations: Aterian is focused on introducing new products and expanding its existing offerings. In Q3 2024, the company launched one new product category and four product variations. They anticipate continuing to launch variations in Q4 2024 and expect to launch approximately five new product categories in 2025. This ongoing innovation and expansion of their product portfolio are expected to contribute to revenue growth.
- Expansion into New Markets and Omnichannel Sales Approach: The company plans strategic market expansion and entry into new markets in 2025 to boost revenue and margins. This includes leveraging an omnichannel sales approach, which suggests broadening their sales channels beyond their primary online marketplaces like Amazon, Walmart, and Target, to potentially include direct-to-consumer websites and other retail avenues.
- Focus on Core Brands and SKU Rationalization for Profitable Growth: Aterian has undertaken SKU rationalization initiatives, narrowing its brand offerings to six foundational brands. While this has led to a near-term decline in overall revenue, the strategy is designed to focus on their "best brands and products" to improve gross margins and drive more profitable revenue growth in the long term. This strategic overhaul is anticipated to yield stable and higher revenue in 2025 with continued improvements in operating efficiencies.
- Reduced Reliance on China for Sourcing: Aterian is actively exploring product sourcing alternatives outside of China. This strategy aims to mitigate potential tariff impacts and reduce overall costs. By diversifying its supply chain, the company can improve its cost structure, enhance competitive pricing, and potentially free up resources for growth initiatives, indirectly supporting revenue expansion.
- Operational Improvements and Cost Management Initiatives: Aterian has implemented strategic initiatives over the past 18 months, including operational improvements and cost-cutting measures. These efforts have led to improved key metrics, such as significant improvements in gross margins and a reduction in net loss, and adjusted EBITDA profitability for consecutive quarters. These efficiencies are expected to continue into 2025, contributing to a more stable financial foundation that can support and drive future revenue growth through better resource allocation and competitive positioning.
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Share Repurchases
- Aterian, Inc. authorized a share repurchase program of up to $3.0 million of its common stock on March 18, 2025.
- The program is set to run for a period of two years, concluding on March 18, 2027.
- The company's management indicated that the repurchase program reflects confidence in Aterian's future and financial stability, believing the stock to be significantly undervalued.
Share Issuance
- In September 2022, Aterian announced a registered direct offering of 10,526,368 shares of its common stock, expecting to generate approximately $20.2 million in gross proceeds.
- Aterian's shares outstanding were approximately 8.13 million as of October 2025 and 9.99 million as of August 2025, with an increase of 9.86% in shares outstanding over the prior year.
Outbound Investments
- Aterian acquired the Squatty Potty brand in 2021.
- The company also acquired Photo Paper Direct in 2021.
- On December 1, 2020, Aterian (then Mohawk Group Holdings, Inc.) acquired certain assets related to e-commerce businesses under brands including Mueller, Pursteam, Pohl, and Schmitt, and Spiralizer.
Capital Expenditures
- Aterian's capital expenditures were reported as -$0.01 million for the trailing twelve months ending June 30, 2025.
- Annual capital expenditures were -$0.04 million in fiscal year 2024, -$0.12 million in fiscal year 2023, -$0.08 million in fiscal year 2022, and -$0.03 million in fiscal year 2021.
