XCel Brands (XELB) Reports Q2 Loss, Misses Revenue Estimates

Company Performance - XCel Brands reported a quarterly loss of $0.37 per share, better than the Zacks Consensus Estimate of a loss of $0.5, and compared to a loss of $0.1 per share a year ago, resulting in an earnings surprise of +26.00% [1] - The company posted revenues of $1.32 million for the quarter ended June 2025, missing the Zacks Consensus Estimate by 28.21%, and down from $2.95 million in the same quarter last year [2] - Over the last four quarters, XCel Brands has surpassed consensus EPS estimates three times and topped consensus revenue estimates two times [2] Stock Performance - XCel Brands shares have declined approximately 78.5% since the beginning of the year, while the S&P 500 has gained 10% [3] - The current consensus EPS estimate for the upcoming quarter is -$0.12 on revenues of $2.94 million, and for the current fiscal year, it is -$1.03 on revenues of $9.6 million [7] Industry Outlook - The Retail - Apparel and Shoes industry, to which XCel Brands belongs, is currently ranked in the bottom 41% of over 250 Zacks industries, indicating potential challenges ahead [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact XCel Brands' stock performance [5]