Digital Brands Group Inc Financials
Financial Health Signals
Digital Brands Group Inc passes 1 of 9 financial strength tests. 1 of 4 profitability signals pass, no leverage/liquidity signals pass (rising debt, declining liquidity, or share dilution), neither operating efficiency signal passes.
For every $1 of reported earnings, Digital Brands Group Inc generates $0.47 in operating cash flow (-$6.2M OCF vs -$13.1M net income). This low ratio suggests earnings are primarily driven by accounting accruals rather than cash generation, which may not be sustainable.
Digital Brands Group Inc earns $-3.5 in operating income for every $1 of interest expense (-$10.2M vs $2.9M). This narrow margin raises concern about the company's ability to service its debt if operating income declines.
This page shows Digital Brands Group Inc (DBGI) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 5 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Key Financial Metrics
Digital Brands Group Inc generated $11.6M in revenue in fiscal year 2024. This represents a decrease of 22.5% from the prior year.
Digital Brands Group Inc's EBITDA was -$7.7M in fiscal year 2024, measuring earnings before interest, taxes, depreciation, and amortization. This represents a decrease of 766.9% from the prior year.
Digital Brands Group Inc reported -$13.1M in net income in fiscal year 2024. This represents a decrease of 27.9% from the prior year.
Digital Brands Group Inc earned $-76.71 per diluted share (EPS) in fiscal year 2024. This represents an increase of 83.2% from the prior year.
Digital Brands Group Inc held $164K in cash against $0 in long-term debt as of fiscal year 2024.
Digital Brands Group Inc had 838,584 shares outstanding in fiscal year 2024. This represents an increase of 3663.0% from the prior year.
Digital Brands Group Inc's gross margin was 31.5% in fiscal year 2024, indicating the percentage of revenue retained after direct costs. This is down 12.3 percentage points from the prior year.
Digital Brands Group Inc's operating margin was -88.3% in fiscal year 2024, reflecting core business profitability. This is down 74.2 percentage points from the prior year.
Digital Brands Group Inc's net profit margin was -113.4% in fiscal year 2024, showing the share of revenue converted to profit. This is down 44.7 percentage points from the prior year.
DBGI Income Statement
| Metric | Q3'25 | Q2'25 | Q1'25 | Q3'24 | Q2'24 | Q1'24 | Q4'23 | Q3'23 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $1.7M-26.5% | $2.3M+20.3% | $1.9M-12.6% | $2.1M-36.9% | $3.4M-5.0% | $3.6M+31.2% | $2.7M-16.3% | $3.3M |
| Cost of Revenue | $947K-38.5% | $1.5M+54.1% | $999K-65.5% | $2.9M+57.8% | $1.8M-1.0% | $1.9M-17.2% | $2.2M+44.2% | $1.6M |
| Gross Profit | $707K-0.7% | $712K-18.4% | $872K+215.3% | -$757K-148.6% | $1.6M-9.4% | $1.7M+254.7% | $485K-71.5% | $1.7M |
| R&D Expenses | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| SG&A Expenses | $2.2M+43.6% | $1.5M-22.6% | $2.0M-14.4% | $2.3M-21.8% | $2.9M+203.2% | $972K-52.1% | $2.0M-45.7% | $3.7M |
| Operating Income | -$3.3M-67.7% | -$2.0M+0.6% | -$2.0M+59.5% | -$4.9M-114.1% | -$2.3M-924.8% | -$225K+91.4% | -$2.6M+23.9% | -$3.4M |
| Interest Expense | $129K+1.0% | $127K-5.7% | $135K-70.3% | $454K-63.4% | $1.2M+145.5% | $505K+142.9% | -$1.2M-160.2% | $2.0M |
| Income Tax | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Net Income | -$3.5M-63.0% | -$2.1M-1.3% | -$2.1M+61.1% | -$5.4M-53.0% | -$3.5M-413.4% | -$684K+81.6% | -$3.7M+31.6% | -$5.4M |
| EPS (Diluted) | $-1.18-45.7% | $-0.81+12.0% | $-0.92 | $132.02+226.7% | $-104.18-352.6% | $-23.02 | $-416.06 | $-14.55 |
