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Lands' End Inc. (LE-0.21%) has submitted its 10-Q filing for the quarterly period ended November 1, 2024.
The filing shows net revenue of $318.6 million for the quarter, a decrease of 1.9% compared to the same period last year. The decrease is attributed to transitioning certain product lines to licensing arrangements, although excluding this impact, net revenue increased by 3.4%.
Gross profit for the quarter was $161.1 million, representing a gross margin of 50.6%, an increase from 47.0% in the prior year. This improvement is primarily due to lower promotional activity and improved supply chain costs.
Selling and administrative expenses increased to $140.9 million, or 44.2% of net revenue, up from 41.7% in the previous year, driven by higher digital marketing expenses.
The company reported a net loss of $0.6 million for the quarter, compared to a net loss of $112.4 million in the previous year, which included a significant goodwill impairment charge.
Interest expense decreased to $10.3 million from $11.7 million, due to lower average outstanding balances and lower applicable interest rates.
Adjusted EBITDA for the quarter was $20.3 million, compared to $17.3 million in the previous year, reflecting operational improvements.
For the 39 weeks ended November 1, 2024, net revenue was $921.3 million, a decrease of 3.8% from the previous year. Gross profit increased to $452.0 million, with a gross margin of 49.1%, up from 44.9%.
Selling and administrative expenses for the year-to-date period increased to $403.8 million, representing 43.8% of net revenue, compared to 39.4% in the prior year.
The company reported a year-to-date net loss of $12.3 million, compared to a net loss of $122.1 million in the previous year, which included the goodwill impairment charge.
Adjusted EBITDA for the year-to-date period was $48.9 million, compared to $52.6 million in the previous year, with the decrease primarily due to the conclusion of a major contract in the prior year.
Lands' End continues to focus on improving gross margins through product solutions and inventory management, while navigating macroeconomic challenges such as inflation and interest rates.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Lands' End Inc. quarterly 10-Q report dated December 5, 2024. To report an error, please email earnings@qz.com.