Duluth (US:DLTH)2025-12-16 13:00Financial Performance - Net loss reduced to $10.1 million compared to a net loss of $28.2 million in the prior year Third Quarter[6] - Adjusted EBITDA increased by $5.5 million from the prior year to -$0.7 million[6] - Net sales decreased by $12.2 million, or 9.6%, to $114.9 million compared to $127.1 million in the prior year[8] - Direct-to-consumer net sales decreased by 15.5% to $67.4 million due to lower traffic[8] - Gross profit for the nine months ended November 2, 2025, was $187.220 million, down from $202.031 million in the same period of 2024, reflecting a decrease of 7.3%[30] - The company reported a net loss of $10.101 million for the three months ended November 2, 2025, compared to a net loss of $28.231 million for the same period in 2024[30] - Adjusted EBITDA for the nine months ended November 2, 2025, was $7.468 million, compared to $6.084 million for the same period in 2024, showing an increase of 22.8%[34] Sales and Revenue Guidance - Affirming the higher end of fiscal 2025 Adjusted EBITDA guidance range of $23 million to $25 million[13] - Updating net sales guidance to a range of $555 million to $565 million[13] Expenses and Costs - Selling, general and administrative expenses decreased by $11.6 million, or 14.1%, to $70.7 million[10] - Gross margin increased to 53.8% of net sales, up from 52.3% in the prior year, despite a $3.0 million tariff impact[9] - The company incurred interest expense of $4.181 million for the nine months ended November 2, 2025, compared to $3.232 million for the same period in 2024, reflecting an increase of 29.3%[30] Assets and Liabilities - Total current assets increased to $228.746 million as of November 2, 2025, from $191.631 million as of February 2, 2025, representing a growth of 19.4%[27] - Total liabilities rose to $310.322 million as of November 2, 2025, compared to $272.763 million as of February 2, 2025, indicating an increase of 13.8%[27] Cash Flow and Liquidity - Cash and cash equivalents of $8.2 million with net liquidity of $88.6 million[11] - Cash and cash equivalents at the end of the period were $8.172 million, a decrease from $9.335 million at the end of the previous period[32] - The company experienced a net cash used in operating activities of $31.115 million for the nine months ended November 2, 2025, compared to $58.125 million for the same period in 2024[32] Inventory - Inventory down $39.2 million or 17.0% compared to last year[6] Shareholder Information - The weighted average shares of common stock outstanding increased to 34.517 million for the three months ended November 2, 2025, from 33.448 million for the same period in 2024[30]