Land’s End reports 39 percent growth in FY21 adjusted EBITDA

For the fiscal year, Land’s End net revenue increased 14.7 percent to 1.64 billion dollars. The company’s global ecommerce net revenue increased 5.3 percent, driven by U.S. ecommerce increase of 6.8 percent, partially offset by a drop in international ecommerce of 0.8 percent.

Outfitters net revenue for the quarter increased 45.9 percent, while third party net revenue increased 116.6 percent with the launch of the Kohl’s business in third quarter fiscal 2020 and the expansion from 150 to 300 locations in the third quarter fiscal 2021.

Gross margin decreased approximately 10 basis points to 42.3 percent. Net income was 33.4 million dollars or 99 cents per diluted share compared to 10.8 million dollars or 33 cents per diluted share in fiscal 2020. Adjusted EBITDA grew by 39 percent to 120.9 million dollars.

Commenting on the results, Jerome Griffith, the company’s chief executive officer, stated: “We generated the highest revenue the company has seen since 2011 and the highest adjusted EBITDA since 2014, as we advanced our strategic growth pillars while taking steps to mitigate the macro headwinds.”

Land’s End Q4 revenues increase 3.2 percent

For the fourth quarter, the company’s net revenue increased 3.2 percent to 555.4 million dollars. Global ecommerce net revenue was 441.5 million dollars, a decrease of 4.4 percent as a result of shipping delays caused by supply chain challenges. Compared to the fourth quarter of last year, U.S. ecommerce decreased 2.2 percent and international ecommerce decreased 14.6 percent.

The company said, Outfitters net revenue was 61.8 million dollars, an increase of 43.6 percent, while third party net revenue, which includes sales on third-party marketplaces and U.S. wholesale revenues, was 36.3 million dollars in the fourth quarter.

Gross margin decreased approximately 360 basis points to 35.9 percent as compared to 39.5 percent in the fourth quarter last year. Net income was 7.1 million dollars or 21 cents per diluted share compared to 19.9 million dollars or 60 cents per diluted share in the fourth quarter of fiscal 2020.

Adjusted EBITDA decreased to 27.3 million dollars compared to 46.1 million dollars in the fourth quarter of fiscal 2020.

Land’s End reveals Q1 and FY22 outlook

For the first quarter of fiscal 2022, the company expects net revenue to be between 320 million dollars and 335 million dollars, net loss to be between 4 million dollars and 2 million dollars and diluted loss per share to be between 12 cents and 6 cents. Adjusted EBITDA is expected to be in the range of 12 million dollars to 15 million dollars.

For fiscal 2022, the company expects net revenue to be between 1.68 billion dollars and 1.75 billion dollars, net income to be between 24 million dollars and 35 million dollars and diluted earnings per share to be between 71 cents and 1.04 dollars. Adjusted EBITDA is expected to be in the range of 105 million dollars to 120 million dollars.