Vince Holding Corp. Q4 FY2026 earnings call

• Brendan Hoffman highlighted strong operating results in Q4 with direct-to-consumer sales up 10% vs last year, overall sales up nearly 5% vs last year, profitability outpacing high end of prior guidance. • Acknowledged disruption from Saks Global (~7% of total sales) but confident in new leadership team. • Exploring investments in customer experience like special events, store operations, digital platform, and expanding dropship to new categories in spring 2026. • Scaling men's business with men's representing ~24% of sales and opportunity to expand. • Second London store success validates international expansion, exploring Paris flagship in next 2 years. • Leveraging platform to support additional brands, partnership with ABG and wholesale partners for storytelling.

Fourth quarter total company net sales increased 4.7% to $83.7 million. Direct-to-consumer segment increased 10.4% driven by e-commerce and stores. Wholesale channel declined 1.2% due to pause in shipments to Saks Global. Gross profit in Q4 was $41.1 million (49.1% of net sales). SG&A expenses were $44 million (52.6% of net sales). Net loss for Q4 was $3.6 million. Full year net sales growth 2.2%, reported net income $6.4 million, adjusted EBITDA $15.1 million. Men's business ended year at ~24% of total sales. Second London store exceeded expectations.

• First quarter 2026: expected total net sales growth ~8.5% to 10.5%, adjusted operating loss as % of net sales ~negative 3.5% to negative 4.5%, adjusted EBITDA as % of net sales ~negative 1.5% to negative 2.5%. • Full year fiscal 2026: expected net sales growth ~3% to 6%, adjusted operating income as % of net sales ~3.5% to 4%, adjusted EBITDA as % of net sales ~5% to 5.5%.

Q: Talk about store tweaks for growth in 2026.

A: Continuing to experiment with store setup, renovating, pulling out legacy cash wraps, showcasing more categories like handbags and accessories in stores to provide interest.

Q: Tariffs and domestic/international stores.

A: Domestic stores: opening some, closing some, rationalizing and driving productivity. International: Paris as next gateway after successful London store.

Q: Wholesale evolution.

A: Nordstrom and Bloomingdale's driving wholesale business, cautiously optimistic about Saks Global moving in right direction.

Q: Traffic in malls and stores.

A: Seeing positive trend with outsized performance in some stores due to centers investing and reinventing.

Q: Competition and operating leverage.

A: Taking market share in own way, prior team improved margin through IMU, looking to recapture gross margin accretion and get SG&A leverage with business growth.