Vince raises its outlook as sales grow nearly 12%

Vince Holding ($VNCE) reported second-quarter revenue of $81.8 million, up 11.7%, with direct-to-consumer sales rising 13.7% and wholesale sales increasing 10.4%. The company raised its outlook for the Vince business, now expecting full-year sales growth of 8–10% and an adjusted EBITDA margin of 9.0–9.5%. Those forecasts exclude the newly acquired OVO business.

The earnings comparison requires care. Reported gross margin of 60.9% included a $10.4 million tariff-refund benefit; without that benefit, gross margin was 48.2%, below the prior-year reported 50.4%. The revised forecast also incorporates tariff refunds. The update therefore combines genuine revenue expansion with a significant nonrecurring contribution to profitability, rather than showing that the entire margin increase came from stronger merchandising or lower ongoing operating costs.

Sources:

• Vince — quarterly results, Business Wire