EarningsQ1 missed on both top and bottom-line, largely due to opex deleverage on the lower sales volume despite cost reduction efforts driving a ~12% decrease in total opex, while gross margin contracted more than expected as well.
LiquidityLiquidity remains constrained currently, but management remains confident it will be able to refi into a new credit facility towards the end of Q2.
Product RepositioningContinued pressure in casual wear, and while the brand is working to reposition its separates and footwear assortments towards dressier options, it likely won't be fully optimized until the end of the year.