Vince (VNCE) Q4 2025 earnings summary

Executive summary

• Q4 FY2024 net sales rose 6.2% year-over-year to $80 million, driven by strong wholesale performance and offset by softness in direct-to-consumer retail.

• FY2024 net sales were $293.5 million, up 0.2% year-over-year, with wholesale gains offsetting retail softness.

• Gross profit and margin improved significantly in Q4 and FY2024, reflecting lower promotional activity and product costs.

• Leadership transition with CEO Brendan Hoffman returning and Yuji Okumura appointed as CFO, emphasizing operational efficiency.

• A $32 million non-cash goodwill impairment charge led to a reported Q4 operating loss; adjusted results exclude this and transaction expenses.

Financial highlights

• Q4 net sales increased 6.2% to $80 million year-over-year; excluding the extra week in prior year, sales rose approximately 9%.

• Q4 gross profit was $40.1 million (50.1% margin) vs. $34.2 million (45.4%) in Q4 FY2023; FY2024 gross profit: $145.2 million (49.5%) vs. $133.3 million (45.5%).

• Q4 loss from operations: $(29.7) million (including $32 million impairment); adjusted Q4 operating income: $2.5 million.

• Q4 net loss: $(28.3) million ($(2.24)/share); adjusted Q4 net income: $0.8 million ($0.06/share).

• FY2024 net loss: $(19.0) million ($(1.51)/share); adjusted FY2024 net income: $2.4 million ($0.19/share).

Outlook and guidance

• No full-year FY2025 guidance provided due to tariff and macroeconomic uncertainty.

• Q1 FY2025 net sales expected to decline ~5% year-over-year, with adjusted operating margin down ~500 basis points.

• Continued focus on expense discipline and product margin improvement.