Business
Duluth Holdings Inc. Announces First Quarter 2024 Financial Results
Net sales of $116.7 million Inventory composition is healthy with 93% in current products Strong financial condition with $196 million of liquidity Updated
About this update from Duluth Holdings Inc.
[{"type":"text","content":"Net sales of $116.7 million Inventory composition is healthy with 93% in current products Strong financial condition with $196 million of liquidity Updated Fiscal 2024 outlook for Net Sales, EPS and Adjusted EBITDA MOUNT HOREB, Wis., May 30, 2024 (GLOBE NEWSWIRE) -- Duluth Holdings Inc. (dba, Duluth Trading Company) (“Duluth Trading” or the “Company”) (NASDAQ: DLTH), a lifestyle brand of men’s and women’s workwear, casual wear, outdoor apparel and accessories, today announced its financial results for the fiscal first quarter ended April 28, 2024. Summary of the First Quarter Ended April 28, 2024 Net sales of $116.7 million compared to $123.8 million in the prior year first quarterQuarter-end inventory composition healthy, down 5.9% compared to prior year first quarterNet loss of $7.9 million and Adjusted EBITDA¹ of $1.8 million ¹See Reconciliation of net loss to EBITDA and EBITDA to Adjusted EBITDA in the accompanying financial tables. Management Commentary President and CEO, Sam Sato commented, “Despite some key quarter wins, we are not satisfied with our first quarter results which fell short of our internal expectations. Our top-line quarter performance, at a decline of 5.7%, was hampered by challenging traffic and a sub-par in-stock position following stronger than expected unit selling late in the fourth quarter. We took swift action to improve our in-stock position in core items, which improved throughout the quarter and into the second quarter to date. On a lighter note, during the quarter we furthered our emotional connection and awareness with both existing and new customers with the launch of a successful underwear trade up event, which drove a store traffic increase of 50% on the day of the event with more than one third of the trade ups coming from women. We also launched our #showusyourbibs social media campaign which garnered tremendous buzz and supported continued growth in women’s-only buyers.” Sato concluded, “I am pleased with the progress we’re making against our longer-term strategic initiatives. Our focus for 2024 remains on accelerating the operational improvements of the strategic roadmap, expanding our pipeline of new and innovative products, optimizing our marketing mix, improving gross profit margin rates, and controlling what we can control by prudently managing expenses and inventories.” Operating Re...