J.Jill sees Q3 net sales up 3% to 5% vs. fiscal 2025
Company raises FY26 outlook, expects net sales flat to up 2% vs. fiscal 2025
J.Jill expects FY26 adjusted EBITDA of $75 mln to $80 mln
The company sees third-quarter net sales up 3% to 5% versus fiscal 2025. It raised its full-year FY26 outlook and now expects net sales to be flat to up 2% versus fiscal 2025, with adjusted EBITDA of $75 million to $80 million.
Overview
U.S. apparel retailer's fiscal Q2 net sales rose 0.5%, beating analyst expectations
Adjusted EPS for fiscal Q2 beat analyst expectations
Company benefited from $13.3 mln tariff refund, boosting gross margin and profitability
J.Jill said fiscal second-quarter net sales rose 0.5% and adjusted earnings beat analyst expectations, helped by a $13.3 million tariff refund that boosted gross margin and profitability.
Result drivers
TARIFF REFUND - $13.3 mln tariff refund boosted gross margin and profitability
DIRECT TO CONSUMER SALES - Direct to consumer net sales grew 1.9% year-over-year, supporting overall sales growth
STRATEGIC INITIATIVES - Progress on product assortment and customer journey cited as contributing to results, per CEO Mary Ellen Coyne
Direct-to-consumer net sales grew 1.9% year-over-year, supporting overall sales growth. CEO Mary Ellen Coyne said progress on product assortment and the customer journey contributed to the results.
Key financial details and analyst coverage
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Beat
$154.83 mln
$151.26 mln (5 Analysts)
Q2 Adjusted EPS
Beat
$1.24
$0.57 (5 Analysts)
Q2 Adjusted EBITDA
$32.82 mln
Q2 Adjusted EBITDA Margin
21.20%
Q2 Comparable Sales Growth
0.50%
Q2 Gross Profit
$118.98 mln
Q2 Operating Income
$24.28 mln
Q2 Pretax Profit
$23.49 mln
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell". The average consensus recommendation for the apparel & accessories retailers peer group is "buy".
Wall Street's median 12-month price target for J.Jill is $18.00, about 9.3% below its September 8 closing price of $19.84. The stock recently traded at 9 times the next 12-month earnings versus a P/E of 6 three months ago.
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