a.k.a. Brands (AKA) Q3 2026 earnings summary

Executive summary

• Q3 net sales rose 9.7% to $161.3M; Adjusted EBITDA grew 16.6% to $8.2M, its third consecutive quarter of double-digit growth.

• Gross margin expanded 100 bps to 60.1%; U.S. sales grew 14%, while Australia and New Zealand sales declined 6.7%.

• Net loss widened to $7.7M from $5.0M, partly amid higher selling expenses and $5.3M in Ohio distribution-center relocation costs.

Financial highlights

• Net sales were $161.3M versus $147.1M; constant-currency sales increased 7.6%.

• Adjusted EBITDA rose to $8.2M from $7.0M; margin expanded to 5.1% from 4.8%.

• Gross profit was $96.9M, up 11%; gross margin reached 60.1% from 59.1%, supported by improved full-price selling in streetwear.

• Operating loss was $4.1M versus $1.4M; diluted loss per share was $0.70 versus $0.46.

• Selling expenses were $52.3M, including $5.3M in relocation costs; marketing was $21.1M and G&A was $27.7M.

Outlook and guidance

• FY26 net sales guidance is $626M–$632M and Adjusted EBITDA guidance is $29M–$30M, versus prior ranges of $625M–$635M and $30M–$32M.

• Q4 guidance is $172M–$178M in net sales and $7M–$8M in Adjusted EBITDA; FY26 and Q4 diluted share count guidance is 11M.

• FY26 CapEx guidance is $16M–$17M; assumptions include D&A of $20M–$21M, interest and other expense of $23M–$25M, and a -10% tax rate.

• Q4 midpoint assumes 57% gross margin; higher air freight rates and surcharges are expected to reduce Q4 margin by an additional 80 bps versus prior outlook.

• Management expects faster delivery and lower shipping costs from 2027; long-term target is double-digit EBITDA profitability.