Zumiez(ZUMZ) - 2026 Q1 - Quarterly Results

Financial Performance - First quarter net sales increased by 3.9% to $184.3 million compared to $177.4 million in the same period last year[3] - Comparable sales for the first quarter rose by 5.5%, with North America showing a 7.4% increase[1][3] - The net loss for the first quarter was $14.3 million, or $0.79 per diluted share, an improvement from a net loss of $16.8 million, or $0.86 per diluted share, in the prior year[3][16] - Zumiez Inc. reported a net loss of $14,330,000 for the three months ended May 3, 2025, compared to a net loss of $16,780,000 for the same period in 2024, showing an improvement of approximately 8.7%[20] Cash Flow and Financial Position - Cash and current marketable securities decreased to $101.0 million from $146.6 million year-over-year, primarily due to $50.4 million in share repurchases[4] - The company experienced a net cash used in operating activities of $22,084,000, which is a decline from $18,577,000 in the previous year, indicating increased cash outflow[20] - Cash flows from investing activities resulted in a net cash outflow of $4,188,000, a significant decrease from a net inflow of $7,997,000 in the prior year[20] - Financing activities led to a net cash outflow of $25,029,000, compared to a slight inflow of $228,000 in the same period last year, primarily due to stock repurchases[20] - The company reported cash, cash equivalents, and restricted cash of $71,824,000 at the end of the period, down from $83,687,000 a year earlier, reflecting a decrease of approximately 14.2%[20] Share Repurchase and Stock Authorization - The company repurchased 1.8 million shares at an average cost of $13.82 per share, totaling $25.2 million[4] - The board approved a new stock repurchase authorization of up to $15 million, expected to continue through June 30, 2026[9] Future Outlook - For the second quarter, the company expects net sales between $207 million and $214 million, with a loss per share between $0.09 and $0.24[7] - Zumiez plans to open approximately 9 new stores in fiscal 2025, including 6 in North America, 2 in Europe, and 1 in Australia[8] - The company aims to diversify its North American supply chain to reduce exposure to China by the end of the year[5] International Sales and Product Strategy - International sales were slightly negative in the first quarter, prompting a focus on introducing new products to drive demand[5] Depreciation and Expenses - Zumiez Inc. recorded depreciation, amortization, and accretion expenses of $5,387,000, slightly lower than $5,561,000 in the previous year[20] - Noncash lease expenses were reported at $14,639,000, which is consistent with $14,522,000 from the same period last year[20] - The company paid $412,000 in income taxes during the period, a decrease from $654,000 in the prior year[20] - Zumiez Inc. had a significant change in trade accounts payable, with a decrease of $1,357,000 compared to an increase of $21,763,000 in the previous year[20] - The company reported an impairment of long-lived assets amounting to $462,000, compared to $101,000 in the same period last year, indicating increased asset write-downs[20]