Vera Bradley Stock Earnings Reports

Vera Bradley reported Q2 fiscal 2026 revenue of $70.9M, down ~25% year-over-year, with a net loss from continuing operations of $0.5M (non-GAAP) versus prior-year income. Direct revenues declined 16.2% to $60.5M and comparable sales fell 17.3%, while indirect revenues fell 52.5% to $10.3M. Gross margin held roughly steady at ~49.9% and SG&A declined due to prior restructuring and lower marketing spend. Cash was $15.2M with $10M drawn on a $75M ABL; inventory fell 13.2% to $96.7M. Management is not providing guidance as it executes a five-part transformation: (1) sharpen brand focus with renewed product, heritage reissues and social-first marketing (notable early wins: successful back-to-school, Disney/Peanuts launches, Gilmore Girls capsule sell-out, and a planned 100 bag reissue); (2) develop a cohesive omnichannel approach to reduce promotional friction and improve margins; (3) test “Outlet 2.0” to elevate outlet experience and productivity; (4) improve operating model and retail fundamentals; and (5) reorganize the company to be more agile and cost-effective. Management highlighted sequential improvement in comps and margin trends, is optimizing inventory and SKU counts, and is addressing an estimated $11M annualized tariff impact through sourcing and go-to-market adjustments. A CEO search is ongoing.