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Vince.(VNCE) - 2025 Q1 - Quarterly Results
2024-06-18 11:00
Exhibit 99.1 VINCE HOLDING CORP. REPORTS FIRST QUARTER 2024 RESULTS Net Sales of $59.2 Million Gross Margin Increased 440 basis points vs. Q1 FY2023 Q1 Profitability Exceeds Prior Outlook Reaf irms Full Year FY2024 Outlook NEW YORK, New York – June 18, 2024 – Vince Holding Corp. (NYSE: VNCE) ("VNCE" or the "Company"), a global contemporary retailer, today reported its financial results for the first quarter ended May 4, 2024. David Stefko, Interim Chief Executive Officer of VNCE said, "Our first quarter res ...
Vince.(VNCE) - 2024 Q4 - Annual Report
2024-05-02 20:44
UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended February 3, 2024 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-36212 VINCE HOLDING CORP. (Exact name of registrant as specified in its charter) Delaware 75-3264870 (State or other jurisdiction of inc ...
Vince.(VNCE) - 2024 Q3 - Quarterly Report
2023-12-07 21:40
UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended October 28, 2023 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-36212 VINCE HOLDING CORP. (Exact name of registrant as specified in its charter) Delaware 75-3264870 (State or other jurisdic ...
Vince.(VNCE) - 2023 Q3 - Earnings Call Transcript
2023-12-06 15:37
Financial Data and Key Metrics Changes - Total company net sales for Q3 2023 decreased 14.7% to $84.1 million compared to $98.6 million in Q3 2022, primarily due to a 100% decrease in Rebecca Taylor and Parker combined net sales following the wind down of the Rebecca Taylor business [21] - Vince brand sales declined 6.2% year-over-year, impacted by declines in both wholesale and direct-to-consumer segments, but showed sequential improvement from Q2 [22] - Gross profit for Q3 was $37.2 million, or 44.2% of net sales, compared to $29.8 million, or 30.2% of net sales in the same quarter last year, driven by the wind down of the Rebecca Taylor business and lower freight costs [23] - Operating income for Q3 was $2.8 million compared to an operating loss of $9.4 million in the same period last year [25] - Net income for Q3 was $1 million, or $0.08 per diluted share, compared to a net loss of $5.2 million, or a $0.43 loss per share in Q3 2022 [27] Business Line Data and Key Metrics Changes - The decline in Vince brand sales was attributed to macro-related headwinds and a strategic pullback on the off-price business within the wholesale channel [22] - The men's business showed strength in pre-fall assortments, particularly in linen, knit, and woven products, despite weather impacts on customer buying behavior [14] Market Data and Key Metrics Changes - The company celebrated the grand opening of its first freestanding store in China, located in Nanjing, which is expected to attract high net worth individuals [13] - The company plans to open a location in Beijing in spring 2024, continuing its international expansion efforts [13] Company Strategy and Development Direction - The company is focused on a transformation program aimed at delivering over $30 million in cost savings over the next three years [9] - The transformation office is expected to streamline manufacturing and production operations, reduce promotional activity, and enhance efficiencies within store operations and corporate overhead [15] - The company is leveraging enhanced e-commerce capabilities and a Customer Data Platform (CDP) to drive engagement and performance [10][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's progress and momentum, despite ongoing macroeconomic challenges and increased royalty expenses [20] - The company expects to deliver another quarter of sequential top-line improvement in Q4, driven by the 53rd week and ongoing execution across channels [32] - Management remains focused on long-term profitable growth while delivering value for stakeholders [20] Other Important Information - The company reported a decrease in net inventory to $69.6 million at the end of Q3, down from $116.4 million a year earlier, driven by the wind down of the Rebecca Taylor business [30] - The company expects inventory levels to remain below the prior year as it continues to manage inventory conservatively [31] Summary of Q&A Session - There was no question-and-answer session during the call [5]
Vince.(VNCE) - 2024 Q2 - Quarterly Report
2023-09-15 20:40
UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended July 29, 2023 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-36212 Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the ...
