a.k.a. Brands reports Q2 sales growth but net loss widens

a.k.a. Brands Holding Corp. has announced its financial results for the second quarter ended June 30, 2025, revealing an increase in net sales and a fifth consecutive quarter of growth. The company, which operates a portfolio of fashion brands, reported net sales of 160.5 million dollars, a 7.8 percent increase compared to the same period in 2024. This growth was primarily driven by a 13.7 percent increase in U.S. sales and stabilisation in the Australia/New Zealand market.

Despite the strong top-line growth, the company reported a net loss of 3.6 million dollars, or loss 34 cents per share, compared to a net loss of 2.3 million dollars, or 22 cents per share, in the second quarter of 2024. Adjusted EBITDA for the quarter was 7.5 million dollars, a slight decrease from the 8 million dollars reported in the second quarter of 2024.

CEO Ciaran Long attributed the company's performance to the strength of its brands and the successful execution of its strategic initiatives. He highlighted the company's strong direct-to-consumer channels and its successful omni-channel expansion, including the opening of three new Princess Polly stores. The company's wholesale partnerships also deepened, with the "successful chain wide debut of Princess Polly and Petal & Pup at Nordstrom," which reinforces the "global potential of our brands".

Looking ahead, a.k.a. Brands has updated its full-year 2025 outlook, raising its net sales guidance to a range of 608 million dollars to 612 million dollars and its adjusted EBITDA guidance to between 24.5 million dollars and 27.5 million dollars. For the third quarter of 2025, the company expects net sales to be between 154 million dollars and 158 million dollars and adjusted EBITDA to be between 7.3 million dollars and 7.7 million dollars.