Vince Q1 2025 expects sales decline with Q4 strongly

The luxury brand and VINCE (VNCE) brand (VNCE) has reported a net sales of $ 293.45 million for the fiscal year 2024 (FY24), an increase of 0.2 % from $ 292.89 million in the fiscal year 2023 (FY23).

This growth was driven by the wholesale company, which saw a 10.5 % increase in sales, as a total of 165.35 million dollars, while the direct channel to the customer witnessed a decrease of 10.4 %.

The total VINCE profit for the company was $ 145.18 million, which represents 49.5 % of net sales, an increase of the previous year 133.29 million dollars, or 45.5 % in the 23rd year.

The totality reinforcement is due to the improvement of approximately 330 basis points due to the decrease in promotional activities and discount, along with about 320 basis points due to the low product costs and shipping expenses.

However, this was partially balanced by about 150 basis points in the expenses of kings related to the licensing agreement.

The expenses of sales, public and administrative of the company increased to 138.12 million dollars in the fiscal year 24 from 134.48 million dollars in the 23rd fiscal year, due to a large extent to the high costs of compensation and the increase in lease expenses and work resulting from rental amendments in the fiscal year 2023.

Vince recorded a $ 17.18 operating loss, a major transformation of operating income of $ 31.62 million in the previous year.

The net loss for the fiscal year amounted to $ 19.0 million, equivalent to a loss per share of $ 1.51.

In the fourth quarter alone, the net sales of Vince increased by 6.2 % to $ 79.95 million, compared to $ 75.31 million in the same quarter of the fiscal year 2023.

The total profit for a quarter increased to 40.08 million dollars from the fourth total profit of $ 34.17 million in the fiscal year 2023.

“Since his return to the role of the CEO earlier this year, my initial notes have been strengthened. I was affected by the flexibility and depth of our leadership team and the progress that has been made in promoting the foundation and the general action model,” said Brendan Hoffman’s CEO of VNCE Brendan Hoffman.

“The most powerful end of this year is also a testimony to the team, which are high -quality products that they have made in the echo of customers, as well as improvements in operational efficiency from our transformation initiatives.”

We look forward to the first quarter of the fiscal year 2025, Vince expects a decrease of approximately 5 % in net sales and an approximate decrease in the general margin of the modified margin compared to the previous year, and does not represent any significant impact of the new tariff policies within the quarter.

Because of the uncertainty about the effects and the possible period of the current customs tariff policies, the company does not provide full financial guidelines for the year 2025.