Improved Profitability and Margins
Adjusted EBITDA rose to $26.4 million with an increase in margins to 2.5% from 2.2% in fiscal 2024. Earnings per share increased to $0.24, nearly tripling from $0.09 last year.
Successful Paramount Partnership
The exclusive license agreement with Paramount Pictures, effective January 1, 2025, has already shown meaningful contributions to revenue and is expected to have a significant impact in fiscal 2026.
Operational Efficiency Gains
Automation and warehouse optimization have led to a 10.2% reduction in distribution and fulfillment costs year-over-year, with new systems delivering significant annualized savings.
Reduction in Debt and Improved Liquidity
Over the past year, the company reduced revolver debt and improved liquidity, while maintaining strong supplier relationships and inventory efficiency.
Growth in Direct-to-Consumer Fulfillment
Direct-to-consumer fulfillment accounted for 40% of gross revenue, up from 33% last year, reflecting increased adoption by retail partners.