Turtle Beach Corporation reported softer 2025 sales but stronger profitability. Full-year net revenue was $319.9 million versus $372.8 million in 2024, while gross margin improved to 37.3%, the highest since 2018, helping deliver net income of $15.7 million and Adjusted EBITDA of $40.1 million.
In the fourth quarter, net revenue was $118.8 million, net income $17.6 million, and Adjusted EBITDA $28.1 million, with gross margin at 40.1%. Management noted results were below guidance due mainly to softness in North American gaming accessories and a weaker holiday environment, but highlighted disciplined cost control, tariff mitigation, and refinancing of debt.
The company repurchased $19.0 million of stock in 2025 and ended the year with net debt of $68.1 million. For 2026, it expects net revenue between $335 million and $355 million and Adjusted EBITDA between $44 million and $48 million, implying growth despite anticipated first-quarter market headwinds.
Turtle Beach Corporation entered into a Cooperation Agreement with the Donerail Group concerning board composition and governance. The Board will expand from six to eight members and add two independent directors selected by the Donerail Group, with terms running until the 2026 annual meeting of stockholders. William Wyatt will be appointed Chairman, and the company will nominate only the current continuing directors and these new directors at the 2026 annual meeting. The agreement includes an option, at Donerail’s request, to add one more independent director with a term expiring at the 2027 annual meeting. Donerail receives replacement-nomination rights tied to maintaining at least 2.0% beneficial ownership, and agrees to voting commitments, non‑disparagement and a broad standstill limiting share accumulation, transfers to large holders, proxy solicitations and public campaigns. The agreement has defined termination triggers, including notice by either party after specified dates, uncured material breach, or the company entering an extraordinary transaction.
Turtle Beach Corporation reported a change in its board of directors. On March 5, 2026, director Terry Jimenez notified the company of his decision to resign from the board, effective March 6, 2026. The board publicly expressed appreciation for his service and contributions.
Hoak-affiliated investors have filed a Schedule 13D on Turtle Beach Corp common stock. Hoak Public Equities, L.P. directly owns 909,055 shares, or about 4.7074% of the outstanding stock, while J. Hale Hoak is reported as beneficial owner of 999,000 shares, or 5.1732%. James M. Hoak, Jr. is deemed to beneficially own 929,055 shares, or 4.8110%. The filing states that the group bought shares using a total of more than $13 million across HPE, the Child’s Trust, the Hoak Foundation, J. Hale Hoak personally, and Dorothy T. Hoak.
The investors believe Turtle Beach shares are “significantly undervalued” at current prices and describe the position as an attractive opportunity. They indicate they may buy more or sell shares depending on market conditions and company performance. The filing also outlines a wide range of potential future actions, including engaging with management and the board on operating performance, capital allocation such as stock buybacks, and governance, while reserving the possibility of broader strategic or corporate structure changes.
Turtle Beach Corp’s Chief Financial Officer Mark Weinswig reported routine equity compensation activity. On February 3, 2026, 26,754 restricted stock units converted into the same number of common shares at an exercise price of $0. To cover tax withholding on the RSU vesting, 10,397 common shares were withheld at $12.08 per share. After these transactions, Weinswig directly owned 16,357 shares of common stock and 80,262 RSUs, with the remaining RSUs scheduled to vest in equal quarterly installments through February 3, 2029.
The Vanguard Group has filed a Schedule 13G reporting a passive ownership stake in Turtle Beach Corp common stock. Vanguard reports beneficial ownership of 1,006,462 shares, representing 5.21% of the outstanding common stock as of the 12/31/2025 event date.
Vanguard has shared voting power over 98,547 shares and shared dispositive power over all 1,006,462 shares, with no sole voting or dispositive power. The filing states the securities are held in the ordinary course of business, not to change or influence control of Turtle Beach.
The shares are held for Vanguard’s clients, including registered investment companies and other managed accounts, none of which individually has an interest exceeding 5% of the class. The filing also notes an internal realignment at Vanguard on January 12, 2026, after which certain subsidiaries are expected to report beneficial ownership separately.
Turtle Beach (TBCH) filed its Q3 2025 10‑Q, reporting net revenue of $80.5 million versus $94.4 million a year ago as demand for PC gaming accessories softened. Gross margin improved to 37.4% from 36.2%, aided by prior‑year purchase accounting impacts, partially offset by higher tariffs. Operating income was $5.4 million, and net income was $1.7 million (diluted EPS $0.08).
For the first nine months, revenue was $201.1 million versus $226.7 million, with a net loss of $1.9 million. Operating cash flow was $22.1 million. The company executed a new Bank of America Credit Agreement on August 1, 2025—a $60 million term loan and $90 million revolver—retiring prior facilities and recording a $1.9 million loss on extinguishment. Term loan and revolver balances were $57.9 million and $33.5 million, respectively, with approximately $34.5 million of excess borrowing availability. Inventory was $95.0 million. The company repurchased 0.7 million shares in Q3 for $10.3 million and $17.0 million year‑to‑date.
Turtle Beach Corporation furnished an 8-K announcing financial results for the quarter ended September 30, 2025. The company issued a press release with financial schedules, furnished as Exhibit 99.1.
The information was provided under Item 2.02 and is deemed furnished, not filed, under the Exchange Act. The company’s common stock trades on the Nasdaq Global Market under the symbol TBCH.
Turtle Beach Corporation reported that director David Muscatel has decided to resign from the board. He informed the company on September 12, 2025, and his resignation will be effective September 30, 2025. The company states that his resignation is not due to any disagreement with Turtle Beach, its officers, or other directors on operations, policies, or practices.
Turtle Beach Corporation (TBCH) is the subject of Amendment No. 1 to a Schedule 13D filed by DC VGA LLC and affiliated entities reporting beneficial ownership of 2,061,112 shares, equal to 10.4% of the outstanding common stock based on 19,806,863 shares outstanding as of July 31, 2025. The amendment discloses that on August 14, 2025 DC VGA LLC entered into a stock purchase agreement under which the Issuer agreed to buy 694,926 shares from DC VGA LLC at $14.41 per share (total $10,013,883.66) and DC VGA LLC agreed to sell 693,962 shares to TDG CP LLC at the same per-share price (total $9,999,992.42). The price was set as the 30-day VWAP ending August 14, 2025, and the transactions closed on August 21, 2025. The filing incorporates the stock purchase agreement as an exhibit.