v3.26.1
Operating Segments
 3 Months Ended
May 02, 2026
Segment Reporting [Abstract]  
Operating Segments Operating Segments:
We identify our operating segments based on the way the chief operating decision maker ("CODM") organizes the components of our business for purposes of allocating resources and assessing performance. Our operating segment structure reflects a brand-focused management approach, emphasizing operational coordination and resource allocation across each brand’s direct to consumer, wholesale and licensing operations, as applicable.
The Tommy Bahama, Lilly Pulitzer and Johnny Was operating segments are each identified as a reportable segment. The operations of our smaller, earlier stage operating segments Southern Tide, TBBC, Duck Head and Jack Rogers are aggregated into the Emerging Brands reportable segment.
Corporate and Other is a reconciling category for reporting purposes and includes the elimination of inter-segment sales, which totaled less than $1 million in both the First Quarter of Fiscal 2026 and the First Quarter of Fiscal 2025. Corporate and Other also includes our corporate offices, substantially all financing activities, any other items that are not allocated to the operating segments, including LIFO inventory accounting adjustments as our LIFO pool does not correspond to our operating segment definitions and unallocated Corporate expenses, and our Lyons, Georgia distribution center operations.
In the Fourth Quarter of Fiscal 2025, we changed the measure we use to assess the profitability of our operating segments from segment operating income to segment earnings before interest, taxes, depreciation and amortization (“segment EBITDA”). Segment EBITDA also excludes certain infrequent operating charges, including impairments of goodwill, intangible assets and equity method investments. Our CODM uses segment EBITDA to assess operating segment performance and allocate resources. As a result of this change, prior periods have been recast to conform to the current period presentation. The change in segment profit measure did not affect the total consolidated profit or loss of the Company.
We believe segment EBITDA and our consolidated measures of EBITDA and Adjusted EBITDA provide useful supplemental information to management, analysts, investors and other interested parties in evaluating the profitability and operating performance of our business. We use EBITDA and Adjusted EBITDA, when applicable, to facilitate the evaluation of our consolidated results before the effects of certain expenses that directly arise from our capital investment decisions, financing decisions and tax strategies, including depreciation and amortization, interest expense and income taxes. Adjusted EBITDA excludes certain infrequent operating charges, if any, that we do not believe are reflective of our ongoing business performance, including impairments of goodwill, intangible assets and equity method investments.
We use consolidated EBITDA, and Adjusted EBITDA when impairments of goodwill, intangible assets and equity method investments are incurred, to forecast our performance, evaluate actual results against our forecasts and compare our results to others in the industries we serve. These measures should not be considered in isolation from, or as a substitute for, financial measures prepared in accordance with GAAP. See the reconciliation below of EBITDA to net earnings, the most directly comparable GAAP financial measure.
The table below presents certain financial information (in thousands) about our reportable segments, as well as Corporate and Other.
First Quarter
Fiscal 2026Fiscal 2025
Tommy Bahama
Net sales$224,636 $216,175 
Cost of goods sold77,107 76,450 
Gross profit$147,529 $139,725 
Operating costs:
Variable and distribution costs14,299 13,300 
Advertising costs10,674 10,147 
Employment costs49,095 47,287 
Occupancy costs24,376 22,778 
Other segment items (1)
8,967 7,889 
Tommy Bahama Segment EBITDA$40,118 $38,324 
Lilly Pulitzer
Net sales$90,373 $99,042 
Cost of goods sold35,090 34,113 
Gross profit$55,283 $64,929 
Operating costs:
Variable and distribution costs5,379 6,048 
Advertising costs8,654 8,525 
Employment costs13,610 13,659 
Occupancy costs5,098 5,443 
Other segment items (1)
7,535 8,202 
Lilly Pulitzer Segment EBITDA$15,007 $23,052 
Johnny Was
Net sales$37,850 $43,473 
Cost of goods sold12,968 15,355 
Gross profit$24,882 $28,118 
Operating costs:
Variable and distribution costs2,211 2,151 
Advertising costs4,198 5,534 
Employment costs9,429 10,261 
Occupancy costs4,898 5,389 
Other segment items (1)
5,355 4,812 
Johnny Was Segment EBITDA$(1,209)$(29)
Emerging Brands
Net sales$38,624 $34,248 
Cost of goods sold17,917 13,934 
Gross profit$20,707 $20,314 
Operating costs:
Variable and distribution costs3,456 2,447 
Advertising costs2,872 3,148 
Employment costs5,812 6,577 
Occupancy costs1,666 1,868 
Other segment items (1)
3,925 3,423 
Emerging Brands Segment EBITDA$2,976 $2,851 
Corporate
Net sales$(81)$(77)
Cost of goods sold (2)
4,437 723 
Gross profit (loss)$(4,518)$(800)
Unallocated Corporate costs and income (3)
13,631 10,229 
Corporate EBITDA$(18,149)$(11,029)
EBITDA$38,743 $53,169 
(1)For all reportable segments, other segment items primarily consist of software costs, professional services costs, other selling, general and administrative costs, royalties and other income and provisions for credit losses.
