First Quarter Comparable Sales Increased 4.0%
Operating Loss Improved to $15.2 million
LYNNWOOD, Wash., June 04, 2026 (GLOBE NEWSWIRE) -- Zumiez Inc. (NASDAQ: ZUMZ) a leading specialty retailer of apparel, footwear, equipment and accessories for young men and women, today reported results for the first quarter ended May 2, 2026.
Net sales for the first quarter ended May 2, 2026 (13 weeks) increased 4.9% to $193.3 million from $184.3 million in the first quarter ended May 3, 2025 (13 weeks). Comparable sales for the thirteen weeks ended May 2, 2026, increased 4.0%. Net loss in the first quarter of fiscal 2026 was $13.3 million, or $0.82 per share, compared to a net loss of $14.3 million, or $0.79 per share, in the first quarter of the prior fiscal year. The first quarter of 2025 was negatively impacted by $2.9 million, or approximately $0.13 per share related to the settlement of a wage and hours lawsuit in California. Though operating income and net income improved year-over-year, EPS was down slightly given that the Company was in a loss position in the first quarter and reduced share counts through its share buyback programs.
On May 2, 2026, the Company had cash and current marketable securities of $124.2 million compared to cash and current marketable securities of $101.0 million on May 3, 2025. The increase was primarily driven by $47.5 million of cash flow from operations and the release of $3.0 million in restricted cash, partially offset by $19.0 million related to share repurchases and $10.5 million of capital expenditures. The Company repurchased 0.3 million shares during the first quarter of 2026 at an average cost including commission of $23.56 per share and a total cost of $6.2 million.
“We continue to make important progress towards sustained profitable growth,” said Rick Brooks, Chief Executive Officer of Zumiez Inc. “First quarter comparable sales increased mid-single digits for the second consecutive year driven by ongoing strength in our North American business and strong mid-single digit comps in Europe. Sales trends in the U.S. remained nicely positive during the quarter despite increasing pressure on consumers, underscoring the success of our recent merchandise assortments and customer experience initiatives. While still in the early innings, the work we are doing to replicate our full-price selling model in Europe is gaining traction, contributing to year-over-year improvements in sales and margin. Despite some softness in North America during the May period, we are encouraged that we have been able to grow sales and margin through the challenges in the macro environment and feel we are well positioned to capitalize during the key back-to-school and holiday seasons when the consumer has a reason to come out and shop.”
May 2026 Sales
Net sales for the four-week period ended May 30, 2026, increased 0.1% compared to the four-week period ended May 31, 2025. Comparable sales for the four-week period ending May 30, 2026, decreased 0.1% from the comparable period in the prior year. From a regional perspective, comparable sales for North America decreased 1.5% and other international comparable sales increased 7.2%.
Fiscal 2026 Second Quarter Outlook
The Company is introducing guidance for the three months ending August 1, 2026. Net sales are projected to be in the range of $210 to $215 million. Earnings per share are expected to be between a loss of $0.23 and a loss of $0.08.
In fiscal 2026 the Company currently intends to open approximately 5 new stores all located in North America and close roughly 26 stores, including 20 in North America and 6 internationally.
Conference call Information
To access the conference call, please pre-register using this link (Registration Link). Registrants will receive confirmation with dial-in details. The conference call will also be available to interested parties through a live webcast at https://ir.zumiez.com. To avoid delays, we encourage participants to dial into the conference call fifteen minutes ahead of the scheduled start time. A replay of the webcast will also be available for a limited time at https://ir.zumiez.com.
About Zumiez Inc.
Zumiez is a leading specialty retailer of apparel, footwear, accessories and hardgoods for young men and women who want to express their individuality through the fashion, music, art and culture of action sports, streetwear, and other unique lifestyles. As of May 30, 2026, we operated 715 stores, including 560 in the United States, 45 in Canada, 83 in Europe and 27 in Australia. We operate under the names Zumiez, Blue Tomato and Fast Times. Additionally, we operate ecommerce web sites at zumiez.com, zumiez.ca, blue-tomato.com and fasttimes.com.au.
Safe Harbor Statement
Certain statements in this press release and oral statements relating thereto made from time to time by representatives of the Company may constitute forward-looking statements for purposes of the safe harbor provisions under the Private Securities Litigation Reform Act of 1995. These statements include, without limitation, predictions and guidance relating to the Company's future financial performance, brand and product category diversity, ability to adjust product mix, integration of acquired businesses, growing customer demand for our products and new store openings. In some cases, you can identify forward-looking statements by terminology such as, "may," "should," "expects," "plans," "anticipates," "believes," "estimates," "predicts," "potential," "continue," or the negative of these terms or other comparable terminology. These forward-looking statements are based on management's current expectations, but they involve a number of risks and uncertainties. Actual results and the timing of events could differ materially from those anticipated in the forward-looking statements as a result of risks and uncertainties, which include, without limitation, those described in the Company’s annual report on Form 10-K for the fiscal year ended February 1, 2025 as filed with the Securities and Exchange Commission and available at www.sec.gov. You are urged to consider these factors carefully in evaluating the forward-looking statements herein and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by this cautionary statement. The forward-looking statements speak only as of the date on which they are made, and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.
