J.Jill Q1 Revenue Drops 6% to $144M, EBITDA Halves to $16.7M
JILL•J.Jill’s Q1 revenue declined 6% year-over-year to $144 million, while adjusted EBITDA plunged to $16.7 million from $27.3 million and gross margin contracted by 350 basis points to 68.3%. Direct sales slid 8%, free cash flow was negative $1.1 million, and ending cash stood at $36.3 million.
1. Q1 Sales and Profitability
J.Jill reported total Q1 revenue of $144 million, down 6% from the prior year, driven by a 4% drop in retail sales and an 8.7% comparable sales decline. Adjusted EBITDA fell to $16.7 million from $27.3 million, while gross margin contracted 350 basis points to 68.3%.
2. Cash Flow and Liquidity
Cash from operations totaled $1.7 million, with free cash flow at negative $1.1 million for the quarter. The company ended Q1 with $36.3 million in cash and reduced interest expense to $1.9 million.
3. Operational Initiatives and Channel Performance
Direct sales, representing 46% of revenue, declined 8% year-over-year, partially offset by new store sales from a total of 255 locations. J.Jill is enhancing its e-commerce experience with fabric guides and lookbooks and implementing a new merchandise planning and allocation system to improve demand forecasting and inventory allocation.
