Lifetime Brands, Inc. (LCUT) Q2 2025 Earnings Call Transcript
Net Loss $39.7 million or $1.83 per diluted share in Q2 2025, compared to $18.2 million loss or $0.85 per diluted share in Q2 2024. The increase in net loss was primarily due to a noncash goodwill impairment charge of $33.2 million related to the U.S. segment.
Adjusted Net Loss $10.9 million or $0.50 per diluted share in Q2 2025, compared to $600,000 or $0.03 per diluted share in Q2 2024. The increase in adjusted net loss reflects the impact of shipment delays and tariff-related challenges.
Loss from Operations $37.2 million in Q2 2025, compared to income from operations of $1.2 million in Q2 2024. The loss includes a noncash goodwill impairment charge of $33.2 million related to the U.S. segment.
Adjusted Income from Operations $900,000 in Q2 2025, compared to $5.6 million in Q2 2024. The decline was due to shipment delays and tariff-related challenges.
Adjusted EBITDA $50.7 million for the trailing 12-month period ended June 30, 2025. This metric remained stable despite top-line declines, supported by cost-efficiency actions amounting to over $14 million on an annualized basis.
Consolidated Sales Declined by 6.9% to $131.9 million in Q2 2025. The decline was driven by shipment delays and a 145% tariff on goods sourced from China during the period.
U.S. Segment Sales Decreased by 8.6% to $119.3 million in Q2 2025. The decline was attributed to shipment delays and tariff-related challenges.
International Segment Sales Increased by 12.4% to $12.6 million in Q2 2025. Excluding foreign exchange fluctuations, the increase was 6.6%, driven by growth in the U.K. and Continental Europe.
Gross Margin Consistent at 38.6% in Q2 2025, compared to 38.5% in Q2 2024. U.S. segment gross margin improved to 39.1% from 38.7%, driven by favorable product mix, while international gross margin decreased to 32.5% from 36.6% due to unfavorable customer and product mix.
Cash Flow from Operations Exceeded $25 million year-to-date in 2025, supported by cost-efficiency measures and operational adjustments.
Liquidity Approximately $97 million as of June 30, 2025, including cash and availability under the credit facility and receivable purchase agreement.
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Wall Street Analysts Adjust Ratings on Key Stocks
- Rating Downgrade: Wolfe Research analyst Andrew Rosivach downgraded Public Storage (NYSE:PSA) from Outperform to Peer Perform, reflecting a cautious outlook on the company's future growth, with shares closing at $282.63 on Friday.
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- Rating Change: Canaccord Genuity analyst Brian McNamara downgraded Lifetime Brands Inc (NASDAQ:LCUT) from Buy to Hold and cut the price target from $4 to $3.5, reflecting a conservative outlook on its market performance, with shares closing at $3.89 on Friday.
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Lifetime Brands, Inc. (LCUT) Q2 2025 Earnings Call Transcript
Earnings Call Overview: Lifetime Brands, Inc. held its Q2 2025 earnings conference call on August 7, 2025, featuring CEO Rob Kay and CFO Larry Winoker discussing the company's performance and future outlook.
Forward-Looking Statements Disclaimer: The company provided a disclaimer regarding forward-looking statements, emphasizing that these are not guarantees of future performance and are subject to change based on various factors.
