Duluth narrows Q1 loss 34% on margin expansion despite 4% sales decline

Filed June 9, 2026 · Period ending May 3, 2026 · Compared to 10-Q Jun 6, 2025 · ~1 min read

Key Changes

• high

  Net loss improved to $10.0M from $15.3M prior year, while adjusted EBITDA swung positive to $2.6M from negative $3.8M, marking operational turnaround despite 4% revenue decline to $98.6M.

  MD&A: Financial Results verify on EDGAR →
• high

  Gross margin expanded 540 basis points to 57.4% from 52.0%, driven by reduced promotional activity and direct-to-factory sourcing, reversing prior year's clearance-driven margin compression.

  MD&A: Gross Margin verify on EDGAR →
• medium

  Company recorded $1.4M restructuring charge and $2.7M impairment for Salt Lake City fulfillment center closure, consolidating distribution network; interest expense fell 47% on lower borrowings.

  MD&A: Operating Expenses verify on EDGAR →