A.k.a. Brands narrows Q2 loss, adjusted EBITDA up 44 percent

Net sales at A.k.a. Brands increased 9.5 percent or 10.1 percent constant currency basis to 148.9 million dollars in the second quarter. In the US, net sales increased 19.3 percent.

Net loss for the quarter narrowed to 2.3 million dollars or 22 cents per share, while adjusted EBITDA increased to 8 million dollars.

“Our second quarter results exceeded our expectations, showcasing the strength of our brands and the power of our business model. Importantly, our strong top-line growth translated into adjusted EBITDA of 8 million dollars, an increase of 44 percent compared to the same quarter last year,” said Ciaran Long, the company’s interim CEO and chief financial officer.

The company said in a release that the Princess Polly brand is on track to open stores in the Scottsdale Fashion Square and Fashion Valley Mall in San Diego in the third quarter and stores in Boston, Santa Clara and Irvine in the fourth quarter.

Culture Kings US registered another quarter of strong double-digit net sales growth and launched new licences and graphics including Pokemon, WWE, NHL and Halo, with more exclusive collaborations to come in the latter half of the year.

For the third quarter, the company expects net sales between 141 million dollars and 145 million dollars and adjusted EBITDA between 6 million dollars and 7 million dollars. For the full year, net sales are forecasted between 560 million dollars and 565 million dollars and adjusted EBITDA between 20 million dollars and 22 million dollars.