Savers Value Village (NYSE:SVV) Q4 2025 Earnings call February 19, 2026 04:30 PM ET Company ParticipantsAlexia Morgan - Assistant VP of Equity ResearchBrooke Roach - Managing Director of Equity ResearchJubran Tanious - COOMark Walsh - CEOMichael Maher - CFOConference Call ParticipantsAnthony Chukumba - Managing Director, Senior Research Analyst, and Consumer Sector HeadBob Drbul - Managing Director and Consumer Retail AnalystDylan Carden - Research AnalystJeremy Hamblin - Senior Research AnalystMark Altschw ...

Savers Value Village (NYSE:SVV) Q4 2025 Earnings call February 19, 2026 04:30 PM ET Company ParticipantsAlexia Morgan - Assistant VP of Equity ResearchBrooke Roach - Managing Director of Equity ResearchJubran Tanious - COOMark Walsh - CEOMichael Maher - CFOConference Call ParticipantsAnthony Chukumba - Managing Director, Senior Research Analyst, and Consumer Sector HeadBob Drbul - Managing Director and Consumer Retail AnalystDylan Carden - Research AnalystJeremy Hamblin - Senior Research AnalystMark Altschw ...

Financial Data and Key Metrics Changes - The company reported $465 million in sales for the fourth quarter, representing a 15.6% increase from the prior year, which is at the high end of guidance [1] - The enterprise comparable sales increased by 5.4%, with an 8.8% increase in the U.S. and a 0.7% increase in Canada [1][2] - The company repaid $20 million of debts and repurchased 1.1 million shares at an average price of $8.75 during the fourth quarter [2] Business Line Data and Key Metrics Changes - The company opened 10 new stores in the quarter, totaling 26 for the year, indicating strong new store performance [2] - The adjusted EBITDA for the last twelve months through the third quarter was $249 million, with adjusted EBITDA margins in the mid-teens [5][7] Market Data and Key Metrics Changes - Approximately 40% of customers are under the age of 45, and 45% reside in households earning over $100,000, indicating a younger and more affluent customer base [8] - The company has over 6 million active loyalty members, contributing to close to $1.7 billion in sales [5] Company Strategy and Development Direction - The company is focusing on growth, innovation, and balanced capital allocation as its strategic pillars [8][9] - The U.S. market is prioritized for new store growth, with 85%-90% of new stores planned to be opened in the U.S. [10] - The company aims for a leverage ratio of approximately 2x by the end of 2027, while continuing to invest in new store growth [18][20] Management's Comments on Operating Environment and Future Outlook - Management believes that the thrift retail sector is experiencing secular adoption, driven by cost of living pressures [2] - The company expects adjusted EBITDA growth to begin in 2026 as new stores contribute positively to profitability [20][22] - The company is well-positioned to benefit from the growing reuse economy and has a durable source of supply through increasing on-site donations [22][23] Other Important Information - The company has paid $490 million to nonprofit partners for secondhand clothing and housewares over the last five years, keeping 3.2 billion lbs of reusable goods out of landfills [5] - The company has a unique business model as the number one for-profit thrift retailer in North America, operating 367 stores across three countries [4] Q&A Session Summary - No specific questions and answers were provided in the content, thus this section is not applicable.

Financial Data and Key Metrics Changes - The company reported $465 million in sales for the fourth quarter, representing a 15.6% increase from the prior year, which is at the high end of guidance [1] - The enterprise comparable sales increased by 5.4%, with an 8.8% increase in the U.S. and a 0.7% increase in Canada [1][2] - The company repaid $20 million of debts and repurchased 1.1 million shares at an average price of $8.75 [2] Business Line Data and Key Metrics Changes - The company opened 10 new stores in the quarter, totaling 26 for the year, indicating strong new store performance [2] - The adjusted EBITDA for the last twelve months through the third quarter was $249 million, with adjusted EBITDA margins in the mid-teens [5][7] Market Data and Key Metrics Changes - Approximately 40% of customers are under the age of 45, and 45% reside in households earning over $100,000, indicating a younger and more affluent customer base [8] - The company operates 367 stores across three countries, with significant growth opportunities in the U.S. due to under-penetration [4][10] Company Strategy and Development Direction - The company is focused on growth, innovation, and balanced capital allocation as its strategic pillars [8][18] - The U.S. market will be the primary focus for new store growth, with 85% to 90% of new stores planned for the U.S. [10] - The company aims for a leverage ratio of approximately two times by the end of 2027, while continuing to invest in new store growth [18][20] Management's Comments on Operating Environment and Future Outlook - Management believes that the thrift retail sector is experiencing secular growth, driven by cost of living pressures [2] - The company expects adjusted EBITDA growth to begin in 2026 as new stores start contributing positively to profitability [20][22] - The management is optimistic about the opportunities in 2026 and beyond, citing a unique category tailwind with thrift outpacing traditional retail [22][24] Other Important Information - The company has paid $490 million to nonprofit partners for secondhand clothing and housewares over the last five years, highlighting its commitment to sustainability [5] - The company has a strong cash-generative model that allows it to self-fund new store growth, reduce debt, and return capital to shareholders [24] Q&A Session Summary - No specific questions and answers were provided in the content, thus this section is not applicable.

Financial Data and Key Metrics Changes - The company reported $465 million in sales for the fourth quarter, representing a 15.6% increase from the prior year, and at the high end of guidance [1] - The enterprise comparable sales increased by 5.4%, with an 8.8% increase in the U.S. and a 0.7% increase in Canada [1][2] - The company repaid $20 million of debts and repurchased 1.1 million shares at an average price of $8.75 during the fourth quarter [2] Business Line Data and Key Metrics Changes - The company opened 10 new stores in the quarter, totaling 26 for the year, indicating strong new store performance [2] - The company has over 6 million active loyalty members, contributing to approximately $1.7 billion in sales [5] Market Data and Key Metrics Changes - The company noted that the customer base is becoming younger and more affluent, with approximately 40% of customers under the age of 45 and 45% residing in households earning over $100,000 [7] Company Strategy and Development Direction - The company is focusing on growth, innovation, and balanced capital allocation as its strategic pillars [8] - The U.S. market is prioritized for new store openings, with 85% to 90% of new stores planned for the U.S. [9] - The company aims to enter new strategic adjacent markets in North Carolina and Tennessee [9] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's position at a key inflection point, with expectations for positive Adjusted EBITDA contributions in 2026 [2][10] - The company anticipates that new stores will start contributing to EBITDA growth beginning in 2026, with 2025 expected to be the trough for EBITDA margin [17][19] Other Important Information - The company has repaid $120 million in debt since its IPO, including $20 million in the most recent quarter, and aims for a leverage ratio of approximately two times by the end of 2027 [17] - The company has a proven innovation engine, focusing on price value optimization, cost efficiency, and data science insights [13][19] Q&A Session Summary - No specific questions and answers were provided in the content.