(2)Cost of goods sold for Corporate and Other included a LIFO accounting charge of $4 million in the First Quarter of Fiscal 2026 and less than $1 million in the First Quarter of Fiscal 2025.
(3)Unallocated Corporate costs for Corporate and Other primarily consist of unallocated employment and other overhead expenses.
The following table presents a reconciliation (in thousands) from EBITDA to consolidated operating income, earnings before income taxes, and total net earnings:
First Quarter
Fiscal 2026Fiscal 2025
EBITDA$38,743 $53,169 
Depreciation and amortization16,380 16,963 
Operating income$22,363 $36,206 
Interest expense, net2,282 1,726 
Earnings before income taxes$20,081 $34,480 
Income tax expense5,093 8,299 
Net earnings$14,988 $26,181 
The tables below present certain financial information (in thousands) about our reportable segments, as well as Corporate and Other.
First Quarter
Fiscal 2026Fiscal 2025
Depreciation and amortization
Tommy Bahama$7,730 $7,577 
Lilly Pulitzer3,703 4,915 
Johnny Was2,380 3,381 
Emerging Brands918 944 
Corporate and Other1,649 146 
Depreciation and amortization$16,380 $16,963 
Purchases of Property and Equipment  
Tommy Bahama$10,589 $6,968 
Lilly Pulitzer1,834 2,959 
Johnny Was541 455 
Emerging Brands7 2,143 
Corporate and Other9,800 10,902 
Purchases of Property and Equipment$22,771 $23,427 
May 2, 2026January 31, 2026May 3, 2025
Assets
Tommy Bahama (1)
$701,498$693,069$695,801
Lilly Pulitzer (2)
232,861214,411225,040
Johnny Was (3)
157,432161,255229,534
Emerging Brands (4)
115,041122,465124,463
Corporate and Other (5)
131,021117,75864,868
Consolidated Total Assets$1,337,853$1,308,958$1,339,706
(1)Increase in Tommy Bahama total assets from May 3, 2025, relates primarily to an increase in operating lease assets and property and equipment partially offset by a decrease in receivables.
(2)Increase in Lilly Pulitzer total assets from May 3, 2025, relates primarily to an increase in operating lease assets and software related assets partially offset by a decrease in property and equipment, receivables and inventories.
(3)Decrease in Johnny Was total assets from May 3, 2025, relates primarily to the $57 million Third Quarter of Fiscal 2025 impairment charge for intangible assets and the amortization of acquired intangible assets. In addition, decreases
in operating lease assets, property and equipment and receivables were partially offset by an increase in deferred tax assets.
(4)Decrease in Emerging Brands total assets from May 3, 2025, relates primarily to a decrease in operating lease assets, a $4 million Third Quarter of Fiscal 2025 impairment charge for goodwill and intangible assets related to Jack Rogers and a decrease in property and equipment and receivables.
(5)Increase in Corporate and Other total assets from May 3, 2025, relates primarily to an increase in property and equipment related to the new distribution center project in Lyons, Georgia.
Net sales by geographic area are presented in the table below (in thousands). The other foreign amounts primarily relate to our Tommy Bahama operations in Canada and Australia.
First Quarter
Fiscal 2026Fiscal 2025
Net Sales
United States$383,043 $385,159 
Other foreign8,359 7,702 
$391,402 $392,861 
The tables below quantify net sales, for each reportable segment, as well as Corporate and Other, and in total (in thousands), and the percentage of net sales by distribution channel for each reportable segment, as well as Corporate and Other, and in total, for each period presented. We have calculated all percentages below based on actual data, and percentages may not add to 100 due to rounding.
First Quarter Fiscal 2026
Net SalesRetail E-commerce Food and Beverage Wholesale Other
Tommy Bahama$224,63644%20%17%19%—%
Lilly Pulitzer90,37337%38%—%25%—%
Johnny Was37,85038%43%—%19%—%
Emerging Brands38,62417%41%—%42%—%
Corporate and Other(81)—%—%—%—%NM %
Total$391,40239%29%10%22%—%
First Quarter Fiscal 2025
Net SalesRetail E-commerce Food & Beverage Wholesale Other
Tommy Bahama$216,17545%19%16%20%—%
Lilly Pulitzer99,04235%42%—%23%—%
Johnny Was43,47337%38%—%25%—%
Emerging Brands34,24819%38%—%43%—%
Corporate and Other(77)—%—%—%—%NM %
Total$392,86139%29%9%23%—%