Vera Bradley Q1 revenue rises, adjusted loss narrows

Vera Bradley

11/06/2026 13:13

Overview
U.S. handbag and accessories maker's Q1 revenue rose 7.8%, first growth since fiscal 2022
Company's non-GAAP net loss narrowed sharply year-over-year
Gross margin expanded and expenses fell, driven by cost optimization and sales mix

Outlook
Vera Bradley sees fiscal 2027 net revenues between $255 mln and $270 mln
Company expects at least 50% improvement in non-GAAP operating loss versus prior year
Guidance reflects absence of annual outlet sale and rebuilding of wholesale business

Result Drivers
SALES MIX AND COSTS - Gross margin expansion was driven by a more favorable sales mix and lower freight and duty costs
COST OPTIMIZATION - SG&A expense fell nearly 15% year-over-year due to cost optimization, including lower personnel costs, optimized marketing spend, and reduced lease costs
DIRECT AND INDIRECT SEGMENT GROWTH - Direct segment comparable sales rose 13.4% on improved ecommerce conversion, higher average ticket, and increased store traffic; Indirect segment revenue rose 26.6% due to improved specialty and department store performance and growth across key accounts

Company press release: ID:nGNXc0hB49

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$55.70 mln
$49.12 mln (1 Analyst)
Q1 Adjusted EPS
Miss
-$0.36
-$0.33 (1 Analyst)
Q1 EPS
 
-$0.17
 
Q1 Net Income
 
-$4.83 mln
 

Analyst Coverage
The one available analyst rating on the shares is "hold"
The average consensus recommendation for the apparel & accessories peer group is "buy."

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)