1-800-FLOWERS.COM (FLWS) Q4 2025 earnings summary

Executive summary

• Leadership transition with a new CEO focused on transformation, customer-centricity, and long-term growth.

• Fiscal 2025 revenue was $1.69 billion, down 8.0% year-over-year, with a net loss of $200.0 million, including a $143.8 million non-cash goodwill and intangible impairment charge.

• Business stabilization and identification of immediate and long-term improvement actions.

• Emphasis on evolving customer expectations, technology, and intensifying competition.

• Strategic shift to a customer-centric, data-driven, and agile organization.

Financial highlights

• Q4 consolidated revenue declined 6.7% year-over-year to $336.6 million; full-year revenue down 8% to $1.69 billion.

• Q4 gross margin fell 290 basis points to 35.5%; full-year gross margin was 38.7%, or 39.1% excluding $6.6 million in system costs.

• Q4 adjusted EBITDA loss of $24.2 million; full-year adjusted EBITDA $29.2 million, down from $93.1 million prior year.

• Net debt at year-end was $114 million, up from $31 million a year ago; cash balance at $46.5 million, down from $159.4 million.

• Free cash flow was negative $67.8 million, compared to positive $56.4 million last year.

Outlook and guidance

• Fiscal 2026 is positioned as a pivotal foundation-setting year, focusing on cost savings, efficiency, and building a customer-centric, data-driven organization.

• Strategic priorities include expanding beyond e-commerce, driving organizational efficiency, and strengthening talent and accountability.

• CapEx expected to be slightly down year-over-year, with investments in physical retail included.

• Management expects these changes to set the stage for sustainable revenue and profit growth.