DBGI Balance Sheet
| Metric | Q3'25 | Q2'25 | Q1'25 | Q3'24 | Q2'24 | Q1'24 | Q4'23 | Q3'23 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $41.2M+48.1% | $27.8M+2.1% | $27.2M+37.0% | $19.9M-20.3% | $24.9M+0.4% | $24.8M-1.9% | $25.3M-8.7% | $27.7M |
| Current Assets | $20.0M+210.1% | $6.5M-48.3% | $12.5M+165.4% | $4.7M-28.4% | $6.6M+9.3% | $6.0M+8.0% | $5.6M-27.3% | $7.7M |
| Cash & Equivalents | $6.7M+1135.2% | $543K-75.8% | $2.2M+1264.8% | $164K+77.2% | $93K+719.0% | $11K-45.5% | $21K-98.1% | $1.1M |
| Inventory | $4.3M+6.0% | $4.1M-4.2% | $4.3M+11.2% | $3.8M-24.4% | $5.1M+8.9% | $4.6M-4.1% | $4.8M+3.0% | $4.7M |
| Accounts Receivable | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Goodwill | $9.0M0.0% | $9.0M0.0% | $9.0M0.0% | $9.0M0.0% | $9.0M0.0% | $9.0M0.0% | $9.0M0.0% | $9.0M |
| Total Liabilities | $25.2M+21.7% | $20.7M-1.5% | $21.0M-0.9% | $21.2M-4.5% | $22.2M+1.6% | $21.9M-7.9% | $23.7M+5.4% | $22.5M |
| Current Liabilities | $24.8M+28.0% | $19.4M-1.6% | $19.7M-5.4% | $20.8M-2.8% | $21.4M+0.3% | $21.4M-8.0% | $23.2M+3.8% | $22.4M |
| Long-Term Debt | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Equity | $16.0M+125.0% | $7.1M+14.2% | $6.2M+568.5% | -$1.3M-148.7% | $2.7M-8.4% | $3.0M+85.9% | $1.6M-69.3% | $5.2M |
| Retained Earnings | -$134.8M-2.6% | -$131.3M-1.6% | -$129.2M-1.6% | -$127.1M-7.5% | -$118.2M-3.1% | -$114.7M-0.6% | -$114.0M-3.4% | -$110.3M |
DBGI Cash Flow Statement
| Metric | Q3'25 | Q2'25 | Q1'25 | Q3'24 | Q2'24 | Q1'24 | Q4'23 | Q3'23 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | -$5.1M-221.5% | -$1.6M+65.0% | -$4.5M-63.6% | -$2.8M-70.5% | -$1.6M-30.2% | -$1.2M-378.8% | $445K+112.8% | -$3.5M |
| Capital Expenditures | N/A | N/A | N/A | $1-100.0% | $10K-27.3% | $14K+657.4% | $2K | $0 |
| Free Cash Flow | N/A | N/A | N/A | -$542K+66.7% | -$1.6M-29.6% | -$1.3M-383.0% | $443K+112.7% | -$3.5M |
| Investing Cash Flow | N/A | N/A | N/A | -$1+100.0% | -$10K+27.3% | -$14K-129.0% | $47K+361.0% | -$18K |
| Financing Cash Flow | $16.9M+13686.6% | -$125K-101.9% | $6.6M+152.7% | $2.6M+52.7% | $1.7M+37.1% | $1.2M+180.5% | -$1.5M-136.7% | $4.2M |
| Dividends Paid | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Share Buybacks | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
DBGI Financial Ratios
| Metric | Q3'25 | Q2'25 | Q1'25 | Q3'24 | Q2'24 | Q1'24 | Q4'23 | Q3'23 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 42.7%+11.1pp | 31.6%-15.0pp | 46.6%+81.9pp | -35.3%-81.2pp | 45.9%-2.2pp | 48.1%+30.3pp | 17.8%-34.5pp | 52.3% |
| Operating Margin | -201.3%-113.1pp | -88.2%+18.5pp | -106.7%+123.5pp | -230.1%-162.3pp | -67.8%-61.5pp | -6.3%+89.3pp | -95.6%+9.5pp | -105.1% |
| Net Margin | -208.7%-114.7pp | -94.1%+17.6pp | -111.7%+139.1pp | -250.7%-147.4pp | -103.4%-84.3pp | -19.1%+117.3pp | -136.4%+30.5pp | -166.9% |
| Return on Equity | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Return on Assets | -8.4%-0.8pp | -7.6%+0.1pp | -7.7%+19.3pp | -27.0%-12.9pp | -14.1%-11.3pp | -2.8%+11.9pp | -14.7%+4.9pp | -19.6% |
| Current Ratio | 0.81+0.5 | 0.33-0.3 | 0.63+0.4 | 0.23-0.1 | 0.31+0.0 | 0.28+0.0 | 0.24-0.1 | 0.34 |
| Debt-to-Equity | 1.58-1.3 | 2.92-0.5 | 3.38+19.3 | -15.97-24.1 | 8.14+0.8 | 7.34-7.5 | 14.81+10.5 | 4.31 |
| FCF Margin | N/A | N/A | N/A | -22.2%+25.7pp | -47.9%-12.8pp | -35.1%-51.3pp | 16.3%+123.0pp | -106.7% |
Note: Shareholder equity is negative (-$1.3M), which causes debt-to-equity and return on equity ratios to appear negative or not meaningful. This can occur from accumulated losses or large share buyback programs.
