Destination XL Group, Inc. Reports Third Quarter Financial Results
Rhea-AI Summary
Destination XL Group (NASDAQ: DXLG) reported third quarter fiscal 2025 results: sales $101.9M (down 5.2% vs. prior year), comparable sales -7.4%, net loss $4.1M or $(0.08) per diluted share, and Adjusted EBITDA $(2.0M). Cash and investments were $27.0M at Nov 1, 2025 (vs. $43.0M prior year); no outstanding debt. The company extended its credit facility to Aug 13, 2030 with up to $100M capacity and announced a merger of equals with FullBeauty. Strategic priorities: shift to private brands (57% to >60% in 2026, >65% in 2027), expand proprietary FiTMAP sizing (30,000 scans; 88 stores; +100 stores planned H1 FY26), and disciplined promotions to restore growth.
Positive
- Credit facility extended to Aug 13, 2030 with up to $100M
- Private brand penetration target: 57% to >60% in 2026
- FiTMAP: 30,000 customers scanned; in 88 stores; +100 stores planned H1 FY26
- No outstanding debt and $27.0M cash and investments
Negative
- Total sales declined to $101.9M (down 5.2% YoY)
- Comparable sales decreased 7.4% in Q3 FY2025
- Net loss of $4.1M (EPS $(0.08)); Adjusted EBITDA $(2.0M)
- Cash and investments down $16.0M from prior year to $27.0M
Key Figures
Market Reality Check
Peers on Argus
DXLG is down 1.82% while peers show mixed moves: CATO, AKA, and DBGI are up, TLYS is down, and BRIA is modestly higher. This points to stock-specific drivers rather than a broad apparel retail move.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Dec 03 | Earnings timing update | Neutral | +11.5% | Rescheduled timing of Q3 2025 results release and conference call. |
| Nov 19 | Tech rollout news | Positive | +2.5% | Launch of FiTMAP scanning on mobile app and in 80+ stores. |
| Nov 12 | Earnings date set | Neutral | +1.7% | Announcement of planned date and call for Q3 2025 results. |
| Oct 01 | Store opening | Positive | -2.3% | Opening of new Pembroke Pines store featuring FiTMAP sizing tech. |
Recent news often produced aligned reactions, though one positive store-opening headline saw a negative price move, showing occasional divergence between operational news and share performance.
Over the last six months, DXLG has highlighted store expansion, technology deployment, and ongoing earnings pressure. An earnings reschedule on Dec 3, 2025 saw a +11.46% move, while earlier Q1 and Q2 2025 earnings each showed sales declines and small gains in the stock. FiTMAP-related announcements in November and a new store opening in Florida underscored the focus on fit technology and footprint growth. Today’s Q3 results continue the theme of softer sales, margin pressure, and strategic investment in stores and digital fit tools.
Market Pulse Summary
This announcement combines soft Q3 performance with a strategic merger and ongoing transformation efforts. Sales fell to $101.9 million, net loss widened to $(4.1) million, and adjusted EBITDA turned negative, while cash and investments declined to $27.0 million but with no debt and a $100 million credit facility. Management emphasized private brands, FiTMAP sizing technology, and disciplined promotions as key levers. Investors may focus on future sales trends, margin stabilization, and execution of these initiatives.
Key Terms
adjusted EBITDA financial
non-GAAP financial
GLP-1 medications medical
basis points financial
free cash flow financial
AI-generated analysis. Not financial advice.
Sales of
Separately Announces Definitive Agreement to Combine with FullBeauty in a Merger of Equals
CANTON, Mass., Dec. 11, 2025 (GLOBE NEWSWIRE) -- Destination XL Group, Inc. (NASDAQ: DXLG), the leading integrated-commerce specialty retailer of Big + Tall men’s clothing and footwear, today reported operating results for the third quarter of fiscal 2025.
