Vince Holding reported a narrower-than-expected Q1 loss and raised full-year guidance amid strong sales growth and margin expansion.
Vince Holding (NASDAQ:VNCE) shares surged 21% after reporting a Q1 adjusted loss of $0.16 per share, beating estimates of a $0.37 loss. Net sales rose 10.5% year over year to $64 million, surpassing the $60 million forecast and up from $57.9 million in the prior-year quarter.
Direct-to-consumer sales climbed 15.6% to $32 million, while wholesale revenue increased 5.9% to $32.1 million. Gross profit improved to $32.4 million from $29.2 million, with gross margin expanding to 50.6% from 50.3%, driven by higher pricing and reduced discounting.
The company raised its full-year guidance, citing momentum in customer growth and full-price sales. CEO Brendan Hoffman noted continued strength into Q2, emphasizing sustained profitable growth.