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May 04

Duluth Trading Co. Q1 2025 Earnings Report

Duluth Trading Co. reported lower sales and a widened net loss in Q1 2025.

Key Takeaways

Duluth Holdings Inc. faced a challenging Q1 2025 with decreased net sales, a wider net loss, and negative adjusted EBITDA, as the new CEO begins efforts to simplify operations and revitalize the brand.

Total Revenue
$103M
Previous year: $117M
-12.0%
EPS
-$0.32
Previous year: -$0.24
+33.3%
Gross Margin
52%
Previous year: 52.8%
-1.5%
Adjusted EBITDA
-$3.79M
Previous year: $1.84M
-306.4%
Gross Profit
$53.4M
Previous year: $65.7M
-18.7%
Cash and Equivalents
$8.58M
Previous year: $9.21M
-6.9%
Total Assets
$464M
Previous year: $488M
-5.1%

Duluth Trading Co.

Duluth Trading Co.

Duluth Trading Co. Revenue by Segment

Forward Guidance

The company maintained its fiscal 2025 guidance, signaling no immediate revisions despite macroeconomic uncertainties.

Positive Outlook

  • New leadership focused on brand revitalization
  • Initiated cost savings to right-size the business
  • Focus on brand awareness and customer service
  • Efforts underway to simplify operations
  • Maintained full-year fiscal guidance

Challenges Ahead

  • Net sales declined 12% YoY
  • Adjusted EBITDA turned negative
  • DTC sales dropped significantly
  • Gross margin contracted 80 basis points
  • Retail traffic remained slow

Revenue & Expenses

Visualization of income flow from segment revenue to net income