[Executive Summary and Key Highlights](index=1&type=section&id=Executive%20Summary%20and%20Key%20Highlights) Xcel Brands reported stable Q2 2025 revenue despite a year-over-year decline, strengthened its balance sheet, and projects break-even Adjusted EBITDA by year-end - The CEO highlighted the stability of current revenue streams and a strengthened balance sheet from recent financing, which will support the launch of new creator/influencer brands starting later in the year and in 2026[3](index=3&type=chunk) - The company's brand portfolio social media following increased from **5 million to 43 million** in the second quarter, driven by new influencer brand announcements[8](index=8&type=chunk) Q2 2025 Key Metrics | Metric | Value | Note | | :--- | :--- | :--- | | **Total Revenue** | $1.3 million | Essentially flat compared with Q1 2025 | | **GAAP Net Loss** | $4.0 million | Includes non-cash charges related to debt refinancing | | **YTD Adjusted EBITDA (2025)** | -$1.0 million | A 38% improvement from -$1.6 million in the first six months of 2024 | - The company projects it will approach **break-even monthly Adjusted EBITDA** by the end of 2025[8](index=8&type=chunk) [Financial Performance Analysis](index=1&type=section&id=Financial%20Performance%20Analysis) Q2 2025 financials were heavily impacted by brand divestiture, leading to a 55% revenue fall and net loss, but costs were reduced and six-month Adjusted EBITDA improved [Second Quarter 2025 Financial Results](index=1&type=section&id=Second%20Quarter%202025%20Financial%20Results) Q2 2025 revenue decreased 55% to $1.3 million due to brand divestiture, resulting in a $4.0 million net loss, though Adjusted EBITDA improved 45% excluding the divested brand Q2 2025 vs Q2 2024 Performance | Metric | Q2 2025 | Q2 2024 | Change | | :--- | :--- | :--- | :--- | | **Total Revenue** | $1.3M | $2.9M | -55% | | **Net (Loss) Income** | ($4.0M) | $0.2M | N/A | | **(Loss) Earnings Per Share** | ($1.66) | $0.08 | N/A | | **Adjusted EBITDA** | ($0.3M) | ($0.04M) | -650% | - The year-over-year revenue decrease was driven by a decline in net licensing revenue following the June 30, 2024 divestiture of the Lori Goldstein brand[4](index=4&type=chunk) - Direct operating costs and expenses decreased by **39% to $1.9 million**, reflecting cost reductions and the impact of an employee retention tax credit, with a target annual run rate of less than **$10 million** for these expenses[5](index=5&type=chunk) - The company recognized a **$1.9 million loss** on the early extinguishment of debt related to refinancing its term loan[6](index=6&type=chunk) [Six Month 2025 Financial Results](index=2&type=section&id=Six%20Month%202025%20Financial%20Results) H1 2025 revenue decreased 48% to $2.7 million due to brand divestiture, resulting in a $6.8 million net loss, while Adjusted EBITDA improved 38% to negative $1.0 million Six Months 2025 vs 2024 Performance | Metric | H1 2025 | H1 2024 | Change | | :--- | :--- | :--- | :--- | | **Total Revenue** | $2.7M | $5.2M | -48% | | **Net Loss** | ($6.8M) | ($6.1M) | +11.5% | | **Loss Per Share** | ($2.84) | ($2.78) | +2.2% | | **Adjusted EBITDA** | ($1.0M) | ($1.6M) | +38% | - Direct operating costs and expenses for the six-month period decreased by **41% to $4.2 million**, primarily due to management's cost reduction and restructuring initiatives[10](index=10&type=chunk) - A **$1.9 million loss** on early extinguishment of debt was recognized during the six-month period[11](index=11&type=chunk) [Financial Position and Liquidity](index=2&type=section&id=Financial%20Position%20and%20Liquidity) As of June 30, 2025, Xcel Brands reported $22.5 million in equity, $1.0 million cash, and $11.8 million debt, with liquidity enhanced by a $2.6 million post-quarter equity offering [Balance Sheet](index=2&type=section&id=Balance%20Sheet) As of June 30, 2025, the balance sheet showed $22.5 million in equity, $1.0 million cash, $0.7 million working capital, and $11.8 million debt, bolstered by $2.6 million August equity offerings Key Balance Sheet Items (June 30, 2025) | Item | Value (approx.) | | :--- | :--- | | Stockholders' Equity | $22.5 million | | Unrestricted Cash & Equivalents | $1.0 million | | Working Capital | $0.7 million | | Long-Term Debt | $11.8 million | - In August 2025, the company closed public and private placement equity transactions for combined gross proceeds of approximately **$2.6 million**, which increased liquidity[15](index=15&type=chunk) [Cash Flow](index=9&type=section&id=Cash%20Flow) H1 2025 