Lands' End Q2: Revenue Up 2.7%, Gross Margin Hits 52%, But Adjusted EBITDA Falls 25%
LE is trading near its 52-week low of $9.56 (15% above the low).
Summary
Lands' End reported Q2 revenue of $302.0M (+2.7% YoY) with gross margin up 320 bps to 52.0%, but adjusted EBITDA fell 25% to $11.3M. Full-year adjusted EPS guidance is $0.44-$0.72.
Key Events · Earnings and Guidance · LE
-
Q2 Revenue Up 2.7% to $302M
Net revenue rose $7.9M year-over-year to $302.0M, driven by U.S. eCommerce growth of 9.0% to $182.4M, partially offset by a 20.4% decline in Third Party revenue.
-
Gross Margin Expands 320 bps to 52.0%
Gross profit increased 9.5% to $157.0M, with margin expansion driven primarily by IEEPA tariff refunds, partially offset by the new JV royalty structure and warehouse management system costs.
-
Adjusted EBITDA Declines 25% to $11.3M
Selling and administrative expenses rose $5.9M to $135.3M (44.8% of revenue), driven by digital marketing investment and warehouse inefficiencies, pushing adjusted EBITDA down from $15.1M a year ago.
-
Full-Year Guidance: Adjusted EPS $0.44-$0.72
Fiscal 2026 guidance calls for net revenue of $1.30B-$1.35B and adjusted EBITDA of $62M-$70M. GAAP net income of $317M-$325M includes the one-time WHP Global gain; adjusted figures reflect the core business.
Analysis · LE · Trade & Services
Lands' End delivered a mixed quarter. Revenue grew 2.7% to $302.0M and gross margin expanded 320 basis points to 52.0%, helped by IEEPA tariff refunds. But adjusted EBITDA fell 25% to $11.3M as selling and administrative costs rose, and cash dropped to $16.1M while operating cash flow swung to an $86.5M use. The company repurchased $10.5M of stock in the quarter and has $89.2M remaining on its buyback. Full-year guidance implies adjusted EPS of $0.44-$0.72, well below the GAAP EPS of $10.87-$11.14 that includes the one-time WHP Global gain. The core business is stabilizing after warehouse disruptions, but profitability remains under pressure heading into the holiday season.
How filings like this one have moved
In the 30 days to Sep 10, 2026, 29.9% of the 1988 measured filings Wiseek scored 7 moved their stock by 5% or more by the next session's close. The median move was -0.12%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, LE was trading at $10.98 on NASDAQ in the Trade & Services sector, with a market capitalization of approximately $346.4M. The 52-week trading range was $9.56 to $20.04. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.