FIGS Q4 Revenue Climbs 33% to $201.9M, Guides 10–12% Growth
FIGS reported Q4 net revenue of $201.9 million, up 33% year-over-year, driven by a 29% U.S. sales increase and 55% international growth. Gross margin fell 440 basis points to 62.9% following a $5.6 million inventory write-off, and management guided fiscal 2026 revenue growth of 10–12% with operating margin of 7.6–7.9%.
1. Q4 Revenue and Customer Growth
FIGS delivered net revenue of $201.9 million in Q4, a 33% increase compared to prior year, with U.S. sales up 29% to $164.2 million and international revenue up 55% to $37.7 million. Active customers rose 9% to a record 2.9 million, boosting trailing 12-month net revenue per customer to $216.
2. Margin Decline and Profit Metrics
Gross margin declined 440 basis points to 62.9%, primarily due to a $5.6 million inventory write-off, higher tariff pressures, and lapping of a duty drawback benefit. Adjusted EBITDA was $26.7 million (13.2% margin) and net income reached $18.5 million, up from $1.9 million year-over-year.
3. Balance Sheet and Retail Expansion
At year-end, FIGS held $300.8 million in cash and short-term investments against $128 million in inventory. The company expanded its retail footprint to five community hubs and has $52 million remaining in share repurchase authorization.
4. Fiscal 2026 Guidance and Outlook
Management projects fiscal 2026 net revenue growth of 10%–12% and operating margin of 7.6%–7.9%, expecting Q1 revenue growth in the low-20% range. Tariff headwinds of approximately 280 basis points are anticipated, offset by pricing actions and improved product costing.