Designer Brands delivered improved profitability in Q3 2025 with higher EPS and gross margin, even though overall sales and comparable sales were down. Operating income nearly doubled year-over-year.

Designer Brands reported Q2 revenue of $739.8M and net income of $10.8M. EPS came in at $0.22, with an adjusted EPS of $0.34. While total sales and gross profit declined, sequential improvement in comparable sales highlighted the effectiveness of operational initiatives.

Designer Brands faced headwinds in Q1 2025, reporting an 8% decline in revenue and a net loss of $17.4 million as consumer sentiment weakened. The company withdrew its full-year guidance amid macroeconomic uncertainty and emphasized cost-saving measures.

In Q4 2024, Designer Brands reported net sales of $713.6 million, a 5.4% decline year-over-year. Despite the decline in sales and a reported net loss of $38.2 million, comparable sales increased by 0.5%, reflecting progress from strategic initiatives. Gross margin improved to 39.6%.