Lulus Q2 FY26 net loss narrows to $1.5 million; revenue drops 17% to $67.8 million
LVLU•Inventory reset and outlook reaffirmed
Inventory dropped 23% to $28.6 million, reflecting a reset in casual apparel and footwear; wholesale revenue nearly doubled.
Lulus reaffirmed its fiscal 2026 outlook, expecting adjusted EBITDA to turn positive and capital spending of $2 million to $2.5 million.
Q2 results show lower revenue but improved margins
Lulu's Fashion Lounge posted Q2 net revenue of $67.8 million, down 17% year over year on 17% fewer orders.
Net loss narrowed to $1.5 million. Gross margin rose 3.3 percentage points to 48.6%, its highest second-quarter rate since 2021.
Adjusted EBITDA turned positive at $1 million. Active customers fell 13% to 2.2 million.