net cash used in operations increased to $3.8 million, while financing activities provided a $4.5 million net cash inflow, resulting in a $0.7 million net increase in cash Six-Month Cash Flow Summary (in thousands) | Activity | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Net Cash from Operating Activities | $(3,798) | $(2,883) | | Net Cash from Investing Activities | $(10) | $(104) | | Net Cash from Financing Activities | $4,524 | $1,652 | | **Net Change in Cash** | **$716** | **$(1,335)** | [Company Overview and Forward-Looking Statements](index=2&type=section&id=Company%20Overview%20and%20Forward-Looking%20Statements) Xcel Brands is a media and consumer products company specializing in social commerce and livestream shopping for its lifestyle brands, with future results subject to risks and uncertainties - Xcel Brands engages in designing, licensing, marketing, and selling consumer products through livestreaming, social commerce, and traditional retail channels[17](index=17&type=chunk) - The company's brand portfolio includes owned brands like Halston and Judith Ripka, co-branded collaborations, and licensed brands like Isaac Mizrahi, reaching over **43 million social media followers**[17](index=17&type=chunk)[19](index=19&type=chunk) - The press release includes forward-looking statements regarding future financial performance and strategic plans, which are subject to various risks and uncertainties as detailed in the company's SEC filings[20](index=20&type=chunk) [Appendix](index=4&type=section&id=Appendix) The appendix provides unaudited consolidated financial statements for Q2 and H1 2025, including key financial statements and detailed reconciliations of non-GAAP measures to GAAP equivalents [Non-GAAP Financial Measures](index=4&type=section&id=Non-GAAP%20Financial%20Measures) This section defines and reconciles non-GAAP measures like Adjusted EBITDA to GAAP equivalents, used by management for consistent performance comparison by excluding non-core items - The company uses non-GAAP measures like Adjusted EBITDA and non-GAAP net loss to provide supplemental information to investors by adjusting for costs and events not representative of core business operations[24](index=24&type=chunk) Reconciliation of Net Loss to Adjusted EBITDA (Q2) | (in thousands) | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | **Net (loss) income attributable to Xcel** | **$(3,988)** | **$195** | | Adjustments (Interest, Taxes, D&A, etc.) | $3,689 | $45 | | **Adjusted EBITDA** | **$(299)** | **$(40)** | Reconciliation of Net Loss to Non-GAAP Net Loss (Q2) | (in thousands) | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | **Net (loss) income attributable to Xcel** | **$(3,988)** | **$195** | | Adjustments (Amortization, stock comp, etc.) | $3,092 | $(104) | | **Non-GAAP net loss** | **$(896)** | **$(299)** | [Consolidated Financial Statements](index=6&type=section&id=Consolidated%20Financial%20Statements) This section presents detailed unaudited financial tables, including Q2 2025 Statement of Operations with a $4.0 million net loss, Balance Sheet with $47.2 million assets, and Cash Flows showing $3.8 million net cash used in operations Consolidated Statement of Operations Highlights (Q2) | (in thousands) | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | **Net revenue** | $1,321 | $2,954 | | **Gross profit** | $1,321 | $2,916 | | **Operating loss (income)** | $(1,654) | $307 | | **Net (loss) income** | $(3,991) | $161 | Consolidated Balance Sheet Highlights | (in thousands) | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | **Total Assets** | $47,189 | $53,756 | | **Total Liabilities** | $24,693 | $25,358 | | **Total Stockholders' Equity** | $22,496 | $28,398 | Consolidated Statement of Cash Flows Highlights (Six Months) | (in thousands) | H1 2025 | H1 2024 | | :--- | :--- | :--- | | **Net cash used in operating activities** | $(3,798) | $(2,883) | | **Net cash provided by financing activities** | $4,524 | $1,652 | | **Net increase (decrease) in cash** | $716 | $(1,335) |