Vince.(VNCE) - 2023 Q2 - Earnings Call Transcript
2023-09-12 14:42
Financial Data and Key Metrics Changes - Total company net sales for Q2 2023 decreased 22.1% to $69.4 million compared to $89.2 million in Q2 2022, driven by a 98.7% decrease in Rebecca Taylor and Parker combined net sales and a 14.3% decrease in Vince brand sales [23][24] - Gross profit in Q2 was $32.3 million or 46.6% of net sales, compared to $36.4 million or 40.8% of net sales in the same period last year, with the increase in gross margin rate attributed to lower freight costs and favorable inventory adjustments [26] - Net income for Q2 was $29.5 million or $2.36 per diluted share, compared to a net loss of $15 million or $1.23 loss per share in Q2 2022 [32] Business Line Data and Key Metrics Changes - The Vince brand net sales decrease was attributed to declines in both wholesale and direct-to-consumer segments, with a strategic decision to reduce off-price business impacting top-line performance [24] - Direct-to-consumer channel showed sequential improvement compared to Q1, while wholesale channel faced pressure due to strategic decisions and macro-related headwinds [8][25] Market Data and Key Metrics Changes - The company plans to open two new stores in China, indicating a focus on international expansion, with positive reception from the first store in Shanghai [14] - The men's business is expected to grow to approximately 30% of top-line performance in the next four years, with strong initial performance from new store openings [15] Company Strategy and Development Direction - The company is focused on improving margin performance and executing strategic growth initiatives, including enhancing e-commerce capabilities and expanding international presence [7][11] - A disciplined approach to inventory management and cost evaluation is being maintained to drive margin expansion over time [18] Management's Comments on Operating Environment and Future Outlook - Management acknowledged a challenging macro environment impacting both direct-to-consumer and wholesale channels but expressed optimism about sequential improvements and upcoming product campaigns [8][17] - The company expects to deliver sequential improvement in top-line performance in Q3 compared to Q2, despite macro headwinds [37] Other Important Information - The second quarter results included a $32 million gain on the sale of the Vince IP, partially offset by transaction-related expenses [21] - The company has successfully refinanced its ABL facility, providing expanded capacity of $85 million expected to mature in June 2028 [36] Q&A Session Summary - There was no Q&A session following the earnings call, as indicated in the transcript [6]
Vince.(VNCE) - 2024 Q1 - Quarterly Report
2023-06-13 12:01
UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended April 29, 2023 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-36212 VINCE HOLDING CORP. (Exact name of registrant as specified in its charter) Delaware 75-3264870 (State or other jurisdicti ...
Vince.(VNCE) - 2023 Q4 - Annual Report
2023-04-28 20:02
Part I [Business](index=4&type=section&id=Item%201.%20Business) Vince Holding Corp. is a contemporary retailer undergoing major restructuring, divesting brands and selling Vince IP - The company consists of three brands: Vince, Rebecca Taylor, and Parker, but is undergoing a major restructuring[18](index=18&type=chunk) - A significant portion of net sales comes from a single wholesale partner, **Nordstrom**, accounting for **16%** in fiscal 2022 and **20%** in fiscal 2021[19](index=19&type=chunk) - The company announced its decision to wind down the Rebecca Taylor business in September 2022 and completed the sale of its intellectual property in December 2022, with all Rebecca Taylor stores closed by January 28, 2023[30](index=30&type=chunk)[31](index=31&type=chunk) - The intellectual property for the Parker brand was sold on **February 17, 2023**[33](index=33&type=chunk) - Subsequent to the fiscal year-end, on **April 21, 2023**, the company agreed to sell the Vince brand's intellectual property to a subsidiary of Authentic Brands Group, LLC[22](index=22&type=chunk)[63](index=63&type=chunk)[64](index=64&type=chunk) Net Sales by Business Segment (Fiscal Years 2022 vs. 2021) | Segment | FY 2022 Net Sales (in thousands) | % of Total | FY 2021 Net Sales (in thousands) | % of Total | | :--- | :--- | :--- | :--- | :--- | | Vince Wholesale | $169,375 | 47.4% | $147,817 | 45.8% | | Vince Direct-to-consumer | $149,770 | 41.9% | $135,720 | 42.1% | | Rebecca Taylor and Parker | $38,297 | 10.7% | $39,146 | 12.1% | | **Total net sales** | **$357,442** | **100.0%** | **$322,683** | **100.0%** | [Risk Factors](index=9&type=section&id=Item%201A.%20Risk%20Factors) The company faces critical risks including potential failure of the IP sale, liquidity issues, internal control weaknesses, and foreign sourcing reliance - A primary risk is the potential failure to close the recently signed intellectual property asset sale to Authentic Brands Group, LLC, which is subject to closing conditions[69](index=69&type=chunk) - The company's ability to maintain liquidity to service debt and fund operations is a significant concern, dependent on generating sufficient cash flow and maintaining availability under its credit facilities[71](index=71&type=chunk)[72](index=72&type=chunk) - A material weakness in internal control over financial reporting, first identified in fiscal 2016, continued to exist in fiscal 2022, which could result in material misstatements in financial statements[87](index=87&type=chunk) - The company is heavily reliant on foreign sourcing, with **82%** of its products produced in China in fiscal 2022, exposing it to political, economic, and trade-related risks[117](index=117&type=chunk)[118](index=118&type=chunk) - The company is a "controlled company," with affiliates of Sun Capital owning approximately **69%** of outstanding common stock as of **March 31, 2023**, giving them significant influence over corporate matters[124](index=124&type=chunk) [Unresolved Staff Comments](index=20&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) The company reports no unresolved staff comments from the SEC - There are no unresolved staff comments[127](index=127&type=chunk) [Properties](index=21&type=section&id=Item%202.