Playboy's Q3 revenue beats estimates on increased Honey Birdette sales

Playboy

05/11/2026 21:30

Overview
Pleasure and leisure brand's Q3 revenue rose 9.4% yr/yr, driven by Honey Birdette and licensing royalties 
Net income for Q3 rose 305% to $1.9 mln
In November, company signed agreement to acquire Miami Beach property for future membership club 

Outlook
Company expects to recoup $5 mln Miami club investment from future membership sales
Company says licensing business anchored by $324 mln in contractual minimum guarantees
Company continues to focus on asset-light model in licensing, media and hospitality

Result Drivers
HONEY BIRDETTE AND LICENSING - Q3 revenue growth was driven by strong Honey Birdette sales, increased licensing royalties from China, and higher magazine and paid-voting revenue
MARGIN EXPANSION - Gross margin in direct-to-consumer segment improved, reflecting higher operating leverage
LOWER EXPENSES - Higher operating income was partly attributed to lower legal expenses and release of a U.S. sales tax reserve

Company press release: ID:nGNXbgHJkP

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$31.71 mln
$30.32 mln (2 Analysts)
Q3 Net Income
 
$1.86 mln
 
Q3 Adjusted EBITDA
Beat
$7.92 mln
$5.002 mln (2 Analysts)
Q3 Basic EPS
 
$0.02
 
Q3 Operating Expenses
 
$27.71 mln
 
Q3 Operating Income
 
$4 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the apparel & accessories retailers peer group is "buy"
Wall Street's median 12-month price target for Playboy Inc is $3.00, about 119% above its November 4 closing price of $1.37
The stock recently traded at 38 times the next 12-month earnings vs. a P/E of 33 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)