Jacob Mutchler, Research Analyst, Noble Capital Markets, Inc.
Michael Kupinski, Director of Research, Equity Research Analyst, Digital, Media & Technology , Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Q1 results. The company reported fiscal first-quarter 2027 revenue from continuing operations of $171.4 million, an 11.1% decline from $192.7 million in the prior-year period. Notably, despite the revenue decline, the adjusted EBITDA loss was essentially unchanged at $31.9 million, compared with $31.7 million a year ago. A $10.3 million reduction in operating expenses largely offset weaker sales and a 120-basis-point contraction in gross margin.
Improving Demand Trends. E-Commerce revenue declined 12.3%, as weakness at smaller websites and in B2B operations outweighed improving demand at 1-800-Flowers.com and Harry & David. Net order demand at these primary websites declined 8.0% during the quarter, compared with 36.0% at smaller websites. Following quarter-end, the decline at the primary websites moderated to 3.4% in October, providing early support for the company’s strategy of concentrating investment on its core brands.
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*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
Reports Revenue of $171.4 million, a Net Loss from Continuing Operations of $50.6 million, and an Adjusted EBITDA1 Loss from Continuing Operations of $31.9 million
Updates Fiscal 2027 Outlook to Reflect the Impact of the Previously Announced Sale of PersonalizationMall.com and Things Remembered
JERICHO, N.Y.–(BUSINESS WIRE)– 1-800-FLOWERS.COM, Inc. (NASDAQ: FLWS), a leading gifting company focused on inspiring customers to give more, connect more, and build more meaningful relationships, today reported results for its Fiscal 2027 first quarter ended September 27, 2026.
“We entered fiscal 2027 with a clear priority on strengthening our primary websites, 1-800-Flowers.com and Harry & David, which represent the greatest opportunity to improve our overall performance,” said Adolfo Villagomez, Chief Executive Officer. “During the fiscal first quarter, we began to see signs of progress across our primary websites, with improving net order demand trends and a moderation in the pace of year-over-year declines. While we are still in the early stages of our transformation, these developments are encouraging and suggest that our initiatives are beginning to take hold.”
“We are also making progress in simplifying our business and strengthening our financial position,” said James Langrock, Chief Financial Officer. “Following our announcement last quarter that we were evaluating capital-raising options, we completed the sale of PersonalizationMall.com and Things Remembered during the fiscal second quarter and entered into an agreement to sell our Jacksonville, FL facility. These actions reflect our continued focus on optimizing our capital structure, reducing debt and providing capital to invest in initiatives that improve performance. Additionally, we updated our segment reporting structure to better reflect how we now operate and manage the business, while providing investors with greater visibility into our performance.”
Beginning with the first quarter of fiscal 2027, the Company has revised its reportable segment structure to better reflect how the business is organized, managed and evaluated today. Under the new structure, the Company will report results across E-Commerce, Wholesale and Other, and BloomNet, replacing its previous Consumer Floral & Gifts, Gourmet Foods & Gift Baskets and BloomNet segments.
The E-Commerce segment includes sales made directly to customers through the Company’s owned websites, third-party marketplaces, and its business-to-business (B2B) operations. The Wholesale and Other segment primarily includes sales of products to retailers and other distribution partners. The BloomNet segment primarily includes sales of products and services to florists in its member network.
This change reflects the evolution of the Company’s operating model over the past year, including a greater focus on managing the business across channels and functions rather than primarily by individual brands and product categories. The new structure is intended to provide greater alignment between the Company’s financial reporting and how management evaluates performance, allocates resources and identifies opportunities for profitable growth.
Additionally, beginning this quarter, the Company will provide a breakdown of net order demand trends between its primary websites, which include 1-800-Flowers.com and Harry & David, and the Company’s other websites. These trends reflect orders placed directly through the Company’s owned websites and mobile apps by both individual and business customers. Orders placed through third-party marketplaces or through the Company’s B2B sales representatives are excluded. This additional disclosure is intended to provide investors with greater visibility into the performance of the Company’s primary websites and the progress of its initiatives to strengthen these businesses.
Fiscal 2027 First Quarter Performance
Total consolidated revenues decreased 11.1% to $171.4 million, compared with the prior year period. E-Commerce segment revenues declined 12.3% to $128.4 million, compared with the prior-year period, reflecting continued weakness across the Company’s other websites and business-to-business (B2B) operations, partially offset by improving demand trends across its primary websites, where the Company has concentrated its resources and investments. Wholesale and Other segment revenues decreased 10.7% to $20.5 million, while BloomNet segment revenues decreased 3.6% to $22.3 million, both compared with the prior year period.