%20Properties) The company leases all corporate facilities, showrooms, and 67 Vince retail stores, including 50 full-price and 17 outlet locations - The company leases all of its significant corporate facilities and showrooms, with locations in New York, NY; Los Angeles, CA; and Paris, France[129](index=129&type=chunk)[130](index=130&type=chunk) - As of **January 28, 2023**, the company operated **67** Vince retail stores, consisting of **50** full-price stores and **17** outlet stores[130](index=130&type=chunk)[131](index=131&type=chunk)[133](index=133&type=chunk) [Legal Proceedings](index=23&type=section&id=Item%203.%20Legal%20Proceedings) Ongoing legal proceedings are not expected to materially impact the company's financial position or results - The company does not expect any ongoing legal proceedings to have a material adverse impact on its financial position, results of operations, or cash flows[134](index=134&type=chunk) [Mine Safety Disclosures](index=23&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - Not applicable[135](index=135&type=chunk) Part II [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=23&type=section&id=Item%205.%20Market%20for%20Registrant's%20Common%20Equity,%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) Common stock trades on NYSE (VNCE); no cash dividends paid or anticipated due, partly due to debt restrictions - Common stock is traded on the NYSE under the symbol **"VNCE"**[137](index=137&type=chunk) - The company has never paid cash dividends and does not plan to in the foreseeable future, partly due to restrictions in its debt agreements[139](index=139&type=chunk) - No shares of common stock were repurchased in the three months ended **January 28, 2023**[141](index=141&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=24&type=section&id=Item%207.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) [Results of Operations](index=25&type=section&id=Results%20of%20Operations) FY2022 net sales increased 10.8% to **$357.4 million**, but gross margin declined, resulting in a **$25.4 million** operating loss and **$38.3 million** net loss Consolidated Statement of Operations Summary (Fiscal Year 2022 vs. 2021) | Metric (in thousands) | FY 2022 | FY 2021 | Change ($) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Net Sales | $357,442 | $322,683 | $34,759 | 10.8% | | Gross Profit | $137,970 | $146,570 | ($8,600) | (5.9)% | | (Loss) Income from Operations | ($25,422) | $483 | ($25,905) | * | | Net Loss | ($38,346) | ($12,704) | ($25,642) | 201.8% | | Diluted Loss per Share | ($3.14) | ($1.07) | - | - | - Gross margin rate decreased to **38.6%** from **45.4%** in the prior year, with key negative impacts from increased promotional activity (**-440 bps**), higher inventory reserves (**-320 bps**), and Rebecca Taylor wind-down costs (**-270 bps**)[156](index=156&type=chunk)[158](index=158&type=chunk) Income (Loss) from Operations by Segment (Fiscal Year 2022 vs. 2021) | Segment (in thousands) | FY 2022 | FY 2021 | | :--- | :--- | :--- | | Vince Wholesale | $43,592 | $45,839 | | Vince Direct-to-consumer | $2,397 | $10,873 | | Rebecca Taylor and Parker | ($21,255) | ($9,213) | | Unallocated corporate | ($50,156) | ($47,016) | | **Total (Loss) Income from Operations** | **($25,422)** | **$483** | - The Rebecca Taylor and Parker segment's loss from operations increased by **130.7%** to **$21.3 million**, primarily driven by costs associated with the wind-down of the Rebecca Taylor business and impairment charges[171](index=171&type=chunk) [Liquidity and Capital Resources](index=29&type=section&id=Liquidity%20and%20Capital%20Resources) Liquidity relies on cash and credit facilities; FY2022 saw **$19.3 million** net cash used in operations, with the pending IP sale expected to strengthen liquidity - The company expects the Authentic Transaction to strengthen its liquidity position by using the proceeds to prepay its Term Loan Credit Facility in full and repay a portion of its Revolving Credit Facility[174](index=174&type=chunk) Summary of Cash Flows (Fiscal Year 2022 vs. 2021) | Cash Flow Activity (in thousands) | FY 2022 | FY 2021 | | :--- | :--- | :--- | | Net cash used in operating activities | ($19,261) | ($221) | | Net cash provided by (used in) investing activities | $1,468 | ($5,055) | | Net cash provided by financing activities | $17,811 | $2,514 | - As of **January 28, 2023**, there were **$58.5 million** of borrowings outstanding under the 2018 Revolving Credit Facility, with **$24.0 million** available[208](index=208&type=chunk) - The Third Lien Credit Facility is with SK Financial Services, LLC, an affiliate of Sun Capital, the company's majority stockholder[210](index=210&type=chunk)[211](index=211&type=chunk) [Critical Accounting Estimates](index=36&type=section&id=Critical%20Accounting%20Estimates) Critical accounting estimates include revenue reserves, inventory valuation, goodwill/intangible asset impairment, and deferred tax asset valuation allowances - Estimates for revenue reserves are significant; a hypothetical **1%** change