Financial PerformanceAdjusted EBITDA declined by 3.7% YOY, with a decrease in gross profit and a contraction in gross margin partly due to the growth in complex product categories.
Guidance WithdrawalThe company withdrew guidance for fiscal year 2025 and beyond due to uncertainty in the tariff environment, with potential cost impacts especially in promotional products, apparel, and gifts sourced from China.
Revenue ShortfallThe revenue shortfall was driven by lower-than-expected consumer products revenue in the company’s largest business segment, Vista, particularly in the United States.