ENGLEWOOD CLIFFS, N.J., Oct. 06, 2025 (GLOBE NEWSWIRE) -- Atlantic International Corp. (Nasdaq: ATLN), a leading provider of strategic staffing outsourced services and workforce solutions, today announced that its subsidiary Lyneer Staffing Solutions has successfully renewed its partnership with the premier food production company, first announced in October 2024. This renewal comes with a significant strategic advantage: the client's decision to consolidate its staffing partnerships from three providers to ...

Financial Data and Key Metrics Changes - Revenue for Q2 was $193 million, up 9% sequentially and 33% year over year [12][13] - GAAP gross margin was 56.1%, while non-GAAP gross margin was 56.3%, up 90 basis points from the prior quarter [15] - GAAP operating loss was $23 million, with non-GAAP operating income of $1 million [16] - GAAP loss per share was $0.67, while non-GAAP earnings per share was $0.11, beating guidance by $0.02 [16] Business Line Data and Key Metrics Changes - Home and Life revenue was $83 million, up 2% sequentially and 45% year over year, driven by new design ramps with medical customers [13] - Industrial and Commercial revenue was $110 million, up 14% sequentially and 25% year over year, supported by electronic shelf labeling and smart meter rollouts [13][18] - Distribution accounted for approximately 69% of revenue mix, with channel inventory increasing slightly to 51 days [14][15] Market Data and Key Metrics Changes - The home automation segment showed strength, particularly in gateways and smart lighting [6] - Shipments to global smart metering customers are steady, including India's electric metering rollout [9] - Customer surveys indicated lower inventory positions compared to 90 days ago, suggesting a positive demand outlook [11][17] Company Strategy and Development Direction - The company is focused on converting design win pipeline into production ramps, with 10 of the 12 largest customer ramps on track for 2025 [5][11] - The Series two platform is driving revenue growth and market share gains, particularly in Bluetooth and Wi-Fi products [5][9] - The introduction of the Series three platform is expected to enhance capabilities and performance, setting new industry benchmarks [10][11] Management's Comments on Operating Environment and Future Outlook - Management remains confident in strong growth potential in the healthcare market, particularly in continuous glucose monitoring applications [8] - The evolving tariff discussions have not significantly impacted customer forecasts or order patterns [11][17] - The outlook for Q3 anticipates revenue between $200 million and $210 million, implying a 23% year-over-year growth rate [18][19] Other Important Information - The company has secured design wins in emerging medical applications, including remote vital sign monitors [10] - The balance sheet ended with $416 million in cash and short-term investments, with days of sales outstanding at approximately 30 days [16][17] Q&A Session Summary Question: Home and Life business performance - Management confirmed that the continuous glucose monitoring target remains on track for 10% of sales by 2025, with design ramps being the primary growth driver [23][25] Question: Gross margin expectations - Management expects to maintain gross margins in the high end of the 56% to 58% range, driven by distribution channel contributions [26][27] Question: Design win pipeline update - The design win pipeline is the largest ever, with significant momentum and expectations for continued growth [30][33] Question: Glucose meter business customer engagement - The company is engaged with over 60 customers in the glucose meter space, ramping more than 12 [34][35] Question: Geographic revenue mix changes - Revenue trends were consistent across geographies, with no significant anomalies noted [38][39] Question: Distribution channel opportunities - The company is working to refill the channel inventory towards the target of 70-75 days, with positive momentum observed [45][47] Question: Tariff impact strategy - The company plans to pass on modest tariff impacts to customers, with a relatively low overall impact expected [50][51] Question: Wi-Fi application wins - Continued progress in Wi-Fi applications, particularly with the Roku design, showcasing long battery life capabilities [54][55] Question: Future growth expectations - Management indicated that design wins and share gains will continue to drive growth, with significant potential in the pipeline [63][65]