[PART I - FINANCIAL INFORMATION](index=3&type=section&id=PART%20I%20-%20FINANCIAL%20INFORMATION) This part presents the company's unaudited interim financial statements, management's analysis, and disclosures on market risk and internal controls [Item 1. Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) Contains the unaudited condensed consolidated financial statements and accompanying notes for the period ended June 30, 2025 [Unaudited Condensed Consolidated Financial Statements](index=4&type=section&id=Unaudited%20Condensed%20Consolidated%20Financial%20Statements) The company's financial position weakened with decreased assets and revenue, resulting in a significant net loss for Q2 2025 Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total Current Assets** | $3,209 | $4,043 | | **Total Assets** | $47,189 | $53,756 | | **Total Current Liabilities** | $5,466 | $10,394 | | **Total Liabilities** | $24,693 | $25,358 | | **Total Stockholders' Equity** | $22,496 | $28,398 | Condensed Consolidated Statements of Operations Highlights (in thousands) | Metric | Q2 2025 | Q2 2024 | H1 2025 | H1 2024 | | :--- | :--- | :--- | :--- | :--- | | **Net Revenue** | $1,321 | $2,954 | $2,653 | $5,138 | | **Operating (Loss) Income** | $(1,654) | $307 | $(3,841) | $(5,888) | | **Net (Loss) Income** | $(3,991) | $161 | $(6,788) | $(6,184) | | **Basic (Loss) EPS** | $(1.66) | $0.08 | $(2.84) | $(2.78) | Condensed Consolidated Statements of Cash Flows Highlights (in thousands) | Cash Flow Activity | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | **Net cash used in operating activities** | $(3,798) | $(2,883) | | **Net cash used in investing activities** | $(10) | $(104) | | **Net cash provided by financing activities** | $4,524 | $1,652 | [Notes to Unaudited Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) Details significant events including a reverse stock split, debt refinancing, a reduction in an equity investment, and a going concern warning - The company's brand portfolio includes wholly-owned brands like Halston and C Wonder, as well as noncontrolling interests in brands like Isaac Mizrahi[23](index=23&type=chunk) - A **1-for-10 reverse stock split** was effected on March 24, 2025, with all share and per-share amounts retroactively adjusted[26](index=26&type=chunk)[79](index=79&type=chunk)[80](index=80&type=chunk) - Management has determined there is **substantial doubt** about the Company's ability to continue as a going concern due to recurring losses and a history of cash used in operations[33](index=33&type=chunk)[35](index=35&type=chunk) - On April 15, 2025, Xcel's interest in IM Topco was **reduced from 30% to 17.5%**, and the company discontinued using the equity method of accounting for this investment[39](index=39&type=chunk)[40](index=40&type=chunk) - In April 2025, the company refinanced its term loan debt, resulting in total outstanding term loans of **$13.62 million** and a recognized loss on early extinguishment of debt of approximately **$1.85 million**[63](index=63&type=chunk)[78](index=78&type=chunk) - Subsequent to the quarter end, on August 4, 2025, the company raised approximately **$2.0 million** in net proceeds from a public offering and private placement of common stock[137](index=137&type=chunk)[139](index=139&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=39&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management analyzes the significant revenue decrease, cost-cutting measures, and the substantial doubt regarding the company's going concern status Q2 Operating Results Comparison (in millions) | Metric | Q2 2025 | Q2 2024 | Change | | :--- | :--- | :--- | :--- | | **Net Revenue** | $1.32 | $2.95 | $(1.63) | | **Direct Operating Costs** | $1.90 | $3.12 | $(1.22) | | **Net (Loss) Income** | $(3.99) | $0.20 | $(4.19) | H1 Operating Results Comparison (in millions) | Metric | H1 2025 | H1 2024 | Change | | :--- | :--- | :--- | :--- | | **Net Revenue** | $2.65 | $5.14 | $(2.49) | | **Direct Operating Costs** | $4.18 | $7.08 | $(2.90) | | **Net Loss** | $(6.79) | $(6.10) | $(0.69) | - The company has implemented cost-cutting measures, reducing direct operating expenses to an expected run rate of less than **$10 million** per annum, a saving of over **$22 million** annually compared to 2022[154](index=154&type=chunk)[207](index=207&type=chunk) - A **'Going Concern' warning** was issued, stating that recurring losses and cash outflows raise substantial doubt about the company's ability to meet its financial obligations within the next twelve months[188](index=188&type=chunk)[190](index=190&type=chunk) - The company is focused on a 'licensing plus' business model and plans to launch **four new brands** over the next 12 to 15 months, including collaborations with Cesar Millan and Coco Rocha[204](index=204&type=chunk)[205](index=205&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=59&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) Disclosure is not required as the company qualifies as a smaller reporting