Third Quarter Financial Highlights
- Total sales for the third quarter were
$101.9 million , down5.2% from$107.5 million in the third quarter of fiscal 2024. Comparable sales for the third quarter of fiscal 2025 decreased7.4% as compared to the third quarter of fiscal 2024. - Net loss was
$(4.1) million , or$(0.08) per diluted share, for the third quarter, as compared to a net loss of$(1.8) million , or$(0.03) per diluted share, for the third quarter of fiscal 2024. - Adjusted EBITDA (a non-GAAP measure) for the third quarter was
$(2.0) million as compared to$1.0 million for the third quarter of fiscal 2024. - Total cash and investments were
$27.0 million at November 1, 2025, as compared to$43.0 million at November 2, 2024, with no outstanding debt for either period. The decrease in cash and investments includes$13.1 million on capital spent over the past 12 months for new store development and$3.3 million of shares repurchased during the fourth quarter of fiscal 2024. - As previously reported, during the third quarter of fiscal 2025, the Company extended its credit facility through August 13, 2030, providing access to up to
$100 million of future borrowing capacity.
Management’s Comments
“Since the start of the fiscal year, we have pursued three critically important strategic initiatives to address ongoing volatility, evolving consumer dynamics, and challenges specific to the Big +Tall retail sector: assortment, our proprietary FiTMAP® technology, and promotions. We believe these strategic initiatives will better position the Company’s return to growth and enhance value for our shareholders,” said Harvey Kanter, President and CEO.
“Our sales results continue to reflect a big and tall customer who is not shopping as frequently or spending as much money with DXL as we have seen in prior years. There has been a discernable shift in customer preference towards entry level price points and private brands, which compels us to extend and evolve our core assortment to provide a greater selection of our private and value-driven brands. In addition, we are also accelerating the roll out of our FiTMAP scanning technology to additional stores, which allows us to build a deeper level of engagement with our customers. FiTMAP scanning uniquely positions DXL to more rapidly help consumers respond to GLP-1 medications which are transforming their lives. As weight loss journeys accelerate, customers’ needs are shifting - sizes are changing, confidence is growing, and shopping habits are evolving. DXL is embracing that journey using tools like FiTMAP.”
“Despite the dynamic consumer environment, we are confident in our regimented process, structure and discipline that sets us up for greater success when we return to growth. As noted, this discipline has been key in guiding our marketing and promotional strategies, enabling us to make dynamic, real-time adjustments to our assortment. Our operating regimen has maintained solid merchandise margins while proactively managing our inventory to a healthy position for the holiday season. We have been aggressively pivoting our sourcing strategy to diversify away from high tariff countries, negotiate better cost sharing with vendors, and value engineer product cost savings. We are also conducting a comprehensive review of our pricing across all private brands.”
“Our strategic priorities are supported through strong positions in cash, investments, debt, merchandise margins and inventory. We are ending the quarter with
Strategic Priorities:
Assortment
Over the course of the next two years, we are strategically shifting our assortment to prioritize private brands, which deliver consistent fit, the flexibility to balance trend-right fashion with core essentials and stronger margins. To support this focus, we are reducing investment in underperforming national brands, which will drive higher profitability and enable us to leverage strategic promotions to fuel customer acquisition and sales growth. Our intent is to grow private brand sales penetration from
FiTMAP
Over the past three years, we have been working with and testing a proprietary FiTMAP® Sizing Technology for which we have an exclusive license for Big + Tall men until 2030. This innovative, contactless, digital scanning technology captures 243 unique measurements and offers custom clothing options and a great fit for all our customers. FiTMAP offers a unique experience for our customers, whether selecting from our Ready-to-Wear clothing or opting for custom garments. We are able to provide recommended sizes in all of our private brands, as well as 29 of our national brands. We believe this technology will enhance customer engagement, attract new customers and further establish DXL as a technology leader in men's big + tall apparel. To date, we have scanned over 30,000 customers. At the end of the third quarter of fiscal 2025, FiTMAP was in 88 DXL retail locations, and as of the end of September 2025, the technology is available on our mobile app, providing our customers with the ability to self-scan. We plan to expand to another 100 stores in the first half of fiscal 2026.
