XCel Brands (XELB) Announces Q3 Loss and Falls Short of Revenue Projections
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Nov 20 2025
0mins
Should l Buy CURV?
Source: NASDAQ.COM
Earnings Report: XCel Brands reported a quarterly loss of $2.02 per share, significantly worse than the expected loss of $0.93, and a decline in revenues to $1.12 million, missing estimates by 27.87%.
Stock Performance: The company's shares have plummeted approximately 83.7% since the start of the year, contrasting with a 12.5% gain in the S&P 500, raising concerns about future stock performance.
Earnings Outlook: The current consensus EPS estimate for the upcoming quarter is -$0.86, with revenues projected at $1.65 million, while the Zacks Rank for XCel Brands stands at #3 (Hold), indicating expected performance in line with the market.
Industry Context: XCel Brands operates in the Retail - Apparel and Shoes industry, which is currently ranked in the top 23% of Zacks industries, suggesting potential for better performance compared to lower-ranked sectors.
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Analyst Views on CURV
Wall Street analysts forecast CURV stock price to fall
6 Analyst Rating
1 Buy
3 Hold
2 Sell
Hold
Current: 1.790
Low
0.75
Averages
1.44
High
2.00
Current: 1.790
Low
0.75
Averages
1.44
High
2.00
About CURV
Torrid Holdings Inc. is a direct-to-consumer brand of apparel, intimates, and accessories in North America. The Company is focused on fit and offers products across a broad assortment, which includes tops, bottoms, denim, dresses, intimates, activewear, footwear and accessories. It designs, develops and merchandises almost all of its products in-house, under the Torrid, Torrid Curve, CURV and Lovesick brand names. The Company operates in one segment, being the operation of its e-commerce platform and stores. Through its unified commerce platform, which includes its e-commerce and retail stores, it delivers a brand experience to its customers. Its e-commerce channel is central to its unified commerce platform. Its Website and mobile app feature updates on new collections and guidance on how to wear and put together outfits. It operates approximately 634 stores in the United States, Puerto Rico and Canada. Its stores are located in malls, shopping plazas, and lifestyle centers.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Torrid Holdings Inc. Reports Strong Q4 2025 Earnings and 2026 Outlook
- Sales Performance Exceeds Expectations: Torrid achieved net sales of $1 billion for fiscal 2025, surpassing projections, while adjusted EBITDA reached $63.6 million, demonstrating the company's success in optimizing its channels and product offerings.
- Strong Sub-Brand Growth: Sub-brand sales exceeded $70 million in 2025, with projections indicating approximately 60% growth to $110 million in 2026, highlighting the effectiveness of the company's diversification strategy.
- Cost Control and Inventory Management: Despite facing $50 million in tariff pressures, Torrid maintained effective inventory discipline, reporting a net loss of $8.1 million for 2025, showcasing the company's efficiency in cost management.
- Optimistic Future Outlook: Management expects net sales for 2026 to range between $940 million and $960 million, with adjusted EBITDA projected at $65 million to $75 million, reflecting confidence in market expansion and profitability.
See More
Torrid Holdings Reports Strong 2025 Performance Amid Challenges
- Sales Performance Achieved: Torrid Holdings reported net sales of $1 billion for fiscal 2025, meeting guidance, while adjusted EBITDA reached $63.6 million, slightly exceeding market expectations, demonstrating the company's ability to maintain stable profitability amid challenges.
- Store Optimization Strategy: The company closed 151 underperforming stores in 2025, successfully enhancing profitability and customer retention, with this strategy expected to lay a foundation for future business growth.
- Sub-Brand Growth Potential: Sub-brands generated over $70 million in sales in 2025 and are projected to grow approximately 60% in 2026, which will further drive margin accretion for the company.
- Footwear Business Reintroduction: The successful reintroduction of the footwear category presents opportunities for profit growth in the latter half of 2026, despite a 10% decline in comparable sales in Q4 2025 due to the temporary pause in the shoe business; the company has implemented measures to regain market competitiveness.
