Revenue Performance - Total consolidated revenues for Q2 Fiscal 2026 decreased by 9.5% to $702.2 million compared to the prior year period[3]. - Total net revenues for the three months ended December 28, 2025, were $702,179,000, a decrease of 9.4% compared to $775,492,000 for the same period in 2024[23]. - E-Commerce revenues were $595,666,000 for the three months ended December 28, 2025, down 12.1% from $677,326,000 in the prior year[23]. - For the six months ended December 28, 2025, total net revenues were $917,379, a decrease of 9.8% from $1,017,582 in the same period of 2024[29]. - Gourmet Foods & Gift Baskets segment revenues declined by 3.8% to $499.0 million, with a gross profit margin of 42.3%[7]. - Consumer Floral & Gifts segment revenues decreased by 22.7% to $181.2 million, with a gross profit margin of 40.1%[7]. - BloomNet segment revenues decreased by 3.1% to $22.1 million, maintaining a gross profit margin of 50.9%[7]. Profitability Metrics - Net income for the quarter was $70.6 million, or $1.10 per diluted share, up from $64.3 million, or $1.00 per share, in the prior year[3]. - Adjusted net income was $76.7 million, or $1.20 per diluted share, compared to $69.2 million, or $1.08 per share, in the prior year[7]. - Net income for the three months ended December 28, 2025, was $70,553,000, an increase of 9.3% compared to $64,348,000 for the same period in 2024[30]. - Adjusted net income (non-GAAP) for the three months ended December 28, 2025, was $76,661,000, up from $69,180,000 in the prior year, reflecting a growth of 10.5%[30]. - Basic net income per share for the three months ended December 28, 2025, was $1.11, compared to $1.01 for the same period in 2024, marking a 9.9% increase[30]. - Diluted adjusted net income per share (non-GAAP) for the three months ended December 28, 2025, was $1.20, up from $1.08 in the prior year, reflecting an increase of 11.1%[30]. Operating Expenses and EBITDA - Adjusted EBITDA for the quarter was $98.1 million, down from $116.3 million in the prior year period[7]. - Adjusted EBITDA (non-GAAP) for the three months was $98,118, down 15.6% from $116,278 in the previous year[27]. - Adjusted EBITDA (non-GAAP) for the six months was $65,171, down 26.2% from $88,332 in the prior year[29]. - Operating expenses decreased by $23.4 million to $221.1 million, primarily due to lower marketing and labor costs[3]. - The Corporate segment reported a significant EBITDA loss of $(34,363) for the three months, compared to a loss of $(28,976) in the previous year, reflecting an 18.6% increase in losses[27]. Cash Flow and Capital Structure - Cash and cash equivalents increased to $193,337,000 as of December 28, 2025, from $46,502,000 at the beginning of the period[25]. - Net cash provided by operating activities for the six months ended December 28, 2025, was $170,909,000, an increase from $151,307,000 in the same period of 2024[25]. - Total assets rose to $893,060,000 as of December 28, 2025, compared to $772,617,000 as of June 29, 2025[21]. - Total liabilities increased to $603,359,000 as of December 28, 2025, from $504,335,000 as of June 29, 2025[21]. - Free cash flow for the six months ended December 28, 2025, was $156,619,000, an increase from $128,284,000 in the same period of 2024, representing a growth of 22.1%[34]. Future Outlook - For the second half of Fiscal Year 2026, the company expects revenue to decline in the low double-digit range[5]. - The company aims to transform into a customer-centric, data-driven organization to fuel future growth[4]. Other Financial Metrics - Gross profit for the six months ended December 28, 2025, was $372,228,000, representing a decline of 12.9% from $427,912,000 in the same period of 2024[23]. - Operating income for the three months ended December 28, 2025, was $74,325,000, a decrease of 18.4% compared to $91,077,000 in the prior year[23]. - Gross profit for the same period was $295,466, representing a 12.5% decline from $335,593 in the prior year[27]. - Total gross profit margin for the three months was 42.1%, down from 43.3% in the previous year[27]. - Capital expenditures for the six months ended December 28, 2025, were $14,290,000, down from $23,023,000 in the same period of 2024[34]. - The company incurred restructuring costs/severance of $6,079,000 for the three months ended December 28, 2025[31]. - System implementation costs added $6,307,000 to the adjusted EBITDA for the three months ended December 28, 2024[31]. - Weighted average diluted shares for the three months ended December 28, 2025, were 63,965,000, compared to 64,306,000 for the same period in 2024[30].