Promotional Strategy
We have continued to reframe our promotional strategy around a more disciplined, strategic framework that prioritizes relevance, competitiveness, and a stronger perception of value. Our customer has been telling us that we need to create greater levels of value, and our go-forward approach treats promotions like a managed category, with a clear and deliberate intent around timing, product focus, and purpose to drive sales, engagement, and brand equity. We continue to drive our positioning to maximize the return on every markdown dollar, better align with strategic imperatives, and precisely target specific customer cohorts.
Third Quarter Results
Sales
Total sales for the third quarter of fiscal 2025 were
The third quarter comparable sales decrease of
While we have seen positive results from our loyalty program, Price Match Guarantee, FiTMAP, and our Heroes discounts, our total active customer file has continued to be under pressure as customers are spending less and shopping less frequently in the current environment.
Comparable sales through the first five weeks of the fourth quarter of fiscal 2025 were down
Gross Margin
For the third quarter of fiscal 2025, our gross margin rate, inclusive of occupancy costs, was
Our gross margin rate decreased by 240 basis points, which was driven by an increase of 210 basis points in occupancy costs, as a percentage of sales, due to the deleveraging from lower sales and increased rents from new stores and lease extensions. Merchandise margin for the third quarter decreased by 30 basis points, as compared to the third quarter of fiscal 2024, primarily due to the impact of tariffs and increased markdown activity and promotional offers associated with our marketing initiatives. These increased costs were partially offset by an improvement in merchandise margins as a result of a shift in product mix toward our private brand merchandise.
There remains significant volatility with respect to evolving trade policies and the enactment of additional tariffs globally. Through vendor negotiations, sourcing diversification and cost mitigation programs, we have and will continue to take proactive measures to mitigate the impact of tariffs and trade restrictions on our business and our customers. Given the volatility that currently exists around these trade discussions, it is difficult to determine the potential impact that these tariffs may have on our financial results. However, if currently enacted rates remain in effect throughout the remainder of the fiscal year, and no new tariffs are added, we estimate that the impact of tariffs on gross margin for fiscal 2025 will be approximately
Selling, General & Administrative
As a percentage of sales, SG&A (selling, general and administrative) expenses for the third quarter of fiscal 2025 were
On a dollar basis, SG&A expenses decreased by
Marketing costs were
Management views SG&A expenses through two primary cost centers: Customer Facing Costs and Corporate Support Costs. Customer Facing Costs, which include store payroll, marketing and other store and direct operating costs, represented
Interest Income, Net
Net interest income for the third quarter of fiscal 2025 was
Income Taxes
Our income tax provision for interim periods is determined using an estimate of our annual effective tax rate, adjusted for discrete items, if any. Each quarter, we update our estimate of the annual effective tax rate and make a year-to-date adjustment to the provision.
For the third quarter of fiscal 2025, the Company's effective tax rate was
Net Loss
For the third quarter of fiscal 2025, net loss was
Adjusted EBITDA
Adjusted EBITDA, a non-GAAP measure, for the third quarter of fiscal 2025 was
Cash Flow
Cash flow from operations for the first nine months of fiscal 2025 was
Free cash flow, before capital expenditures for store development, a non-GAAP measure, was
Free cash flow, a non-GAAP measure, was
| For the Nine Months Ended | ||||||||
| (in millions) | November 1, 2025 | November 2, 2024 | ||||||
| Cash flow from operating activities (GAAP basis) | $ | (3.2 | ) | $ | 12.5 | |||
| Capital expenditures, excluding store development | (7.7 | ) | (10.0 | ) | ||||
| Free Cash Flow before capital expenditures for store development (non-GAAP basis) | $ | (10.9 | ) | $ | 2.5 | |||
| Capital expenditures for store development | (9.3 | ) | (9.4 | ) | ||||
| Free Cash Flow (non-GAAP basis) | $ | (20.2 | ) | $ | (7.0 | ) | ||
Non-GAAP Measures
Adjusted EBITDA, adjusted EBITDA margin, free cash flow before capital expenditures for store development and free cash flow are non-GAAP financial measures. Please see “Non-GAAP Measures” below and reconciliations of these non-GAAP measures to the comparable GAAP measures that follow in the tables below.
