Sub-brands Success
Sub-brands like Festi, Belle Isle, Nightfall, and Retro Chic have exceeded expectations by 2 to 6 times. These brands are attracting new, younger customers and reactivating lapsed ones, with a high attachment rate of 90% to core Torrid products.
Digital Channel Growth
Online sales demand is approaching 70% of total sales, expected to reach mid-70% by 2026. The digital channel is outperforming physical stores, with significant growth in new customer acquisition and retention.
Store Optimization Plan
Plan to close approximately 180 stores in 2025 with minimal impact on net sales. Strategy aims to optimize the retail footprint, enhance customer experience, and improve EBITDA margins by 150 to 250 basis points in 2026.
Financial Health
Ended the quarter with $23.7 million in cash and $141 million in total liquidity. Reduced total debt by $16.2 million year-over-year to $284.5 million.
Strong Marketing Performance
Successful marketing strategies, including a Coachella activation, led to increased engagement and new customer acquisition. The mobile app reached a new revenue high.