Vince Q1 Earnings Call Highlights Written by MarketBeat June 16, 2026 Share Link copied to clipboard. Image from MarketBeat Media, LLC. Key Points Vince posted a strong first quarter with net sales up 10.5% year over year to $64 million, driven by gains in both direct-to-consumer and wholesale. Direct-to-consumer sales rose 15.6% and wholesale increased 5.9%. Profitability improved despite tariff pressure , as gross margin ticked up to 50.6% and operating losses narrowed to $2.6 million from $4.4 million a year ago. The company said higher pricing and lower discounting helped offset the impact of tariffs. Vince raised its fiscal 2026 outlook , now expecting full-year sales growth of 7% to 8% and higher profitability targets. Management also said second-quarter sales are tracking above low-double-digit growth so far, though it remains cautious about macro volatility. MarketBeat previews the top five stocks to own by July 1st . Vince NASDAQ: VNCE reported stronger first-quarter fiscal 2026 results and raised its full-year outlook, as the apparel company cited momentum across both its direct-to-consumer and wholesale channels. Chief Executive Officer Brendan Hoffman said the company’s performance reflected continued execution of strategic priorities following momentum built during fiscal 2025. “The momentum we built throughout fiscal 2025 has accelerated into the new year,” Hoffman said on the earnings call. He added that Vince is “executing our strategic priorities with precision and confidence.” For the first quarter, Vince reported net sales of $64 million, up 10.5% from $57.9 million in the prior-year period. Direct-to-consumer sales increased 15.6%, while wholesale sales rose 5.9% year over year. Get Vince alerts: Sign Up Direct-to-consumer and wholesale both contribute to growth Hoffman described direct-to-consumer as a “standout performer,” pointing to store remodels, expanded e-commerce capabilities, increased marketing support and the launch of drop ship capabilities as factors giving customers more ways to engage with the brand. He said the first quarter delivered “outstanding performance” in full-price customer acquisition, with double-digit growth in both new and reactivated customers. In wholesale, Hoffman said at-the-register sales were up low double digits with U.S. major accounts, and relationships with key partners were strengthening amid what he described as a broader resurgence in the contemporary category. Hoffman said customers continue to respond to Vince’s product quality, design and style. In women’s, he identified woven tops as the strongest category, including solid blouses, prints and new cotton woven programs. Pants also showed strength through expanded core fabrications, added colors and novelty prints. Dresses gained momentum late in the quarter, led by knit dresses and elevated event dressing in printed silks. In men’s, Hoffman said Vince continued to see significant growth across all channels, driven by novelty textured knits and polos. He also pointed to increases across “living categories and sets,” saying head-to-toe dressing helped raise average transaction values. Hoffman said the men’s business remains a significant growth opportunity and that Vince is “on a clear path towards 30% penetration over time.” Margins improve despite tariff pressure Chief Financial Officer Yuji Okumura said gross profit in the quarter was $32.4 million, or 50.6% of net sales, compared with $29.2 million, or 50.3% of net sales, a year earlier. The improvement in gross margin was primarily driven by a roughly 130-basis-point benefit from higher pricing and a 100-basis-point benefit from lower discounting, largely offset by the unfavorable impact of higher tariffs. Selling, general and administrative expenses were $35 million, or 54.7% of net sales, compared with $33.6 million, or 58% of net sales, in the prior-year quarter. Okumura said the increase in SG&A dollars was mainly due to higher benefit costs and higher marketing and advertising expenses. Vince reported a loss from operations of $2.6 million, compared with a loss from operations of $4.4 million in the same period last year. Okumura said the $1.8 million improvement reflected both top-line growth and operating leverage. Net interest expense fell to $0.6 million from $0.9 million a year earlier, primarily because of lower debt levels under the company’s revolving credit facility. Vince ended the quarter with long-term debt of $29.1 million. The company reported a net loss of $2.1 million, or $0.16 per share, compared with a net loss of $4.8 million, or $0.37 per share, in the prior-year quarter. Adjusted EBITDA was negative $1.1 million, compared with negative $3 million last year. Inventory and tariffs remain in focus Net inventory was $70.8 million at the end of the first quarter, compared with $62.3 million a year earlier. Okumura said the year-over-year increase was primarily driven by approximately $4.5 million of higher inventory ca