Lifetime Brands | 10-Q: FY2025 Q3 Revenue Misses Estimate at USD 171.91 M

Revenue: As of FY2025 Q3, the actual value is USD 171.91 M, missing the estimate of USD 175.97 M.

EPS: As of FY2025 Q3, the actual value is USD -0.05, missing the estimate of USD 0.09.

EBIT: As of FY2025 Q3, the actual value is USD 11.71 M.

U.S. Segment

• Net Sales: $158.1 million for the three months ended September 30, 2025, a decrease of 7.1% from $170.2 million in the same period in 2024.
• Gross Margin: $55.5 million, or 35.1%, compared to $62.7 million, or 36.8%, in the same period in 2024.
• Income (Loss) from Operations: $12.9 million, compared to $16.2 million in the same period in 2024.
• Distribution Expenses: 9.0% of net sales, compared to 9.7% in the same period in 2024.
• Selling, General and Administrative Expenses: $28.4 million, or 18.0% of net sales, compared to $29.9 million, or 17.6%, in the same period in 2024.

International Segment

• Net Sales: $13.8 million for the three months ended September 30, 2025, an increase of 1.5% from $13.6 million in the same period in 2024.
• Gross Margin: $4.9 million, or 35.5%, compared to $4.7 million, or 34.6%, in the same period in 2024.
• Income (Loss) from Operations: -$2.6 million, compared to -$3.3 million in the same period in 2024.
• Distribution Expenses: 27.1% of net sales, compared to 25.4% in the same period in 2024.
• Selling, General and Administrative Expenses: $3.4 million, or 24.6% of net sales, compared to $4.5 million, or 33.1%, in the same period in 2024.

Cash Flow

• Net Cash Provided by Operating Activities: $3.9 million for the nine months ended September 30, 2025, compared to net cash used in operating activities of $1.7 million for the same period in 2024.
• Net Cash Used in Investing Activities: $3.1 million for the nine months ended September 30, 2025, compared to $1.6 million for the same period in 2024.
• Net Cash Provided by Financing Activities: $8.3 million for the nine months ended September 30, 2025, compared to net cash used in financing activities of $6.9 million for the same period in 2024.

Future Outlook and Strategy

• Core Business Focus: The company plans to relocate its east coast distribution operations to Hagerstown, Maryland, with expected exit costs of approximately $7.0 million and capital expenditures of approximately $9.0 million. The Hagerstown Facility is expected to be operational in the second quarter of 2026.
• Non-Core Business: Project Concord aims to propel growth and streamline the cost structure of the International operations, with expected improvements in sales growth and cost efficiencies.