Core Viewpoint - 1-800-FLOWERS.COM, Inc. reported its Fiscal 2026 second quarter results, emphasizing the execution of key strategic priorities during the holiday period, which reflects the early stages of a broader transformation [1] Financial Performance - The company provided results for the second quarter ended December 28, 2025, indicating ongoing efforts to enhance customer engagement and relationship building [1]

Group 1: Market Overview - The analysis covers the performance of the S&P 500 index, indicating its current trends and potential future movements [1] - The report highlights the overall market sentiment and economic indicators influencing investor behavior [1] Group 2: Company-Specific Insights - Elevance Health Inc is noted for its strong financial performance, with significant revenue growth reported in the latest quarter [1] - Matador Resources Company is discussed in the context of its operational efficiency and production levels, which have shown positive trends [1] - Flowco Holdings Inc is analyzed for its market positioning and strategic initiatives aimed at enhancing its competitive edge [1]

Core Insights - 1-800-FLOWERS.COM, Inc. is recognized as one of the best micro-cap stocks to invest in according to analysts [1] - The company is undergoing leadership changes with Alexander Zelikovsky set to become the Chief Information Officer, focusing on IT applications, data management, and AI initiatives [2] - The company reported a loss of $0.83 per share for the first fiscal quarter, with revenues exceeding $215 million, reflecting an approximate 11% decline year-over-year [3] Company Performance - The recent earnings report indicates that 1-800-FLOWERS.COM has not met expectations in recent years, prompting a focus on data-driven decision-making and operational efficiency to return to growth [3] - The CEO, Adolfo Villagomez, has acknowledged the company's challenges and is implementing strategies to improve accountability and operational discipline [3] Market Position - While 1-800-FLOWERS.COM shows potential as an investment, there are suggestions that certain AI stocks may offer greater upside potential with less downside risk [4]

Financial Data and Key Metrics Changes - The meeting confirmed the election of all nominated directors to serve until the 2026 Annual Meeting, indicating a stable governance structure [18] - The proposal to ratify BDO USA, P.C. as the independent registered public accounting firm for the fiscal year ending June 28, 2026, was approved, reflecting confidence in the company's financial oversight [18] - An amendment to the 2003 Long-Term Incentive and Share Award Plan was approved to increase the authorized shares by 5 million, suggesting a focus on incentivizing management and employees [14][15][18] Business Line Data and Key Metrics Changes - No specific financial data or metrics related to individual business lines were discussed during the meeting [20] Market Data and Key Metrics Changes - No specific market data or metrics were provided in the meeting [20] Company Strategy and Development Direction - The company is focused on maintaining a stable board and enhancing its incentive plans, which may indicate a strategy aimed at long-term growth and employee retention [14][15] Management's Comments on Operating Environment and Future Outlook - Management did not provide specific comments on the operating environment or future outlook during the meeting, as there were no questions submitted by stockholders [20] Other Important Information - The meeting was conducted virtually, reflecting a trend towards digital engagement in corporate governance [2] - The company ensured that all stockholders were notified and had the opportunity to participate in the meeting, indicating a commitment to transparency [4] Q&A Session Summary - No questions were submitted by stockholders during the meeting, leading to the conclusion of the meeting without any discussion on specific concerns or inquiries [20]