Balance Sheet & Liquidity
As of November 1, 2025, we had cash and investments of
During the third quarter of fiscal 2025, we amended our credit facility to extend the maturity of the facility from October 28, 2026 to August 13, 2030. In connection with the amendment, we also reduced the size of the credit facility from
As of November 1, 2025, our inventory decreased
Retail Store Information
The following is a summary of our retail square footage since the end of fiscal 2022 through the end of the third quarter of fiscal 2025:
| At November 1, 2025 | Year End 2024 | Year End 2023 | Year End 2022 | ||||||||||||||||||||
| # of Stores | Sq Ft. (000’s) | # of Stores | Sq Ft. (000’s) | # of Stores | Sq Ft. (000’s) | # of Stores | Sq Ft. (000’s) | ||||||||||||||||
| DXL retail | 258 | 1,853 | 247 | 1,795 | 232 | 1,725 | 218 | 1,663 | |||||||||||||||
| DXL outlets | 17 | 84 | 15 | 76 | 15 | 76 | 16 | 80 | |||||||||||||||
| CMXL retail | 6 | 18 | 8 | 25 | 17 | 55 | 28 | 92 | |||||||||||||||
| CMXL outlets | 15 | 44 | 18 | 53 | 19 | 57 | 19 | 57 | |||||||||||||||
| Total | 296 | 1,999 | 288 | 1,949 | 283 | 1,913 | 281 | 1,892 | |||||||||||||||
During the first nine months of fiscal 2025, we opened eight new DXL stores, converted two Casual Male XL retail stores and one Casual Male XL outlet to DXL retail stores and two Casual Male XL outlets to DXL outlets. We expect our capital expenditures for fiscal 2025 to range from
Digital Commerce Information
We distribute our national brands and private brand merchandise directly to consumers through our stores, website, app, and third-party marketplaces. Digital commerce sales, which we also refer to as direct sales, are defined as sales that originate online, whether through our website, at the store level or through a third-party marketplace. Our direct business is a critical component of our business and an area of significant growth opportunity for us. For the third quarter of fiscal 2025, our direct sales were
Merger of Equals with FullBeauty
In a separate press release issued today, DXL announced that it has reached a definitive agreement to combine in a merger of equals with FullBeauty Brands, a one-stop destination for great fitting, quality, on-trend and size-inclusive apparel. The transaction is expected to close in the first half of fiscal 2026, subject to customary closing conditions and approval by DXL shareholders. Details regarding the transaction can be found at https://investor.dxl.com.
Conference Call
The Company will hold a conference call to discuss the combination with FullBeauty and review its financial results on Thursday, December 11, 2025 at 5:00 p.m. ET. An investor presentation with additional details on the transaction can be found at https://investor.dxl.com.
To participate in the live webcast, please pre-register at:
https://register-conf.media-server.com/register/BI179eabc9adaa4a199a67a98e41c452cd
Upon registering, you will be emailed a dial-in number, and unique PIN.
For listen-only, please join and register at: https://edge.media-server.com/mmc/p/d66e7hkn. An archived version of the webcast may be accessed by visiting the "Events" section of the Company's investor relations website for up to one year.
During the conference call, the Company may discuss and answer questions concerning business and financial developments and trends. The Company’s responses to questions, as well as other matters discussed during the conference call, may contain or constitute information that has not been disclosed previously.
Non-GAAP Measures
In addition to financial measures prepared in accordance with U.S. generally accepted accounting principles (“GAAP”), this press release contains non-GAAP financial measures, including adjusted EBITDA, adjusted EBITDA margin, free cash flow before capital expenditures for store development, and free cash flow. The presentation of these non-GAAP measures is not in accordance with GAAP and should not be considered superior to or as a substitute for net income (loss), net income (loss) per diluted share or cash flows from operating activities or any other measure of performance derived in accordance with GAAP. In addition, not all companies calculate non-GAAP financial measures in the same manner and, accordingly, the non-GAAP measures presented in this release may not be comparable to similar measures used by other companies. The Company believes the inclusion of these non-GAAP measures help investors gain a better understanding of the Company’s performance, especially when comparing such results to previous periods, and that they are useful as an additional means for investors to evaluate the Company's operating results when reviewed in conjunction with the Company's GAAP financial statements. Reconciliations of these non-GAAP measures to their comparable GAAP measures are provided in the tables below.