company - Disclosure is not required for smaller reporting companies[215](index=215&type=chunk) [Item 4. Controls and Procedures](index=61&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were ineffective due to a material weakness in financial reporting - Disclosure controls and procedures were deemed **ineffective** as of June 30, 2025[216](index=216&type=chunk) - A **material weakness** was identified related to the untimely receipt of financial information from a third party for an unconsolidated affiliate, causing delays in SEC filings[217](index=217&type=chunk) [PART II - OTHER INFORMATION](index=62&type=section&id=PART%20II%20-%20OTHER%20INFORMATION) Covers legal proceedings, risk factors, and other required disclosures for the reporting period [Item 1. Legal Proceedings](index=62&type=section&id=Item%201.%20Legal%20Proceedings) Current legal proceedings are not expected to have a material adverse effect on the company's financial condition - Management does not expect current legal proceedings to have a **material adverse effect** on the company's business or financial condition[221](index=221&type=chunk) [Item 1A. Risk Factors](index=62&type=section&id=Item%201A.%20Risk%20Factors) No material changes to risk factors have been reported since the last Annual Report on Form 10-K - The company refers to the risk factors disclosed in its most recent Form 10-K and notes **no material changes**[222](index=222&type=chunk) [Other Items (Items 2, 3, 4, 5, 6)](index=62&type=section&id=Other%20Items) Confirms no reportable events under various items and lists the exhibits filed with the report - No unregistered sales of equity securities, defaults upon senior securities, or other material information were reported under Items 2, 3, 4, and 5[223](index=223&type=chunk)[224](index=224&type=chunk)[225](index=225&type=chunk)[226](index=226&type=chunk) - Item 6 lists the exhibits filed with the Form 10-Q, including CEO/CFO certifications and XBRL data files[227](index=227&type=chunk)

XCel Brands (XELB) came out with a quarterly loss of $0.37 per share versus the Zacks Consensus Estimate of a loss of $0.5. This compares to a loss of $0.1 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +26.00%. A quarter ago, it was expected that this brand management company would post a loss of $1.12 per share when it actually produced a loss of $0.58, delivering a surprise of +48.21%.Over the last four quarters, the compa ...

Financial Data and Key Metrics Changes - Total revenues for Q2 2025 were $1.3 million, down from $3 million in Q2 2024, and year-to-date revenues were $2.7 million compared to $5.1 million in the prior year [10][11] - Direct operating costs decreased by 39% to $1.9 million in Q2 2025 from $3.1 million in Q2 2024, and year-to-date direct operating costs were $4.2 million, down 48% from $7.1 million [10][11] - The company reported a net loss of approximately $4 million or $1.66 per share for Q2 2025, compared to a net income of $200,000 or $0.08 per share in Q2 2024 [13][14] - Adjusted EBITDA for Q2 2025 was negative $300,000, showing a year-over-year improvement of 45% when excluding the contribution from the Lori Goldstein brand [15] Business Line Data and Key Metrics Changes - The company launched new creator influencer brands, including those with Cesar Millan, Gemma Stafford, and Jenny Martinez, which are expected to diversify the brand portfolio and reduce tariff volatility [7][8] - The social media reach across the brand portfolio grew from 5 million followers at the start of the year to 43 million [8] Market Data and Key Metrics Changes - The company is approaching Q3 and Q4 with caution due to tariff impacts on QVC and HSN, particularly affecting the Halston brand [9] - Judith Rip's brand at JTV saw an increase of over 65% from Q1 [9] Company Strategy and Development Direction - The company aims to build a brand portfolio to 100 million social media followers and is focusing on launching new influencer brands [7] - A strategic alliance with United Trademark Group is expected to enhance the company's platform and accelerate the formation of additional creator influencer brands [6][7] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the upcoming launches and indicated that they are on target for revenue forecasts [22] - The company is monitoring the impact of changes in wholesale licensees on product delivery and sales [23] Other Important Information - The company closed a public equity offering and private placement for gross proceeds of approximately $2.6 million, enhancing liquidity [6][17] - As of June 30, 2025, the company had stockholders' equity of approximately $22 million and unrestricted cash of about $1 million [16] Q&A Session Summary Question: Impact of Lori Goldstein divestiture on revenue - The divestiture contributed approximately $1.5 million to revenue and over $500,000 to EBITDA in the prior year [19][20] Question: Revenue and profitability outlook for Q3 and Q4 - Management indicated that they are on target for revenue forecasts and expect sequential improvement in Q3 [22][23] Question: Update on liquidity post-stock offering - The company raised an additional $2.2 million in cash and is stable in terms of liquidity [25][26] Question: Update on the Ormy initiative - The Ormy team is improving user experience and growing the user base, with plans to develop products for influencers [27][28] Question: Updates on Halston brand - Recent meetings with Halston's new president indicated substantial investments and excitement about future plans [32][34] Question: New brands coming in earlier than expected - Brands mentioned include Cesar Millan, Gemma Stafford, and Jenny Martinez, with a focus on launching food products first [35][36] Question: Attractive product categories for influencer partnerships - The company is focusing on influencers in the fashion sector and is excited about a new influencer for the LongeBurger brand [37]

Core Viewpoint - Xcel Brands, Inc. reported a significant decline in revenue for the second quarter of 2025, primarily due to the divestiture of the Lori Goldstein brand, while the company is focusing on strengthening its balance sheet and launching new creator/influencer brands in the near future [2][3][5]. Financial Results - Total revenue for Q2 2025 was $1.3 million, a decrease of approximately $1.6 million (-55%) from Q2 2024, attributed to the decline in net licensing revenue following the divestiture of the Lori Goldstein brand [3][7]. - Direct operating costs and expenses decreased by approximately $1.2 million (-39%) year-over-year to $1.9 million, reflecting cost reductions and the impact of the employee retention tax credit [4][8]. - The net loss attributable to Xcel Brands stockholders for Q2 2025 was approximately $4.0 million, or $(1.66) per share, compared to a net income of $0.2 million, or $0.08 per share, in the prior year [5][11]. - Adjusted EBITDA for Q2 2025 was negative $0.3 million, compared to negative $0.04 million in the prior year, indicating a 45% year-over-year improvement when adjusting for the prior year’s contribution from the Lori Goldstein brand [6][12]. Year-to-Date Performance - For the six-month period ended June 30, 2025, total revenue was $2.7 million, a decrease of approximately $2.5 million (-48%) from the same period in 2024, again driven by the decline in net licensing revenue [7][11]. - The net loss attributable to Xcel Brands stockholders for the six months was approximately $6.8 million, or $(2.84) per share, compared to a net loss of $6.1 million, or $(2.78) per share, for the same period in 2024 [11][12]. - Year-to-date Adjusted EBITDA for 2025 was negative $1.0 million, an improvement from negative $1.6 million for the first six months of 2024, representing a 38% improvement [9][12]. Balance Sheet and Financing - As of June 30, 2025, the company had stockholders' equity of approximately $22.5 million, unrestricted cash and cash equivalents of approximately $1.0 million, and long-term debt of $11.8 million [13][29]. - In August 2025, Xcel closed a public equity offering and a concurrent private placement for combined gross proceeds of approximately $2.6 million, enhancing the company's liquidity [14]. Social Media and Brand Development - The company's social media following increased from 5 million to 43 million in Q2 2025, reflecting the impact of new influencer brand announcements [9]. - Xcel Brands is focused on developing new creator/influencer brands, with planned launches starting later this year and into 2026 [2].

Seth Burroughs Xcel Brands, Inc. sburroughs@xcelbrands.com About Xcel Brands Xcel Brands, Inc. (NASDAQ: XELB) is a media and consumer products company engaged in the design, licensing, marketing, live streaming, and social commerce sales of branded apparel, footwear, accessories, fine jewelry, home goods and other consumer products, and the acquisition of dynamic consumer lifestyle brands. Xcel was founded in 2011 with a vision to reimagine shopping, entertainment, and social media as social commerce. Xcel ...

