Company Overview - Xcel Brands (NASDAQ: XELB) is a media and consumer products company focused on building influencer-driven brands through social commerce and livestreaming [2][6] - The company has generated over $5 billion in retail sales via livestreaming and interactive television, with a social media presence of over 35 million followers [6] Partnership Announcement - Xcel Brands has announced a partnership with Gemma Stafford, an internationally renowned baker and chef, to launch a new bakeware, food, and home brand [2][5] - This collaboration aims to provide professional-quality tools and delicious foods to home bakers while maintaining design quality and affordability [3][5] Product Line Development - This marks Gemma Stafford's first venture into developing her own product line, which will include bakeware, cookware, kitchen tools, and home essentials [3][4] - The product line is designed to blend functionality with timeless style, inspired by Stafford's Irish heritage and creativity [3][4] Market Potential - The home baking and entertaining market presents strong potential for a brand focused on quality, accessibility, and expertise [5] - The partnership aims to establish itself in the growing culinary market by addressing the needs of home cooks and entertainers [5] Launch Timeline - The new brand is set to launch in Spring 2026, with availability through select retailers, e-commerce platforms, and live shopping channels [5][6]

Core Insights - Xcel Brands is launching a new pet brand, "Trust-Respect-Love by Cesar Millan," in partnership with Cesar Millan, aimed at redefining the pet industry through high-quality, purpose-driven products [1][6] - The brand will focus on enhancing the bond between pets and their owners, emphasizing the core values of trust, respect, and love [2][4] - The collaboration combines Cesar Millan's expertise in canine psychology with Xcel Brands' strengths in brand building and social commerce, aiming to deliver innovative and educational products to pet owners globally [3][4] Company Overview - Xcel Brands, Inc. is a media and consumer products company engaged in designing, licensing, marketing, and selling various consumer products, including apparel and home goods [7] - The company has generated over $5 billion in retail sales through livestreaming and digital channels, with a social media presence of over 27 million followers [7] - Xcel Brands aims to pioneer modern consumer product sales strategies, utilizing interactive television, digital live-stream shopping, and e-commerce [7] Industry Context - The new brand will serve as an educational platform, providing expert guidance alongside premium pet products, strategically positioned to set new trends in the expanding pet industry [6] - The brand will be showcased at the Global Pet Expo, a key event in the pet industry, indicating its commitment to engaging with the pet owner community [6]

Core Viewpoint - Xcel Brands, Inc. will implement a 1-for-10 reverse stock split effective March 25, 2025, to comply with Nasdaq's minimum bid price requirement [1][7]. Company Actions - The reverse stock split will combine every ten shares of common stock into one share, maintaining the ownership percentage of stockholders, except for fractional shares [3][6]. - Stockholders entitled to fractional shares will receive a cash payment instead of fractional shares [3]. - The reverse stock split was approved by stockholders at a special meeting on March 12, 2025, allowing the Board to determine the split ratio [5]. Stock Information - Post-split, Xcel Brands' common stock will continue to trade on Nasdaq under the symbol "XELB" with a new CUSIP number [2]. - The number of shares underlying outstanding stock options and warrants will be proportionately adjusted along with their exercise prices [4]. Company Overview - Xcel Brands is a media and consumer products company specializing in livestream shopping and social commerce, with a portfolio that includes brands like Halston and Judith Ripka [10][11]. - The company has generated over $5 billion in retail sales through livestreaming and interactive television [11].

Financial Data and Key Metrics Changes - Total revenue for Q3 2024 was approximately $1.9 million, a decrease of about $0.7 million from Q3 2023 [21] - Non-GAAP earnings improved by approximately 56% from the previous year, with adjusted EBITDA improving by approximately 26% from Q3 2023 [11] - The net loss for Q3 2024 was approximately $9.2 million, compared to a net loss of $5.1 million in the prior year quarter [27] Business Line Data and Key Metrics Changes - The C. Wonder brand saw a 60% increase in retail sales over the previous year, despite disruptions from hurricanes [12] - Judith Ripka business royalties increased significantly, achieving 98% growth from Q2 2024 and almost 500% year-over-year growth [15] - The company recognized approximately $0.4 million from the sale of remaining Longaberger brand inventory, with no inventory left on books [23] Market Data and Key Metrics Changes - The company expects retail sales volume to continue strong growth into 2025, particularly on HSN and with other retailers [13] - The impact of hurricanes on HSN business was estimated at about $450,000 to $500,000 [48] Company Strategy and Development Direction - The company is transitioning to a core working capital licensing business focused on live streaming over TV and social media [11] - Plans to launch additional new categories in footwear and handbags in spring 2025 are underway [13] - The Orme platform is seen as a transformative force in video and social commerce, with a goal to democratize the influencer economy [19] Management Comments on Operating Environment and Future Outlook - Management anticipates improved EBITDA in Q4 2024 and continued improvement going forward due to a new cost structure and projected revenue growth [29] - The company remains optimistic about the performance of the Halston brand and expects to introduce new products in 2025 [39][40] Other Important Information - The company entered into a new $10 million term loan agreement, providing additional liquidity [32] - The company has reduced operating costs significantly, with potential for further reductions of $500,000 to $750,000 in Q1 2025 [66] Q&A Session Summary Question: How is Halston performing? - Management believes the Halston collection is off to a good start, with expectations for sportswear, outerwear, handbags, and footwear [37] Question: What are the prospects for 2025 with Halston? - Management remains optimistic about Halston's performance and is comfortable with the product adjustments made [39] Question: Can you explain the situation with Isaac Mizrahi? - A conservative approach was taken regarding the asset value of Isaac Mizrahi due to challenges in getting him back in studio [42] Question: Will Q4 show positive adjusted EBITDA? - While Q4 is expected to show improvement, it is uncertain if it will return to profitability [46] Question: How much revenue was impacted by the hurricanes? - The estimated impact was about $450,000 to $500,000, but management is hopeful for normal returns in Q4 [48] Question: What is the status of additional brand launches? - A new home category brand is set to launch in March 2025, with several others in the pipeline [50] Question: What is the outlook on inventory levels at retailers? - Over-inventoried retailers may impact sales, but management does not foresee a material impact on Halston at this time [60] Question: What are the expectations for Orme's brand trajectory? - Orme aims to onboard luxury aspirational brands, with a goal of maintaining higher average order values [63] Question: What additional cost reductions are planned? - Management is looking to cut an additional $500,000 to $750,000 in operating expenses without disrupting operations [66] Question: Will there be a need for another capital raise? - Future capital needs depend on transactions in the pipeline, with only one potentially requiring capital [68]

