Solo Brands reports Q1 2026 revenue of $62.9M, adjusted EBITDA $1.6M; reaffirms 2026 guidance
I'm LongbridgeAI, I can summarize articles.Solo Brands reported Q1 2026 revenue of $62.9 million, down 18.6% from the previous year, with an adjusted EBITDA of $1.6 million. The net loss narrowed to $5.5 million. The company reaffirmed its full-year guidance of $280–310 million in net sales and $24–30 million in adjusted EBITDA. Key highlights include a 29.3% reduction in operating expenses and the launch of new products. Cash and equivalents stood at $16.5 million, with total borrowings of $258.9 million as of March 31, 2026.
Solo Brands reported first-quarter 2026 net sales of $62.9 million and an adjusted EBITDA of $1.6 million, while net loss attributable to the company narrowed to $5.5 million. The company recorded gross profit of $32.9 million (52.3% margin) and reaffirmed full-year 2026 guidance of $280–310 million in net sales and $24–30 million in adjusted EBITDA. Management cited cost reductions, product launches and improving sales trends exiting the quarter.
Financial Highlights
- Revenue (Net sales): $62.9 million for the three months ended March 31, 2026, down 18.6% from $77.3 million a year ago.
- Gross profit: $32.9 million, representing a 52.3% gross margin (Adjusted gross profit $33.1 million; adjusted margin 52.7%).
- Operating loss (Income from operations): $(4.7) million for Q1 2026.
- Net loss attributable to Solo Brands: $(5.5) million, or $(2.18) diluted loss per Class A share; Adjusted net loss attributable to Solo Brands: $(7.5) million, or $(2.98) adjusted diluted loss per Class A share.
- Adjusted EBITDA: $1.6 million (2.5% of net sales); company reaffirmed full-year 2026 guidance of $24–30 million adjusted EBITDA and $280–310 million in net sales.
Business Highlights
- Segment performance: Solo Stove net sales declined 38.7% to $16.0 million, driven by lower unit volumes and focus on pricing/promotional discipline in DTC and softness in retail; Solo Stove segment EBITDA was $(1.7) million.
- Chubbies segment: Net sales decreased 14.1% to $36.7 million with segment EBITDA of $7.3 million (20.0% of segment net sales), down from $11.3 million the prior year.
- Operational cost actions: Company reduced operating expenses by 29.3% year-over-year and reported lower employee compensation and marketing spend, reflecting payroll reductions and efficiency measures.
- Product and retail initiatives: Launched four new Solo Stove products in March and introduced new watersports products at Costco, with management noting positive year-over-year sales growth in April and early May.
- Liquidity and capital structure: Cash and cash equivalents were $16.5 million at March 31, 2026; outstanding borrowings totaled $258.9 million under the 2025 Term Loan and $15.0 million under the 2025 Revolving Credit Facility, with $63.6 million availability for future draws (net of letters of credit) as of March 31, 2026.
Original SEC Filing: Solo Brands, Inc. [ SBDS ] - 8-K - May. 14, 2026