Sep 9, 2026 earnings call — Merger withdrawal and growth strategy
Net sales were $111.6 million and adjusted EBITDA was $7.7 million, or 6.9% of sales.
Revenue $0.1B (est $0.1B) · EPS $0.05 (est $-0.04)
Key quotes
"We've now scanned more than 150,000 customers and our most recent 12-month cohort shows scanned customers spending more than they did before scanning with stronger conversions, higher AOV, increased visits and a meaningfully lower return rate than non-scanned customers."
"Our year-to-date demand for THERMACHILL product grew 56% over last year, proof that when we invest choice count and marketing behind a private brand franchise that's genuinely working, it scales."
"Targeting stores that have a high probability of transferring volume to another store allows us to make the total store portfolio more productive."
Analyst Q&A 1
store leases and possible closures
Q (226 B Capital Partners): They asked how many leases come up for renewal over the next 24 months and what percentage might be closed or consolidated. They also asked which cash investments could be paused and what areas are targeted.
A: Peter said they are reviewing the portfolio and will eliminate duplicate stores to drive volume to nearby sister stores. He said 3 stores are closing this year and that "a few dozen" leases are coming up next year, with decisions made case-by-case over the next 6 months. He said the majority of capital spend this year is for technology upgrades and the distribution center, with a small amount in stores, and they will try to push nonessential upgrades out until comp trends stabilize.
"Next year, the stores that are coming up for lease and renewal, there's going to be a few dozen that are coming up." — Peter Stratton (CFO)