See More
Torrid (CURV) Q4 2025 Earnings Call Transcript
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Torrid Holdings Exceeds Expectations with Positive Outlook
- Performance Exceeds Expectations: Torrid Holdings (CURV) outperformed Wall Street's conservative expectations in Q4, with sales down 14.3% year-over-year but still surpassing market forecasts, indicating early signs of successful turnaround measures.
- Strategic Adjustments: In 2025, Torrid closed 151 unproductive locations and launched five sub-brands that generated approximately $70 million in sales, restructuring its product assortment to focus on core franchises, thereby enhancing its competitive position.
- Future Outlook: The company expects net sales for the current quarter to be between $236 million and $244 million, down from last year but above the $234.14 million estimate, with adjusted EBITDA projected between $14 million and $18 million.
- Stock Price Surge: Following the optimistic outlook, shares rallied by 28% in after-hours trading, reflecting increased investor confidence in the company's future performance.
See More
Torrid Releases Q1 Fiscal 2026 Outlook with Earnings Beat
- Earnings Beat: Torrid's Q4 GAAP EPS of -$0.08 exceeded expectations by $0.05, despite a revenue decline of 14.3% year-over-year to $236.17 million, which still beat estimates by $5.06 million, demonstrating resilience in challenging conditions.
- Future Outlook: The company anticipates Q1 fiscal 2026 net sales between $236 million and $244 million, with adjusted EBITDA expected to range from $14 million to $18 million, indicating a cautiously optimistic management outlook for upcoming performance.
- Annual Projections: For fiscal 2026, Torrid expects net sales between $940 million and $960 million, with adjusted EBITDA projected between $65 million and $75 million, reflecting ongoing efforts and strategic planning amid market challenges.
- Capital Expenditure Plans: The company plans to invest between $8 million and $10 million in capital expenditures for fiscal 2026, aimed at enhancing operational capacity and market competitiveness, while shares rose 33.6% in after-hours trading, signaling investor confidence in future growth.
See More
Torrid Earnings Preview: Revenue Expectations Decline
- Revenue Expectations Decline: Torrid Holdings anticipates a 16.1% year-over-year revenue decline this quarter, worsening from last year's 6.1% drop, indicating a weakening competitive position that could undermine investor confidence.
- Poor Financial Performance: Last quarter, Torrid reported revenues of $235.2 million, down 10.8% year-over-year, with full-year EBITDA guidance significantly missing analyst expectations, reflecting operational challenges faced by the company.
- Industry Comparison: In contrast to Torrid, peers Tilly's and Victoria's Secret reported revenue growths of 5.3% and 7.8%, respectively, highlighting demand disparities in the market that may intensify pressure on Torrid.
- Stock Price Volatility: While the average apparel retail stock has declined by 10% over the past month, Torrid's stock has risen by 23.8%, yet its current price of $1.30 is below the average analyst price target of $1.48, suggesting potential adjustment risks ahead.
See More
Torrid Holdings Inc. Reports Strong Q4 2025 Earnings and 2026 Outlook
- Sales Performance Exceeds Expectations: Torrid achieved net sales of $1 billion for fiscal 2025, surpassing projections, while adjusted EBITDA reached $63.6 million, demonstrating the company's success in optimizing its channels and product offerings.
- Strong Sub-Brand Growth: Sub-brand sales exceeded $70 million in 2025, with projections indicating approximately 60% growth to $110 million in 2026, highlighting the effectiveness of the company's diversification strategy.
- Cost Control and Inventory Management: Despite facing $50 million in tariff pressures, Torrid maintained effective inventory discipline, reporting a net loss of $8.1 million for 2025, showcasing the company's efficiency in cost management.
- Optimistic Future Outlook: Management expects net sales for 2026 to range between $940 million and $960 million, with adjusted EBITDA projected at $65 million to $75 million, reflecting confidence in market expansion and profitability.