Gross profit margin decreased 120 basis points to 34.1%, compared with 35.3% in the prior year period, reflecting lower sales volume, higher fuel surcharges, and promotional strategy testing, partially offset by savings from the Company’s cost efficiency initiatives.
Operating expenses decreased $10.3 million year-over-year to $105.0 million. Excluding non-recurring charges and the impact of the Company’s non-qualified deferred compensation plan in both periods, operating expenses decreased $10.6 million as compared with the prior year to $102.3 million, primarily due to lower marketing and labor costs.
Net loss from continuing operations for the quarter was $(50.6) million, or $(0.79) per diluted share, as compared to a net loss from continuing operations of $(49.0) million, or $(0.77) per share, in the prior year period.
Adjusted net loss1 from continuing operations was $(49.8) million, or $(0.78) per diluted share, compared with an Adjusted net loss1 from continuing operations of $(49.0) million, or $(0.77) per share, in the prior year period.
Adjusted EBITDA1 loss from continuing operations for the quarter was $(31.9) million, compared with an Adjusted EBITDA1 loss from continuing operations of $(31.7) million in the prior year period.
(1)
Refer to “Definitions of Non-GAAP Financial Measures” and the tables attached at the end of this press release for reconciliation of non-GAAP results to applicable GAAP results.
Jacksonville, FL Facility Sale
As part of its ongoing efforts to optimize its capital structure and enhance financial flexibility, the Company has entered into an agreement to sell its Jacksonville, FL facility for approximately $10 million, subject to due diligence and customary closing conditions. Proceeds from the transaction are expected to support debt reduction and strategic investments in the business.
Fiscal Year 2027 Outlook
Following the recently announced divestiture of PersonalizationMall.com and Things Remembered, the Company is updating its fiscal 2027 outlook to reflect the expected impact of the transaction.
The updated outlook reflects the expected impact of the divestiture, including the removal of the divested businesses from the Company’s results following the closing of the transaction, as well as the planned reinvestment of a portion of the proceeds in revenue-generating initiatives across its primary websites.
For fiscal 2027, the Company now expects total revenues to decline between 2% to 5% and Adjusted EBITDA of approximately $10 million to $15 million.
Conference Call
The Company will conduct a conference call to discuss its financial results today, November 5, 2026, at 8:00 a.m. (ET). The conference call will be webcast from the Investors section of the Company’s website at www.1800flowersinc.com. A recording of the call will be posted on the Investors section of the Company’s website within two hours of the call’s completion.
Definitions of non-GAAP Financial Measures:
We sometimes use financial measures that are not presented in our financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). These measures are considered non-GAAP financial measures under the rules of the U.S. Securities and Exchange Commission. Non-GAAP financial measures referred to in this document are either labeled as “non-GAAP,” “adjusted” or designated as such with a “1”. See below for definitions and the reasons why we use these non-GAAP financial measures. See the Selected Financial Information below for reconciliations of these non-GAAP measures to their most directly comparable GAAP financial measures. Reconciliations for forward-looking figures would require unreasonable efforts at this time because of the uncertainty and variability of the nature and amount of certain components of various necessary GAAP components, including, for example, those related to compensation, tax items, amortization or others that may arise during the year, and the Company’s management believes such reconciliations would imply a degree of precision that would be confusing or misleading to investors. For the same reasons, the Company is unable to address the probable significance of the unavailable information. The lack of such reconciling information should be considered when assessing the impact of such disclosures.