would have impacted net sales by **$81 thousand** as of **January 28, 2023**[225](index=225&type=chunk)[227](index=227&type=chunk) - Inventory valuation is highly subjective; a hypothetical **1%** change in the inventory obsolescence reserve would have changed inventory value by **$65 thousand** as of **January 28, 2023**[228](index=228&type=chunk)[230](index=230&type=chunk) - In Q2 2022, a triggering event led to a quantitative impairment test, resulting in a **$1.7 million** impairment charge for the Rebecca Taylor tradename[235](index=235&type=chunk) - The company maintained a full valuation allowance on all definite-lived deferred tax assets in fiscal 2022, as it does not believe it is more likely than not that they will be recognized[251](index=251&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=40&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is not required to provide this information as it qualifies as a "smaller reporting company" - The company is not required to provide this information as it qualifies as a "smaller reporting company"[254](index=254&type=chunk) [Financial Statements and Supplementary Data](index=40&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section refers to the index of audited consolidated financial statements, located on page F-1 - This item directs the reader to the consolidated financial statements included at the end of the Annual Report[255](index=255&type=chunk) [Changes in and Disagreements With Accountants on Accounting and Financial Disclosure](index=40&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20With%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) The company reports no changes in or disagreements with its accountants on accounting and financial disclosure - None reported[256](index=256&type=chunk) [Controls and Procedures](index=40&type=section&id=Item%209A.%20Controls%20and%20Procedures) Disclosure controls were ineffective as of January 28, 2023, due to a material weakness in IT general controls, with remediation ongoing - The Chief Executive Officer and Chief Financial Officer concluded that disclosure controls and procedures were not effective as of **January 28, 2023**[259](index=259&type=chunk) - A material weakness in internal control over financial reporting related to IT general controls (inadequate user access controls and segregation of duties) continues to exist[265](index=265&type=chunk)[266](index=266&type=chunk) - Management is implementing a remediation plan, which includes routine reviews of user system access and ensuring timely removal of access upon termination[270](index=270&type=chunk) [Other Information](index=42&type=section&id=Item%209B.%20Other%20Information) The company reports no other information under this item - None[274](index=274&type=chunk) Part III [Directors, Executive Officers and Corporate Governance](index=42&type=section&id=Item%2010.%20Directors,%20Executive%20Officers%20and%20Corporate%20Governance) Information for this item is incorporated by reference from the company's 2023 definitive proxy statement - Information is incorporated by reference from the company's definitive proxy statement[277](index=277&type=chunk) [Executive Compensation](index=42&type=section&id=Item%2011.%20Executive%20Compensation) Information for this item is incorporated by reference from the company's 2023 definitive proxy statement - Information is incorporated by reference from the company's definitive proxy statement[278](index=278&type=chunk) [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=42&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Information for this item is incorporated by reference from the company's 2023 definitive proxy statement - Information is incorporated by reference from the company's definitive proxy statement[279](index=279&type=chunk) [Certain Relationships and Related Transactions, and Director Independence](index=42&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions,%20and%20Director%20Independence) Information for this item is incorporated by reference from the company's 2023 definitive proxy statement - Information is incorporated by reference from the company's definitive proxy statement[280](index=280&type=chunk) [Principal Accountant Fees and Services](index=42&type=section&id=Item%2014.%20Principal%20Accountant%20Fees%20and%20Services) Information for this item is incorporated by reference from the company's 2023 definitive proxy statement - Information is incorporated by reference from the company's definitive proxy statement[281](index=281&type=chunk) Part IV [Exhibits and Financial Statement Schedules](index=42&type=section&id=Item%2015.%20Exhibits%20and%20Financial%20Statement%20Schedules) This section lists the financial statements, schedules, and all exhibits filed as part of the Annual Report on Form 10-K - This item provides an index to the audited consolidated financial statements and a list of all exhibits filed with the report[284](index=284&type=chunk) [Form 10-K Summary](index=46&type=section&id=Item%2016.%20Form%2010-K%20Summary) The company reports no Form 10-K summary - None[289](index=289&type=chunk)
Vince.(VNCE) - 2023 Q3 - Quarterly Report
2022-12-13 14:02
UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended October 29, 2022 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-36212 VINCE HOLDING CORP. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporatio ...
Vince.(VNCE) - 2023 Q2 - Quarterly Report
2022-09-12 21:01
UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended July 30, 2022 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-36212 VINCE HOLDING CORP. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation o ...