Adjusted EBITDA is calculated as earnings before interest, taxes, depreciation and amortization and adjusted for asset impairment charges (gain) and accrual for estimated non-recurring legal settlement costs, if any. Adjusted EBITDA margin is calculated as adjusted EBITDA divided by total sales. The Company believes that providing adjusted EBITDA and adjusted EBITDA margin is useful to investors to evaluate the Company’s performance and are key metrics to measure profitability and economic productivity.
Free cash flow is a metric that management uses to monitor liquidity. Management believes this metric is important to investors because it demonstrates the Company’s ability to strengthen liquidity while supporting its capital projects and new store development. Free cash flow is calculated as cash flow from operating activities, less capital expenditures and excludes the mandatory and discretionary repayment of debt. Free cash flow before capital expenditures for store development is calculated as cash flow from operating activities less capital expenditures other than capital expenditures for store development. Capital expenditures for store development includes capital expenditures for new stores, conversions of Casual Male XL stores to DXL and remodels. Capital expenditures related to store relocations and maintenance are not included in store development.
About Destination XL Group, Inc.
Destination XL Group, Inc. is the leading retailer of Men’s Big + Tall apparel that provides the Big + Tall man the freedom to choose his own style. Subsidiaries of Destination XL Group, Inc. operate DXL Big + Tall retail and outlet stores and Casual Male XL retail and outlet stores throughout the United States, and an e-commerce website, DXL.COM, and mobile app, which offer a multi-channel solution similar to the DXL store experience with the most extensive selection of online products available anywhere for Big + Tall men. The Company is headquartered in Canton, Massachusetts, and its common stock is listed on the Nasdaq Global Market under the symbol "DXLG." For more information, please visit the Company's investor relations website: https://investor.dxl.com.
Forward-Looking Statements
Certain statements and information contained in this press release constitute forward-looking statements under the federal securities laws, including statements regarding our belief that our strategic initiatives will better position the Company’s return to growth and enhance value for our shareholders; our belief that our sales results continue to reflect a big and tall customer who is not shopping as frequently or spending as much money with DXL as we have seen in prior years, our belief that there has been a discernable shift in customer preference towards entry level price points and private brands; we will be able to extend and evolve our core assortment to provide a greater selection of our private and value-driven brands; we will be able to take a disciplined and targeted approach to our promotional strategy; we will be able to establish a strategic framework that prioritizes relevance, competitiveness, and a stronger perception of value; our belief that we remain oriented towards selectively and strategically adding promotion to drive sales growth; our confidence that our regimented process, structure and discipline sets us up for greater success when we return to growth; our belief that our strategic priorities are supported through strong positions in cash, investments, debt, merchandise margins and inventory; our belief that because we own and design our private brand merchandise we are
able to better control the margins than with our national designer brands; our belief that our targeted promotions will drive greater incremental sales growth; our belief that the actions we are taking will directly address ongoing consumer sector and macro challenges; our belief that we are leaning into our relationships with our vendors and suppliers around the world and are working hard to mitigate the impact of those tariffs; we will be able to take proactive measures to manage our inventory and adjust our receipt plan given the ongoing macroeconomic factors affecting consumer spending, while at the same time, accelerating certain receipts to minimize the impact of tariffs; our belief that our broad and measured actions taken will ultimately improve our results and move the business forward; our belief that the impact of current tariffs on our financial results for fiscal 2025 could negatively impact gross margin by approximately
The discussion of forward-looking information requires the management of the Company to make certain estimates and assumptions regarding the Company's strategic direction and the effect of such plans on the Company's financial results. The Company's actual results and the implementation of its plans and operations may differ materially from forward-looking statements made by the Company. The Company encourages readers of forward-looking information concerning the Company to refer to its filings with the Securities and Exchange Commission, including without limitation, its Annual Report on Form 10-K filed on March 20, 2025, its Quarterly Reports on Form 10-Q and other filings with the Securities and Exchange Commission that set forth certain risks and uncertainties that may have an impact on future results and the direction of the Company, including risks relating to changes in consumer spending in response to economic factors; the impact of inflation with rising costs and high interest rates; the impact of tariffs; the impact of ongoing worldwide conflicts on the global economy; potential labor shortages; and the Company’s ability to grow its market share, predict customer tastes and fashion trends, forecast sales growth trends, and compete successfully in the U.S. men’s big and tall apparel market.
