Zumiez Inc. reported its financial results for the three and six months ended August 3, 2024, showing notable improvements in revenue and profitability compared to the previous fiscal period. For the three months, net sales reached $210.2 million, an increase of 8.1% from $194.4 million in the same period of 2023. The six-month net sales also rose to $387.6 million, up 2.7% from $377.3 million year-over-year. This growth was primarily driven by increases in men's and women's clothing, although sales of accessories and hardgoods declined.

Gross profit for the three months ended August 3, 2024, was $71.8 million, reflecting a 16.4% increase from $61.7 million in the prior year, with gross profit as a percentage of net sales improving to 34.2%, up 250 basis points. For the six-month period, gross profit was $123.7 million, an 11.4% increase from $111.0 million, with a gross profit margin of 31.9%, also up 250 basis points.

Despite these positive revenue trends, Zumiez reported a net loss of $847,000 for the three months ended August 3, 2024, a significant improvement from a net loss of $8.5 million in the same period of 2023. For the six months, the net loss was $17.6 million, down from $26.9 million year-over-year. The basic loss per share for the three months was $(0.04), compared to $(0.44) in the previous year, while for the six months, it was $(0.91), an improvement from $(1.40).

The company’s total assets increased to $669.5 million as of August 3, 2024, up from $664.2 million in February 2024. However, cash and cash equivalents decreased to $65.8 million from $88.9 million during the same period. Total liabilities rose to $349.7 million, with total current liabilities increasing to $180.8 million.

Zumiez has also initiated a share repurchase program, approved on June 5, 2024, allowing for the repurchase of up to $25 million of its common stock, with $5.6 million remaining available as of August 3, 2024. The company continues to focus on its North American growth strategy, which includes optimizing customer engagement and expanding its store presence, while also facing challenges related to international operations and market conditions.

Overall, Zumiez's financial performance indicates a recovery trajectory, with improved sales and reduced losses, although it continues to navigate various operational challenges.