Financial Data and Key Metrics Changes - The meeting confirmed the election of all nominated directors until the 2026 Annual Meeting, indicating stable governance [18] - The proposal to ratify BDO USA, P.C. as the independent registered public accounting firm for the fiscal year ending June 28, 2026, was approved, reflecting confidence in financial oversight [18] - An amendment to increase the authorized shares under the Long-Term Incentive and Share Award Plan by 5 million shares was also approved, suggesting a focus on incentivizing management and employees [14][18] Business Line Data and Key Metrics Changes - No specific financial data or metrics related to individual business lines were discussed during the meeting [20] Market Data and Key Metrics Changes - No specific market data or metrics were provided in the meeting [20] Company Strategy and Development Direction - The company is focused on maintaining strong governance through the election of experienced directors and the approval of financial oversight measures [18] - The increase in authorized shares indicates a strategy to enhance employee incentives and align interests with shareholders [14] Management's Comments on Operating Environment and Future Outlook - Management did not provide specific comments on the operating environment or future outlook during the meeting [20] Other Important Information - The meeting was conducted virtually, allowing for broader participation from stockholders [2] - The company ensured that all stockholders were notified and had the opportunity to vote, reflecting a commitment to transparency [4] Q&A Session Summary Question: Were there any questions from stockholders? - No questions were submitted prior to the closing of the polls, indicating either satisfaction with the current state of affairs or a lack of engagement from stockholders [20]

Financial Data and Key Metrics Changes - The meeting confirmed the election of all nominated directors to serve until the 2026 Annual Meeting, indicating stability in leadership [17] - The proposal to ratify BDO USA, P.C. as the independent registered public accounting firm for the fiscal year ending June 28, 2026, was approved, reflecting confidence in the company's financial oversight [17] - An amendment to increase the authorized shares under the Long-Term Incentive and Share Award Plan by 5 million shares was also approved, suggesting a focus on incentivizing management and employees [14][17] Business Line Data and Key Metrics Changes - No specific data regarding individual business lines was discussed during the meeting, as the focus was primarily on governance and financial oversight matters [19] Market Data and Key Metrics Changes - No specific market data or key metrics changes were provided during the meeting [19] Company Strategy and Development Direction and Industry Competition - The company appears to be focused on maintaining strong governance through the election of directors and the appointment of independent auditors, which is crucial for long-term strategic planning [17] - The increase in authorized shares may indicate a strategy to enhance employee compensation and retention, which is important in a competitive industry [14] Management's Comments on Operating Environment and Future Outlook - There were no specific comments from management regarding the operating environment or future outlook during the meeting, as no questions were submitted by stockholders [19][20] Other Important Information - The meeting was conducted virtually, allowing for broader participation from stockholders [2] - The company ensured that all stockholders were notified of the meeting and had the opportunity to vote, reflecting a commitment to transparency [4] Q&A Session Summary Question: Were there any questions from stockholders? - No questions were submitted prior to the closing of the polls, leading to the motion to adjourn the meeting [19][20]

Core Viewpoint - 1-800-FLOWERS.COM, Inc. has seen a significant stock price increase of 32.80% to $4.94 following the appointment of Alexander Zelikovsky as the new Chief Information Officer, which is expected to support the company's transformation and AI adoption [1][2]. Group 1: Executive Appointment - Alexander Zelikovsky has been appointed as the new Chief Information Officer, responsible for leading the company's technology strategy, including AI and business optimization [2]. - CEO Adolfo Villagomez praised Zelikovsky as a visionary technology leader with expertise in digital transformation initiatives [3]. - Zelikovsky's experience in enterprise modernization, AI, and cybersecurity is expected to be crucial for driving the company's transformation strategy and enhancing operational efficiency [4]. Group 2: Background of the New CIO - Zelikovsky brings over 25 years of technology leadership experience, having transformed traditional businesses into digital enterprises on a global scale [5]. - His previous roles include executive vice president and Global CIO at Pitney Bowes, as well as head of digital technology at Kimberly-Clark for the EMEA and Latin America regions [5].

Core Insights - 1-800-FLOWERS.COM, Inc. has appointed Alexander Zelikovsky as Chief Information Officer to drive AI, digital commerce, and cybersecurity innovation, aligning with the company's transformation strategy under CEO Adolfo Villagomez [1][3]. Company Overview - 1-800-FLOWERS.COM, Inc. is a leading provider of thoughtful expressions, offering a portfolio of over 18 premium brands, including 1-800-Flowers.com®, Harry & David®, and PersonalizationMall.com® [7]. - The company operates as an omnichannel retailer and supports local businesses through its BloomNet® network, enabling same-day delivery [7]. Leadership and Strategy - Zelikovsky will lead the enterprise-wide technology strategy, focusing on IT applications, data architecture, cybersecurity, and business intelligence to enhance customer experiences and drive omnichannel growth [3][4]. - His extensive experience includes roles at Pitney Bowes and Kimberly-Clark, where he executed IT transformation strategies that resulted in significant business turnarounds [4][5]. Vision and Goals - Zelikovsky expressed enthusiasm about joining the company during its pivotal transformation, emphasizing the importance of technology in building consumer-centric relationships and operational excellence [5]. - The leadership aims to leverage technology and data to deepen customer relationships and accelerate growth across the business [5].