Forward-looking statements contained in this press release speak only as of the date of this release. Subsequent events or circumstances occurring after such date may render these statements incomplete or out of date. The Company undertakes no obligation and expressly disclaims any duty to update such statements.
Investor Contact:
Investor.relations@dxlg.com
603-933-0541
| DESTINATION XL GROUP, INC. | ||||||||||||||||
| CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||
| (In thousands, except per share data) | ||||||||||||||||
| (unaudited) | ||||||||||||||||
| For the Three Months Ended | For the Nine Months Ended | |||||||||||||||
| November 1, 2025 | November 2, 2024 | November 1, 2025 | November 2, 2024 | |||||||||||||
| Sales | $ | 101,879 | $ | 107,503 | $ | 322,917 | $ | 347,812 | ||||||||
| Cost of goods sold including occupancy | 58,345 | 59,064 | 179,618 | 183,520 | ||||||||||||
| Gross profit | 43,534 | 48,439 | 143,299 | 164,292 | ||||||||||||
| Expenses: | ||||||||||||||||
| Selling, general and administrative | 45,491 | 47,409 | 140,538 | 148,594 | ||||||||||||
| Depreciation and amortization | 3,762 | 3,569 | 11,274 | 10,232 | ||||||||||||
| Total expenses | 49,253 | 50,978 | 151,812 | 158,826 | ||||||||||||
| Operating income (loss) | (5,719 | ) | (2,539 | ) | (8,513 | ) | 5,466 | |||||||||
| Interest income, net | 141 | 552 | 625 | 1,673 | ||||||||||||
| Income (loss) before provision (benefit) for income taxes | (5,578 | ) | (1,987 | ) | (7,888 | ) | 7,139 | |||||||||
| Provision (benefit) for income taxes | (1,458 | ) | (182 | ) | (1,564 | ) | 2,768 | |||||||||
| Net income (loss) | $ | (4,120 | ) | $ | (1,805 | ) | $ | (6,324 | ) | $ | 4,371 | |||||
| Net income (loss) per share: | ||||||||||||||||
| Basic | $ | (0.08 | ) | $ | (0.03 | ) | $ | (0.12 | ) | $ | 0.08 | |||||
| Diluted | $ | (0.08 | ) | $ | (0.03 | ) | $ | (0.12 | ) | $ | 0.07 | |||||
| Weighted-average number of common shares outstanding: | ||||||||||||||||
| Basic | 54,343 | 57,135 | 53,920 | 57,801 | ||||||||||||
| Diluted | 54,343 | 57,135 | 53,920 | 60,642 | ||||||||||||
| DESTINATION XL GROUP, INC. | ||||||||||||
| CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||||||
| November 1, 2025, February 1, 2025 and November 2, 2024 | ||||||||||||
| (In thousands) | ||||||||||||
| (unaudited) | ||||||||||||
| November 1, | February 1, | November 2, | ||||||||||
| 2025 | 2025 | 2024 | ||||||||||
| ASSETS | ||||||||||||
| Cash and cash equivalents | $ | 14,594 | $ | 11,901 | $ | 7,108 | ||||||
| Short-term investments | 12,424 | 36,516 | 35,851 | |||||||||
| Inventories | 85,040 | 75,486 | 89,139 | |||||||||
| Other current assets | 8,467 | 7,984 | 8,159 | |||||||||
| Property and equipment, net | 59,817 | 56,982 | 51,988 | |||||||||
| Operating lease right-of-use assets | 198,303 | 171,084 | 167,814 | |||||||||