We define our non-GAAP financial measures as follows:
EBITDA and Adjusted EBITDA: We define EBITDA as net income (loss) from continuing operations before interest, taxes, depreciation, and amortization. Adjusted EBITDA is defined as EBITDA adjusted for the impact of stock-based compensation, Non-Qualified Deferred Compensation Plan (“NQDC”) investment appreciation/depreciation, and for certain items affecting period-to-period comparability. See Selected Financial Information for details on how EBITDA and Adjusted EBITDA were calculated for each period presented. The Company presents EBITDA and Adjusted EBITDA because it considers such information meaningful supplemental measures of its performance and believes such information is frequently used by the investment community in the evaluation of similarly situated companies. The Company uses EBITDA and Adjusted EBITDA as factors to determine the total amount of incentive compensation available to be awarded to executive officers and other employees. The Company’s credit agreement uses EBITDA and Adjusted EBITDA-related items to determine its interest rate and to measure compliance with certain covenants. EBITDA and Adjusted EBITDA are also used by the Company to evaluate and price potential acquisition candidates. EBITDA and Adjusted EBITDA have limitations as analytical tools and should not be considered in isolation or as a substitute for analysis of the Company’s results as reported under GAAP. Some of the limitations are: (a) EBITDA and Adjusted EBITDA do not reflect changes in, or cash requirements for, the Company’s working capital needs; (b) EBITDA and Adjusted EBITDA do not reflect the interest expense, or the cash requirements necessary to service interest or principal payments, on the Company’s debts; and (c) although depreciation and amortization are non-cash charges, the assets being depreciated and amortized may have to be replaced in the future and EBITDA does not reflect any cash requirements for such capital expenditures. EBITDA and Adjusted EBITDA should only be used on a supplemental basis combined with GAAP results when evaluating the Company’s performance.
Adjusted Net Income (Loss) and Adjusted or Comparable Net Income (Loss) Per Common Share: We define Adjusted Net Income (Loss) and Adjusted or Comparable Net Income (Loss) Per Common Share as Net Income (Loss) from continuing operations and Net Income (Loss) Per Common Share from continuing operations adjusted for certain items affecting period-to-period comparability. See Selected Financial Information below for details on how Adjusted Net Income (Loss) Per Common Share and Adjusted or Comparable Net Income (Loss) Per Common Share were calculated for each period presented. We believe that Adjusted Net Income (Loss) and Adjusted or Comparable Net Income (Loss) Per Common Share are meaningful measures because they increase the comparability of period-to-period results. Since these are not measures of performance calculated in accordance with GAAP, they should not be considered in isolation of, or as a substitute for, GAAP Net Income (Loss) and Net Income (Loss) Per Common Share, as indicators of operating performance and they may not be comparable to similarly titled measures employed by other companies.
Free Cash Flow: We define Free Cash Flow as net cash provided by (used in) operating activities from continuing operations less capital expenditures. The Company considers Free Cash Flow to be a liquidity measure that provides useful information to management and investors about the amount of cash generated by the business after the purchases of fixed assets, which can then be used to, among other things, invest in the Company’s business, make strategic acquisitions, strengthen the balance sheet, and repurchase stock or retire debt. Free Cash Flow is a liquidity measure that is frequently used by the investment community in the evaluation of similarly situated companies. Since Free Cash Flow is not a measure of performance calculated in accordance with GAAP, it should not be considered in isolation or as a substitute for analysis of the Company’s results as reported under GAAP. A limitation of the utility of Free Cash Flow as a measure of financial performance is that it does not represent the total increase or decrease in the Company’s cash balance for the period.
Segment Profitability Measure:
Segment Contribution Margin: We define Segment Contribution Margin as segment revenues less cost of sales, credit card fees, and direct advertising costs directly attributable to the respective segments. Segment Contribution Margin is the measure of segment profit or loss regularly reviewed by the Company’s Chief Operating Decision Maker to evaluate segment performance and allocate resources and is reported in accordance with ASC 280, Segment Reporting. The Company believes Segment Contribution Margin provides useful information to investors in evaluating the performance of its reportable segments. Segment Contribution Margin excludes certain expenses that are managed centrally and are not allocated to the Company’s reportable segments. Accordingly, Segment Contribution Margin should be considered in conjunction with the Company’s consolidated results reported in accordance with GAAP.
Key Operating Metrics:
The Company uses certain operating metrics to evaluate its business performance and assess underlying trends. These metrics are supplemental to the Company’s financial results reported in accordance with GAAP.
Net Order Demand: We define Net Order Demand as the value of customer orders placed through the Company’s owned websites and apps by both individual and business customers during the period, regardless of when the related orders are fulfilled and revenue is recognized. It excludes third-party marketplace orders and B2B orders placed through our sales representatives. The Company’s primary websites include 1-800-Flowers.com and Harry & David, while the Company’s other websites include the remaining websites in the Company’s portfolio. The Company considers Net Order Demand to be an operating metric that provides useful information to management and investors in evaluating underlying customer demand, business performance and trends in customer purchasing activity. Net Order Demand differs from Net Sales reported in accordance with GAAP, primarily due to differences in the timing of order placement, fulfillment and revenue recognition. Accordingly, Net Order Demand should not be considered in isolation or as a substitute for the Company’s reported Net Sales.