Financial Performance - For the three months ended September 28, 2025, the total net revenues decreased by 11.1% to $215.2 million compared to $242.1 million for the same period in 2024[86]. - The net loss for the three months ended September 28, 2025, was $52.96 million, compared to a net loss of $34.19 million for the same period in 2024[82]. - Adjusted EBITDA for the three months ended September 28, 2025, was $(32.95) million, a decrease of 17.9% from $(27.95) million for the same period in 2024[86]. - The gross profit for the total company decreased by 16.9% to $76.76 million, down from $92.32 million in the same quarter of the previous year[86]. - E-commerce revenues fell by 12.5% to $169.0 million, driven by a decline in demand across segments[96]. - Free cash flow was negative at $(145.6) million, compared to $(189.3) million in the prior year[92]. - Gross profit decreased by 16.9% to $76.8 million, with a gross profit margin of 35.7%, down from 38.1%[108]. - Other revenues decreased by 5.6% to $46.2 million, primarily due to lower wholesale volumes in the Gourmet Foods & Gift Baskets segment[99]. - Consumer Floral & Gifts segment revenues decreased by 14.6%, with a 17.1% drop in e-commerce orders[101][102]. - Gross profit in the Consumer Floral & Gifts segment fell by 18.9% due to lower revenues and increased costs[110]. Operational Changes - The company aims to transform into a customer-centric, data-driven organization to fuel future growth in fiscal 2026[72]. - The strategic priorities include driving cost savings, building a customer-centric organization, and broadening reach into new channels[75]. - The company is focusing on marketing effectiveness and profitability over near-term revenue growth, impacting overall revenue performance[94]. Expenses and Costs - Marketing and sales expenses decreased by 15.8% to $69.1 million, representing 32.1% of net revenues[113]. - Technology and development expenses decreased by 9.5% to $14,150,000 for the three months ended September 28, 2025, compared to $15,639,000 in the prior year[115][116]. - General and administrative expenses increased by 9.1% to $31,118,000 for the three months ended September 28, 2025, compared to $28,526,000 in the prior year[117][118]. Financial Position - Working capital decreased to $11.7 million as of September 28, 2025, from $61.3 million at June 29, 2025[125]. - Net cash used in operating activities was $139.0 million for the three months ended September 28, 2025, primarily due to seasonal changes in net working capital[129]. - The company had $110.0 million outstanding under its revolving credit agreement as of September 28, 2025, to fund pre-holiday manufacturing and inventory procurement[127]. Shareholder Information - The weighted average shares used in the calculation of basic and diluted net loss per common share was 63,630 for the three months ended September 28, 2025[82]. Interest and Taxation - Interest income decreased by 52.9% to $(311,000) for the three months ended September 28, 2025, compared to $(660,000) in the prior year[120]. - Interest expense increased by 15.0% to $4,621,000 for the three months ended September 28, 2025, compared to $4,020,000 in the prior year[121][122]. - Other expense (income), net increased by 32.8% to $(2,347,000) for the three months ended September 28, 2025, compared to $(1,767,000) in the prior year[123]. - The company recorded an income tax expense of $0.5 million for the three months ended September 28, 2025, compared to an income tax benefit of $14.4 million in the prior year[124]. Customer Engagement - The company operates a diverse portfolio of brands, including 1-800-Flowers.com and Harry & David, to enhance customer relationships through its Celebrations Passport loyalty program[70]. - The average order value increased by 2.2% to $79.98, despite a 14.4% decrease in the number of orders fulfilled[97]. Segment Performance - The Consumer Floral & Gifts segment reported a 14.6% decline in net revenues, totaling $115.43 million compared to $135.18 million in the prior year[86]. - The segment contribution margin for the Gourmet Foods & Gift Baskets segment was $(13.36) million, reflecting a decrease of 17.8% compared to the prior year[86].