| Intangible assets | 1,150 | 1,150 | 1,150 | |||||||||
| Deferred tax assets, net of valuation allowance | 20,975 | 19,343 | 19,609 | |||||||||
| Other assets | 769 | 509 | 503 | |||||||||
| Total assets | $ | 401,539 | $ | 380,955 | $ | 381,321 | ||||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||||||
| Accounts payable | $ | 28,296 | $ | 24,344 | $ | 28,013 | ||||||
| Accrued expenses and other liabilities | 22,754 | 30,773 | 26,728 | |||||||||
| Operating leases | 213,285 | 184,615 | 181,124 | |||||||||
| Stockholders' equity | 137,204 | 141,223 | 145,456 | |||||||||
| Total liabilities and stockholders' equity | $ | 401,539 | $ | 380,955 | $ | 381,321 | ||||||
| CERTAIN COLUMNS IN THE FOLLOWING TABLES MAY NOT FOOT DUE TO ROUNDING | ||||||||||||||||
| GAAP TO NON-GAAP RECONCILIATION OF ADJUSTED EBITDA AND ADJUSTED EBITDA MARGIN (unaudited) | ||||||||||||||||
| For the Three Months Ended | For the Nine Months Ended | |||||||||||||||
| November 1, 2025 | November 2, 2024 | November 1, 2025 | November 2, 2024 | |||||||||||||
| (in millions) | ||||||||||||||||
| Net income (loss) (GAAP basis) | $ | (4.1 | ) | $ | (1.8 | ) | $ | (6.3 | ) | $ | 4.4 | |||||
| Add back: | ||||||||||||||||
| Provision (benefit) for income taxes | (1.5 | ) | (0.2 | ) | (1.6 | ) | 2.8 | |||||||||
| Interest income, net | (0.1 | ) | (0.6 | ) | (0.6 | ) | (1.7 | ) | ||||||||
| Depreciation and amortization | 3.8 | 3.6 | 11.3 | 10.2 | ||||||||||||
| Adjusted EBITDA (non-GAAP basis) | $ | (2.0 | ) | $ | 1.0 | $ | 2.8 | $ | 15.7 | |||||||
| Sales | $ | 101.9 | $ | 107.5 | $ | 322.9 | $ | 347.8 | ||||||||
| Adjusted EBITDA margin (non-GAAP basis), as a percentage of sales | (1.9 | %) | 1.0 | % | 0.9 | % | 4.5 | % | ||||||||
| GAAP TO NON-GAAP RECONCILIATION OF FREE CASH FLOW (unaudited) | ||||||||
| For the Nine Months Ended | ||||||||
| (in millions) | November 1, 2025 | November 2, 2024 | ||||||
| Cash flow from operating activities (GAAP basis) | $ | (3.2 | ) | $ | 12.5 | |||
| Capital expenditures, excluding store development | (7.7 | ) | (10.0 | ) | ||||
| Free Cash Flow before capital expenditures for store development (non-GAAP basis) | $ | (10.9 | ) | $ | 2.5 | |||
| Capital expenditures for store development | (9.3 | ) | (9.4 | ) | ||||
| Free Cash Flow (non-GAAP basis) | $ | (20.2 | ) | $ | (7.0 | ) | ||
FAQ
What were Destination XL (DXLG) third quarter fiscal 2025 sales and EPS on Dec 11, 2025?
How did comparable sales for DXLG perform in Q3 fiscal 2025?
What liquidity and debt position did DXLG report on Nov 1, 2025?
What is the scope and timeline for DXLG’s FiTMAP expansion noted in the Dec 11, 2025 release?
What are DXLG’s private brand penetration targets for 2026 and 2027?
Did Destination XL announce any strategic transactions on Dec 11, 2025?