Core Insights - Xcel Brands, Inc. has announced a strategic partnership with TSC Product Lab to launch a new kitchenware brand called GemmaMade by Gemma Stafford, aimed at everyday bakers and home cooks [1][2][3] Company Overview - Xcel Brands, Inc. is a media and consumer products company that designs, licenses, markets, and sells a variety of branded consumer products, including apparel, home goods, and accessories [4] - Founded in 2011, Xcel aims to innovate shopping and social media through social commerce, with a portfolio that includes brands like Halston and Judith Ripka [4] - The company has generated over $5 billion in retail sales through livestreaming and interactive television, reaching over 43 million social media followers [4] Partnership Details - The collaboration combines Xcel's brand-building capabilities with TSC Product Lab's product development expertise, focusing on creating kitchen products that reflect Gemma Stafford's cooking philosophy [2][3] - The product line will feature a variety of kitchenware, including bakeware, kitchen tools, and food storage solutions, designed for ease and reliability [2] Brand and Market Position - Gemma Stafford, a professionally trained chef and creator of the digital brand Bigger Bolder Baking, has a significant following and is known for her approachable baking techniques [3][7] - The new brand, GemmaMade, aims to provide tools that resonate with home bakers, emphasizing joy and reliability in cooking [3][6] TSC Product Lab Overview - TSC Product Lab specializes in innovative product development and has partnered with notable brands like Martha Stewart and Sodastream [5][6] - Led by industry veteran Rick Lapine, TSC has a strong team with extensive experience in sourcing and production, enhancing its capability to execute projects efficiently [7]

Core Insights - Xcel Brands, Inc. has announced a strategic licensing partnership with TSC Product Lab to launch a new food brand, Mesa Mia by Jenny Martinez, inspired by Latin cooking traditions [1][2][3] Company Overview - Xcel Brands, Inc. is a media and consumer products company engaged in various sectors including design, licensing, marketing, and social commerce sales of branded products [6] - The company was founded in 2011 and has generated over $5 billion in retail sales through livestreaming and digital channels [6] - Xcel's brand portfolio includes well-known names such as Halston and Judith Ripka, and it has a significant social media presence with over 43 million followers [6] Product Launch Details - Mesa Mia by Jenny Martinez will feature a curated line of food products including chips, salsas, proteins, meals, and drink mixes aimed at making Latin cooking accessible [2][5] - The collaboration combines Xcel's brand development expertise with TSC Product Lab's product innovation capabilities [2] Brand and Creator Background - Jenny Martinez is a Latina home cook and social media influencer known for sharing authentic Mexican recipes, which resonate with a large audience [4][9] - Her first cookbook, "My Mexican Mesa, Y Listo!" debuted in Spring 2024, featuring 100 family-style recipes [9] - Jenny has also launched a line of cookware and dinnerware at over 600 department stores and a spice line available in grocery stores [9] Strategic Vision - The partnership aims to inspire families across the country by bringing the joy of Latin cooking into their homes [3][5] - The initiative reflects Xcel Brands' commitment to developing creator-led businesses that align with contemporary cooking and celebration practices [5]

Core Viewpoint - Xcel Brands announced a public offering of 2,181,818 shares at $1.10 per share and a concurrent private placement of 145,147 shares at $1.36 per share, with expected gross proceeds of approximately $2.6 million [1][2]. Group 1: Offering Details - The public offering consists of 2,181,818 shares priced at $1.10 each, while the private placement involves 145,147 shares sold to insiders at $1.36, matching the closing price on July 31, 2025 [1]. - The closing of the offering is anticipated on or about August 4, 2025, pending customary closing conditions [1]. Group 2: Financial Proceeds - The combined gross proceeds from both the public offering and private placement are expected to be around $2.6 million before deducting fees and expenses [2]. - The net proceeds will be utilized for brand development, working capital, and other general corporate purposes, including settling outstanding payables [2]. Group 3: Company Overview - Xcel Brands is a media and consumer products company focused on designing, licensing, and marketing branded consumer products, including apparel and home goods [5]. - The company has generated over $5 billion in retail sales through live streaming and digital channels, with a significant social media presence reaching over 43 million followers [5]. - Xcel Brands operates with a strategy that integrates interactive television, digital live-stream shopping, and social commerce to enhance consumer engagement [5].

Company Overview - Xcel Brands (NASDAQ: XELB) is a media and consumer products company focused on building socially driven, live-commerce-focused brands [1][5] - The company engages in design, licensing, marketing, live streaming, and social commerce sales of various consumer products, including apparel, footwear, and home goods [5] - Xcel has generated over $5 billion in retail sales through livestreaming and interactive television, with a brand portfolio reaching over 43 million social media followers [5] Strategic Partnership - Xcel Brands has announced a strategic licensing partnership with TSC Product Lab to launch new products under the Trust. Respect. Love by Cesar Millan brand [1][4] - This collaboration aims to combine TSC Product Lab's product development capabilities with Xcel's expertise in omnichannel brand building and social commerce [1][4] Product Development - The new product line will focus on elevated pet products, including smart electronic devices and small appliances, designed with pet wellbeing and human-animal harmony in mind [2][3] - The products will embody Cesar Millan's philosophy of Trust. Respect. Love, aiming to strengthen the bond between pets and their owners [3][4] Market Positioning - The partnership is positioned to address the evolving pet space, emphasizing education, design, and emotional connection in pet ownership [4] - The brand will be available through select retailers, e-commerce platforms, and live shopping channels, reinforcing Xcel's commitment to innovative social shopping [4]