About 1-800-FLOWERS.COM, Inc.
1-800-FLOWERS.COM, Inc. (NASDAQ: FLWS) is a leading gifting company focused on inspiring customers to give more, connect more, and build more meaningful relationships. The Company offers a broad selection of flowers, gifts, and gourmet foods to help customers celebrate life’s special moments.
The Company’s family of brands is led by 1-800-Flowers.com® and Harry & David®, and includes other well-recognized gifting brands such as Cheryl’s Cookies®, Shari’s Berries®, and Moose Munch®. Through its e-commerce platform and Celebrations Passport® loyalty program, the Company strives to make gifting easier and more convenient for customers. The Company also operates BloomNet®, a provider of products and services to the floral industry, as well as wholesale businesses Napco℠ and DesignPac®.
For more information, visit 1800flowersinc.com.
FLWS-COMP FLWS-FN
Special Note Regarding Forward Looking Statements:
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent the Company’s current expectations or forecasts concerning future events; they do not relate strictly to historical or current facts. Such statements can generally be identified by words such as “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “believe,” “foresee,” “forecast,” “likely,” “should,” “will,” “target,” or similar words or phrases. These forward-looking statements are subject to risks, uncertainties, and other factors, many of which are outside of the Company’s control, which could cause actual results to differ materially from the results expressed or implied in the forward-looking statements, including, but not limited to, statements relating to future actions; the Company’s ability to leverage its operating platform and reduce its operating expense ratio; its ability to successfully integrate acquired businesses and assets; its ability to successfully execute its strategic priorities; its ability to cost effectively acquire and retain customers and drive purchase frequency; the outcome of contingencies, including legal proceedings in the normal course of business; its ability to compete against existing and new competitors; its ability to manage expenses associated with sales and marketing and necessary general and administrative and technology investments; its ability to reduce promotional activities and achieve more efficient marketing programs; and general consumer sentiment and industry and economic conditions that may affect levels of discretionary customer purchases of the Company’s products. The Company cannot guarantee that any forward-looking statement will be realized. Achievement of future results is subject to risk, uncertainties and potentially inaccurate assumptions. Should known or unknown risks or uncertainties materialize, or should underlying assumptions prove inaccurate, actual results could differ materially from past results and those anticipated, estimated or projected. You should bear this in mind as you consider forward-looking statements. The Company undertakes no obligation to publicly update any of the forward-looking statements, whether because of new information, future events or otherwise, made in this release or in any of its SEC filings. Consequently, you should not consider any such list to be a complete set of all potential risks and uncertainties. For a more detailed description of these and other risk factors, refer to the Company’s SEC filings, including the Company’s Annual Reports on Form 10-K and its Quarterly Reports on Form 10-Q.
Michael Kupinski, Director of Research, Equity Research Analyst, Digital, Media & Technology , Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Additional cost savings identified. The company highlighted $50 million in annualized run-rate cost savings achieved ahead of schedule in fiscal 2026 and identified an additional $15 million to $20 million in potential annualized savings for fiscal 2027. We believe these initiatives could support a recovery in profitability, although the timing and extent of the EBITDA contribution remain uncertain.
Focus on financial flexibility. The company highlighted an amendment to its credit agreement that extends covenant relief and provides greater flexibility in using asset-sale proceeds. In addition, the company is evaluating financing alternatives, including potential debt or equity transactions and nonstrategic asset divestitures.
Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
Transaction Sharpens Portfolio Focus, Strengthens Financial Position and Provides Additional Capacity to Invest in the Company’s Primary Brands and Strategic Growth Initiatives
JERICHO, N.Y.–(BUSINESS WIRE)– 1-800-FLOWERS.COM, Inc. (NASDAQ: FLWS) (the “Company”), a leading provider of thoughtful expressions designed to help inspire customers to give more, connect more, and build more and better relationships, today announced that it has entered into a definitive agreement to sell PersonalizationMall.com and Things Remembered to PlanetArt, LLC, a leading global technology platform for personalized, make on demand e-commerce products, for approximately $45 million in cash, subject to customary closing conditions.
