Business
Duluth Holdings Inc. Announces Second Quarter 2023 Financial Results and Chief Financial Officer Update
Net Sales of $139.1 million New highly automated 500,000 square foot fulfillment center in Adairsville, Georgia is live Strong financial condition with $211
About this update from Duluth Holdings Inc.
[{"type":"text","content":"Net Sales of $139.1 million New highly automated 500,000 square foot fulfillment center in Adairsville, Georgia is live Strong financial condition with $211 million of liquidity Updated Fiscal 2023 outlook for EPS and Adjusted EBITDA MOUNT HOREB, Wis., Aug. 31, 2023 (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 second quarter ended July 30, 2023. Summary of the Second Quarter Ended July 30, 2023 Net sales of $139.1 million compared to $141.5 million in the prior year second quarterAKHG sub-brand net sales increase 14.0% compared to prior year second quarterInventory composition healthy and well managed, down 4.5% compared to prior year second quarterAdjusted EBITDA1 of $8.6 million, representing 6.2% of net salesNew highly automated fulfillment center opened ahead of schedule and on budget 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, “Customer demand for our Spring & Summer collections was healthy as we sold through our seasonal offerings and drove increases in units and order volume during the quarter. As we navigate what remains a dynamic macro environment in which customers continue to seek value, we are managing the business prudently, controlling what we can control while staying keenly focused on elevating our unique brand and sub-brand positioning. Our updated outlook for fiscal 2023 reflects a continuation of consumers remaining selective in their discretionary spending. Importantly, our inventory position is in good shape and ended the quarter below prior year levels due to strong seasonal sell through and our disciplined efforts to appropriately plan our purchase and receipt flow. The continued success and momentum in our spring Garden, Landscaping and Planting collection, registering a second quarter sales increase of nearly 40%, combined with expansion of our AKHG sub-brand for women with sales growth of more than 30%, fueled solid women’s second quarter sales growth of roughly 3%. We saw strong overall AKHG sub-brand year-over-year sales growth in the quarter of 14%. With ...