Note: The current ratio is below 1.0 (0.23), indicating current liabilities exceed current assets, which may suggest potential short-term liquidity concerns.
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Frequently Asked Questions
What is Digital Brands Group Inc's annual revenue?
Digital Brands Group Inc (DBGI) reported $11.6M in total revenue for fiscal year 2024. This represents a -22.5% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Digital Brands Group Inc's revenue growing?
Digital Brands Group Inc (DBGI) revenue declined by 22.5% year-over-year, from $14.9M to $11.6M in fiscal year 2024.
Is Digital Brands Group Inc profitable?
No, Digital Brands Group Inc (DBGI) reported a net income of -$13.1M in fiscal year 2024, with a net profit margin of -113.4%.
What is Digital Brands Group Inc's earnings per share (EPS)?
Digital Brands Group Inc (DBGI) reported diluted earnings per share of $-76.71 for fiscal year 2024. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.
What is Digital Brands Group Inc's EBITDA?
Digital Brands Group Inc (DBGI) had EBITDA of -$7.7M in fiscal year 2024, measuring earnings before interest, taxes, depreciation, and amortization.
What is Digital Brands Group Inc's gross margin?
Digital Brands Group Inc (DBGI) had a gross margin of 31.5% in fiscal year 2024, indicating the percentage of revenue retained after direct costs of goods sold.
What is Digital Brands Group Inc's operating margin?
Digital Brands Group Inc (DBGI) had an operating margin of -88.3% in fiscal year 2024, reflecting the profitability of core business operations before interest and taxes.
What is Digital Brands Group Inc's net profit margin?
Digital Brands Group Inc (DBGI) had a net profit margin of -113.4% in fiscal year 2024, representing the share of revenue converted into profit after all expenses.
What is Digital Brands Group Inc's operating cash flow?
Digital Brands Group Inc (DBGI) generated -$6.2M in operating cash flow during fiscal year 2024, representing cash generated from core business activities.
What are Digital Brands Group Inc's total assets?
Digital Brands Group Inc (DBGI) had $19.9M in total assets as of fiscal year 2024, including both current and long-term assets.
How many shares does Digital Brands Group Inc have outstanding?
Digital Brands Group Inc (DBGI) had 838,584 shares outstanding as of fiscal year 2024.
What is Digital Brands Group Inc's current ratio?
Digital Brands Group Inc (DBGI) had a current ratio of 0.23 as of fiscal year 2024, which is below 1.0, which may suggest potential liquidity concerns.
What is Digital Brands Group Inc's debt-to-equity ratio?
Digital Brands Group Inc (DBGI) had a debt-to-equity ratio of -15.97 as of fiscal year 2024, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Digital Brands Group Inc's return on assets (ROA)?
Digital Brands Group Inc (DBGI) had a return on assets of -65.9% for fiscal year 2024, measuring how efficiently the company uses its assets to generate profit.
What is Digital Brands Group Inc's cash runway?
Based on fiscal year 2024 data, Digital Brands Group Inc (DBGI) had $164K in cash against an annual operating cash burn of $6.2M. This gives an estimated cash runway of approximately 0 months at the current burn rate. Cash runway measures how long a company can continue operating before running out of cash, assuming no additional funding.
Why is Digital Brands Group Inc's debt-to-equity ratio negative or unusual?
Digital Brands Group Inc (DBGI) has negative shareholder equity of -$1.3M as of fiscal year 2024, which causes the debt-to-equity ratio to appear negative or not meaningful. This can occur when accumulated losses exceed invested capital, or after large share buyback programs. Other solvency metrics like the current ratio or interest coverage may be more informative.
What is Digital Brands Group Inc's Piotroski F-Score?
Digital Brands Group Inc (DBGI) has a Piotroski F-Score of 1 out of 9, indicating weak financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7–9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Digital Brands Group Inc's earnings high quality?
Digital Brands Group Inc (DBGI) has an earnings quality ratio of 0.47x, considered low quality (accrual-driven). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Digital Brands Group Inc cover its interest payments?
Digital Brands Group Inc (DBGI) has an interest coverage ratio of -3.5x, meaning it can struggle to cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.