CONDENSED CONSOLIDATED STATEMENTS OF LOSS
(In thousands, except per share amounts)
(Unaudited)
Three Months Ended May 2, 2026 % of Sales May 3, 2025 % of SalesNet sales $193,348 100.0% $184,343 100.0%Cost of goods sold 132,005 68.3% 129,028 70.0%Gross profit 61,343 31.7% 55,315 30.0%Selling, general and administrative expenses 76,535 39.6% 75,187 40.8%Operating loss (15,192) -7.9% (19,872) -10.8%Interest income, net 849 0.5% 2,255 1.2%Other (expense) income, net (112) -0.1% 1,844 1.0%Loss, before income taxes (14,455) -7.5% (15,773) -8.6%Benefit from income taxes (1,189) -0.6% (1,443) -0.8%Net loss $(13,266) -6.9% $(14,330) -7.8%Basic loss per share $(0.82) $(0.79) Diluted loss per share $(0.82) $(0.79) Weighted average shares used in computation of earnings per share Basic 16,205 18,116 Diluted 16,205 18,116
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands) May 2, 2026 January 31, 2026 May 3, 2025 (Unaudited) (Unaudited)Assets Current assets Cash and cash equivalents $66,918 $127,860 $62,519 Marketable securities 57,242 32,764 38,443 Receivables 14,147 13,957 14,839 Inventories 153,189 146,995 149,864 Prepaid expenses and other current assets 15,085 14,407 15,525 Total current assets 306,581 335,983 281,190 Fixed assets, net 70,473 72,813 79,703 Operating lease right-of-use assets 190,805 185,604 185,901 Goodwill 15,589 15,519 15,329 Intangible assets, net 15,411 15,513 14,665 Deferred tax assets, net 7,621 6,349 10,215 Other long-term assets 12,259 12,390 12,097 Total long-term assets 312,158 308,188 317,910 Total assets $618,739 $644,171 $599,100 Liabilities and Shareholders’ Equity Current liabilities Trade accounts payable $56,208 $49,150 $48,981 Accrued payroll and payroll taxes 17,659 28,221 16,563 Operating lease liabilities 55,824 54,023 54,388 Other current liabilities 27,767 36,136 26,943 Total current liabilities 157,458 167,530 146,875 Long-term operating lease liabilities 148,009 145,306 147,398 Other long-term liabilities 7,407 7,050 6,349 Total long-term liabilities 155,416 152,356 153,747 Total liabilities 312,874 319,886 300,622 Shareholders’ equity Preferred stock, no par value, 20,000 shares authorized; none issued and outstanding — — — Common stock, no par value, 50,000 shares authorized; 17,032 shares issued and outstanding at May 2, 2026, 16,971 shares issued and outstanding at January 31, 2026, and 17,770 shares issued and outstanding at May 3, 2025 213,822 211,764 205,595 Accumulated other comprehensive loss (12,419) (11,438) (16,746)Retained earnings 104,462 123,959 109,629 Total shareholders’ equity 305,865 324,285 298,478 Total liabilities and shareholders’ equity $618,739 $644,171 $599,100
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)
Three Months Ended May 2, 2026 May 3, 2025Cash flows from operating activities: Net loss $(13,266) $(14,330)Adjustments to reconcile net loss to net cash used in operating activities: Depreciation, amortization and accretion 4,898 5,387 Noncash lease expense 14,980 14,639 Deferred taxes (1,194) (1,473)Stock-based compensation expense 2,024 1,828 Impairment of long-lived assets 511 462 Other 126 (765)Changes in operating assets and liabilities: Receivables 777 (758)Inventories (6,534) (119)Prepaid expenses and other assets (729) 299 Trade accounts payable 7,145 (1,357)Accrued payroll and payroll taxes (10,537) (5,863)Income taxes payable (4,926) (259)Operating lease liabilities (15,947) (16,588)Other liabilities (5,423) (3,187)Net cash used in operating activities (28,095) (22,084) Cash flows from investing activities: Additions to fixed assets (1,707) (2,219)Purchases of marketable securities and other investments (27,088) (7,055)Sales and maturities of marketable securities and other investments 2,544 5,086 Net cash used in investing activities (26,251) (4,188) Cash flows from financing activities: Proceeds from the issuance and exercise of stock-based awards, net of tax 34 378 Repurchase of common stock (5,994) (25,215)Net cash used in financing activities (5,960) (24,837) Effect of exchange rate changes on cash, cash equivalents, and restricted cash (645) 1,608 Net decrease in cash, cash equivalents, and restricted cash (60,951) (49,501)Cash, cash equivalents, and restricted cash, beginning of period 134,113 121,517 Cash, cash equivalents, and restricted cash, end of period $73,162 $72,016 Supplemental disclosure on cash flow information: Cash paid during the period for income taxes $4,912 $412 Accrual for purchases of fixed assets 1,033 982 Accrual for repurchase of common stock 237 -
Company Contact:
Darin White
Director of Finance & Investor Relations
Zumiez Inc.
(425) 551-1500, ext. 1337
Investor Contact:
ICR
Brendon Frey
(203) 682-8200