Core Insights - Xcel Brands Inc. (XELB) reported a significant decline in net sales, dropping 28% to $1.9 million from $2.6 million in the prior-year quarter, primarily due to reduced licensing revenue following the divestiture of the Lori Goldstein brand and delayed sales from canceled shows [1][12] - The company ended the quarter with cash and cash equivalents of $0.2 million, long-term debt of $3.3 million, and stockholders' equity of $35 million, indicating a stable financial position despite challenges [2] - Adjusted EBITDA loss improved to $1 million from a loss of $1.4 million in the previous year, attributed to successful business restructuring and new long-term licensing agreements [5][12] Financial Performance - Gross profit decreased by 37.6% year over year to $1.5 million, with gross margin contracting by 1280 basis points to 78.7% [14] - Total direct operating costs and expenses were reduced by 50% year over year to $2.8 million, reflecting cost management efforts [14] - The adjusted loss per share was 6 cents, better than the Zacks Consensus Estimate of a loss of 12 cents and an improvement from a loss of 15 cents in the year-ago quarter [13] Future Outlook - The company is positioned for future growth with improvements in operating performance and a strong pipeline of planned brand launches in 2025 [3] - A new term loan agreement secured in November 2024 for $10 million provided approximately $5 million in additional liquidity, enhancing working capital by about $6 million [6]

Company Performance - XCel Brands shares have lost about 60.3% since the beginning of the year, while the S&P 500 has gained 23% [1] - The company reported a quarterly loss of $0.06 per share, better than the Zacks Consensus Estimate of a loss of $0.12, and compared to a loss of $0.15 per share a year ago [5] - Revenues for the quarter ended September 2024 were $1.91 million, surpassing the Zacks Consensus Estimate by 11.49%, but down from $2.64 million year-over-year [6] Earnings Outlook - The current consensus EPS estimate for the coming quarter is -$0.07 on revenues of $2.81 million, and -$0.28 on revenues of $10.01 million for the current fiscal year [8] - The estimate revisions trend for XCel Brands is mixed, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [12] Industry Context - The Retail - Apparel and Shoes industry is currently in the top 31% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [2] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked using tools like the Zacks Rank [7][11]

Net loss of $9.2 million for the quarter inclusive of a $6.3 million non-cash charge for contingent obligation, compared with a net loss of $5.1 million for the prior year quarter.Net loss on a non-GAAP basis was $1.3 million for the quarter, representing a 56% improvement from the third quarter of 2023, and $3.4 million for the nine months ended September 30, 2024, representing a 60% improvement from the prior year comparable period.Adjusted EBITDA for the quarter was negative $1.0 million, compared with A ...

Upon closing of the Offering, the Company issued the Representative certain warrants to purchase up to 182,952 shares of common stock (the "Representative's Warrants") as compensation, which amount was offset against the proceeds received. The Representative's Warrants will be exercisable at a per share exercise price of $0.8125. The Representative's Warrants are exercisable, in whole or in part, during the four and one-half-year period commencing 180 days from the commencement of sales of the shares of com ...

NEW YORK, Dec. 19, 2024 (GLOBE NEWSWIRE) -- Xcel Brands, Inc. (NASDAQ: XELB) (“Xcel” or the “Company”), today announced that it will report its third quarter 2024 financial results on December 20, 2024. The Company will hold a conference call with the investment community on December 23, 2024, at 5:00 p.m. ET. A webcast of the conference call will be available live on the Investor Relations section of Xcel’s website at https://xcelbrands.co/pages/events-and-presentations or directly at https://edge.media-se ...

Xcel Brands, Inc. (NASDAQ:XELB) Q2 2024 Earnings Conference Call August 14, 2024 9:30 AM ET Company Participants Paul Kuntz - Investor Relations Robert D'Loren - Chairman of the Board & Chief Executive Officer James Haran - Chief Financial Officer and Assistant Secretary, and Principal Financial and Accounting Officer Seth Burroughs - Executive Vice President of Business Development and Treasury and Secretary Conference Call Participants Michael Kupinski - NOBLE Capital Anthony Lebiedzinski - Sidoti Aaron W ...