Vince Holding Corp. net sales increase 10.5 percent in first quarter

The US global retail platform Vince Holding Corp. (VNCE) has reported its financial results for the first quarter ended May 2, 2026. Net sales for the company increased 10.5 percent to 64.04 million dollars compared to 57.93 million dollars in the first quarter of fiscal 2025.

The year-over-year (YoY) growth was driven by a 15.6 percent increase in the direct-to-consumer (D2C) segment, which reached 31.97 million dollars. The wholesale segment also experienced growth, with sales increasing 5.9 percent to 32.07 million dollars.

Operating losses decrease as margins improve

Gross profit for the quarter rose to 32.39 million dollars, representing 50.6 percent of net sales, compared to 29.16 million dollars, or 50.3 percent of net sales, in the prior year period. The gross margin expansion was supported by approximately 130 basis points from higher pricing and 100 basis points due to lower discounting, which helped offset the impact of higher tariffs.

Selling, general, and administrative expenses were 35.04 million dollars, or 54.7 percent of sales, compared to 33.60 million dollars, or 58.0 percent of sales, in the first quarter of fiscal 2025. Loss from operations narrowed to 2.65 million dollars from a loss of 4.44 million dollars in the same period last year.

Net loss for the company decreased to 2.10 million dollars, or 0.16 dollars per share, compared to a net loss of 4.80 million dollars, or 0.37 dollars per share, in the first quarter of the previous fiscal year. Adjusted EBITDA was minus 1.13 million dollars, improving from minus 3.03 million dollars YoY.

Full year guidance raised on strong momentum

The brand ended the quarter operating 54 corporate stores, reflecting a net decrease of four retail locations since the first quarter of fiscal 2025. Total borrowings under debt agreements stood at 29.13 million dollars at the close of the period, with 31.20 million dollars available under its revolving credit facility. Net inventory increased to 70.81 million dollars, including 4.50 million dollars in higher carrying costs related to tariffs.

Vince Holding Corp. chief executive officer, Brendan Hoffman, stated that the results demonstrate accelerated business momentum across both channels. Hoffman noted that strategic investments in customer experience contributed to double-digit growth in new and reactivated customers while supporting full-price selling.

For the second quarter of fiscal 2026, the company expects net sales to increase between 10 percent and 12 percent compared to the prior year period. For the full fiscal year 2026, the group has raised its outlook, now forecasting a net sales increase of approximately 7 percent to 8 percent YoY.