Core Viewpoint - Lululemon Athletica has faced significant stock price declines and revenue growth slowdowns, but there are potential opportunities for substantial long-term growth and stock price appreciation. Group 1: Current Performance and Market Position - Lululemon's stock has decreased by 20% over the past five years and is down 52% from its all-time highs [1] - Revenue growth in North America has slowed from 29% year-over-year in Q1 2022 to just 4% in Q1 2025, raising concerns about market saturation [3] - Despite competition, Lululemon has gained market share in the premium athletic wear category, while competitors like Nike and Athleta have seen revenue declines of 11% and 8% respectively [4] Group 2: Future Growth Potential - Lululemon is still a small player in the $359 billion U.S. apparel market, indicating significant room for growth [6] - The company has opportunities for international expansion, particularly in China, where revenue grew 22% year-over-year to $368.1 million [10] - Revenue from markets outside North America and China grew 17% year-over-year to $328 million, suggesting strong growth potential in regions like Australia and Latin America [11] Group 3: Financial Strategies and Projections - Lululemon's current revenue is just under $11 billion annually, with potential to double or triple in the next decade [14] - The company has been actively repurchasing shares, reducing outstanding shares by 6% over the last three years, which can enhance stock returns [16] - The stock is trading at a P/E ratio of 16.6, near a 10-year low, which could normalize as revenue growth accelerates, further boosting stock returns [17]

Financial Data and Key Metrics Changes - Total company revenue and adjusted OIBDA grew 41% respectively [8] - Recorded music revenue grew 4% and music publishing revenue grew 7% [8] - In Q1, total revenue declined 4% and adjusted OIBDA declined 18% with a margin of 21.8%, a decrease of 390 basis points over the prior year quarter [20][21] - On an adjusted basis, total revenue grew 4%, adjusted OIBDA increased 1%, and margin decreased 80 basis points due to revenue mix and operational FX headwinds [21] Business Line Data and Key Metrics Changes - Recorded music revenue decreased 6% but grew 4% on an adjusted basis [22] - Subscription streaming grew 7%, reflecting expected deceleration from prior year price increases [22] - Ad-supported streaming declined by 7% due to timing of deal renewals and content delivery [22] - Physical revenue increased 8% due to strong new releases in the U.S. [22] - Music Publishing total revenue increased 7%, with digital and streaming both increasing by 6% and 7% respectively [25] Market Data and Key Metrics Changes - Atlantic, one of the flagship labels, increased its market share by 0.5 percentage points in the U.S. over the prior year quarter [12] - Warner Chappell landed at number two on Billboard's year-end HOT 100 publishing chart [12] Company Strategy and Development Direction - The company aims to increase market share, grow the overall value of music, and enhance operational efficiency [9][10] - Recent acquisitions and partnerships, such as with Tempo Music and local players like Skillbox in India, are part of the strategy to grow global market share [11][17] - The company is focused on collaborative innovation with DSPs to expand the music ecosystem [13][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the future despite temporary macro trends affecting the industry and global economy [8] - The company anticipates high single-digit subscription streaming growth for the fiscal year [29] - Management noted that the music industry remains healthy and resilient, with new DSP deals focused on improved monetization [29] Other Important Information - The company announced the acquisition of a controlling interest in Tempo Music, which includes premium music rights to songs recorded by various artists [17][18] - Operating cash flow increased 13% to $332 million from $293 million in the prior year quarter [27] Q&A Session Summary Question: Comments on the new Spotify deal and its impact on revenue growth - Management highlighted a three-pronged strategy focusing on increasing market share, growing the overall value of music, and enhancing efficiency [34] - The new deal with Spotify is seen as a positive step towards achieving these goals [35] Question: Clarification on foreign exchange impacts - Management clarified that the foreign exchange impact is due to 58% of revenue being in non-U.S. dollar currencies, leading to in-period exposure affecting OIBDA [37] Question: Insights on new fan experiences and product offerings - Management indicated that not all partners need to be aligned for new product offerings to roll out, allowing for flexibility in innovation [42] Question: Expectations for ad-supported revenue and emerging platform deals - Management expects stabilization in ad-supported revenue over time, though it remains macro-driven [51] - No new announcements regarding emerging platform deals were made during the quarter [50] Question: Discussion on superfan monetization and subscription streaming trends - Management acknowledged the untapped potential in superfan monetization and is exploring various strategies to engage this segment [78] - Subscription streaming growth is primarily driven by subscriber growth and volume, with pricing expected to improve over time [80]