See More
Torrid Holdings Reports Strong 2025 Performance Amid Challenges
- Sales Performance Achieved: Torrid Holdings reported net sales of $1 billion for fiscal 2025, meeting guidance, while adjusted EBITDA reached $63.6 million, slightly exceeding market expectations, demonstrating the company's ability to maintain stable profitability amid challenges.
- Store Optimization Strategy: The company closed 151 underperforming stores in 2025, successfully enhancing profitability and customer retention, with this strategy expected to lay a foundation for future business growth.
- Sub-Brand Growth Potential: Sub-brands generated over $70 million in sales in 2025 and are projected to grow approximately 60% in 2026, which will further drive margin accretion for the company.
- Footwear Business Reintroduction: The successful reintroduction of the footwear category presents opportunities for profit growth in the latter half of 2026, despite a 10% decline in comparable sales in Q4 2025 due to the temporary pause in the shoe business; the company has implemented measures to regain market competitiveness.
See More
Torrid (CURV) Q4 2025 Earnings Call Transcript
See More
Torrid Holdings Exceeds Expectations with Positive Outlook
- Performance Exceeds Expectations: Torrid Holdings (CURV) outperformed Wall Street's conservative expectations in Q4, with sales down 14.3% year-over-year but still surpassing market forecasts, indicating early signs of successful turnaround measures.
- Strategic Adjustments: In 2025, Torrid closed 151 unproductive locations and launched five sub-brands that generated approximately $70 million in sales, restructuring its product assortment to focus on core franchises, thereby enhancing its competitive position.
- Future Outlook: The company expects net sales for the current quarter to be between $236 million and $244 million, down from last year but above the $234.14 million estimate, with adjusted EBITDA projected between $14 million and $18 million.
- Stock Price Surge: Following the optimistic outlook, shares rallied by 28% in after-hours trading, reflecting increased investor confidence in the company's future performance.
See More
Torrid Releases Q1 Fiscal 2026 Outlook with Earnings Beat
- Earnings Beat: Torrid's Q4 GAAP EPS of -$0.08 exceeded expectations by $0.05, despite a revenue decline of 14.3% year-over-year to $236.17 million, which still beat estimates by $5.06 million, demonstrating resilience in challenging conditions.
- Future Outlook: The company anticipates Q1 fiscal 2026 net sales between $236 million and $244 million, with adjusted EBITDA expected to range from $14 million to $18 million, indicating a cautiously optimistic management outlook for upcoming performance.
- Annual Projections: For fiscal 2026, Torrid expects net sales between $940 million and $960 million, with adjusted EBITDA projected between $65 million and $75 million, reflecting ongoing efforts and strategic planning amid market challenges.
- Capital Expenditure Plans: The company plans to invest between $8 million and $10 million in capital expenditures for fiscal 2026, aimed at enhancing operational capacity and market competitiveness, while shares rose 33.6% in after-hours trading, signaling investor confidence in future growth.
See More
Torrid Earnings Preview: Revenue Expectations Decline
- Revenue Expectations Decline: Torrid Holdings anticipates a 16.1% year-over-year revenue decline this quarter, worsening from last year's 6.1% drop, indicating a weakening competitive position that could undermine investor confidence.
- Poor Financial Performance: Last quarter, Torrid reported revenues of $235.2 million, down 10.8% year-over-year, with full-year EBITDA guidance significantly missing analyst expectations, reflecting operational challenges faced by the company.
- Industry Comparison: In contrast to Torrid, peers Tilly's and Victoria's Secret reported revenue growths of 5.3% and 7.8%, respectively, highlighting demand disparities in the market that may intensify pressure on Torrid.
- Stock Price Volatility: While the average apparel retail stock has declined by 10% over the past month, Torrid's stock has risen by 23.8%, yet its current price of $1.30 is below the average analyst price target of $1.48, suggesting potential adjustment risks ahead.
See More