The transaction represents another step in 1-800-FLOWERS.COM, Inc.’s ongoing efforts to simplify its business, increase its focus on its primary brands, and allocate resources toward the opportunities it believes offer the greatest potential to drive sustainable, profitable growth and long-term shareholder value.
“The sale of PersonalizationMall.com enables us to further sharpen our portfolio focus, strengthen our financial position and create additional capacity to invest in the strategic initiatives we believe offer the greatest opportunity to drive improved performance and long-term growth,” said Adolfo Villagomez, Chief Executive Officer of 1-800-FLOWERS.COM, Inc. “As we continue to simplify our business, we are taking a disciplined approach to where ownership creates strategic value and where partnerships can provide a more efficient way to serve our customers. This transaction reflects that approach and provides us with greater financial flexibility as we continue executing our transformation and positioning the Company for sustainable, profitable growth. We believe PlanetArt is a strong strategic fit for PersonalizationMall.com and Things Remembered and is well positioned to support the business’s continued growth and success.”
In connection with the transaction, the Company and PlanetArt expect to enter into a commercial agreement that will enable 1-800-FLOWERS.COM, Inc. to continue offering select PersonlizationMall.com product to its customers.
The transaction is targeted to close within the coming weeks, subject to customary closing conditions.
Fiscal 2027 Outlook The Company’s fiscal 2027 guidance provided on September 10, 2026, did not incorporate the impact of the transaction announced today. The Company is evaluating the impact of the transaction on its fiscal 2027 financial results, along with the planned reinvestment of a portion of the proceeds in revenue-generating initiatives across its primary brands. The Company expects to provide an update regarding its fiscal 2027 guidance in conjunction with its fiscal 2027 first quarter earnings release.
About 1-800-FLOWERS.COM, Inc. 1-800-FLOWERS.COM, Inc. is a leading provider of thoughtful expressions designed to help inspire customers to give more, connect more, and build more and better relationships. The Company’s e-commerce business platform features an all-star family of brands, including: 1-800-Flowers.com®, 1-800-Baskets.com®, Card Isle®, Cheryl’s Cookies®, Harry & David®, PersonalizationMall.com®, Shari’s Berries®, FruitBouquets.com®, Things Remembered®, Moose Munch®, The Popcorn Factory®, Wolferman’s Bakery®, Vital Choice®, Simply Chocolate® and Scharffen Berger®. Through the Celebrations Passport® loyalty program, which provides members with free standard shipping and no service charge on eligible products across our portfolio of brands, 1-800-FLOWERS.COM, Inc. strives to deepen relationships with customers. The Company also operates BloomNet®, an international floral and gift industry service provider offering a broad-range of products and services designed to help its members grow their businesses profitably; Napco℠, a resource for floral gifts and seasonal décor; and DesignPac®, a manufacturer of gift baskets and towers. 1-800-FLOWERS.COM, Inc. was recognized among America’s Most Trustworthy Companies by Newsweek for 2024. 1-800-FLOWERS.COM, Inc. was also recognized as one of America’s Most Admired Workplaces for 2025 by Newsweek and was named to the Fortune 1000 list in 2022. Shares in 1-800-FLOWERS.COM, Inc. are traded on the NASDAQ Global Select Market, ticker symbol: FLWS. For more information, visit 1800flowersinc.com.
FLWS-COMP FLWS-FN
Special Note Regarding Forward Looking Statements: This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent the Company’s current expectations or forecasts concerning future events; they do not relate strictly to historical or current facts. Such statements can generally be identified by words such as “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “believe,” “foresee,” “forecast,” “likely,” “should,” “will,” “target,” or similar words or phrases. These forward-looking statements are subject to risks, uncertainties, and other factors, many of which are outside of the Company’s control, which could cause actual results to differ materially from the results expressed or implied in the forward-looking statements, including, but not limited to, statements relating to future actions; the Company’s ability to complete its planned divestiture of PersonalizationMall.com and Things Remembered, including the timing of the transaction; the Company’s ability to leverage its operating platform and reduce its operating expense ratio; its ability to successfully integrate acquired businesses and assets; its ability to successfully execute its strategic priorities; its ability to cost effectively acquire and retain customers and drive purchase frequency; the outcome of contingencies, including legal proceedings in the normal course of business; its ability to compete against existing and new competitors; its ability to manage expenses associated with sales and marketing and necessary general and administrative and technology investments; its ability to reduce promotional activities and achieve more efficient marketing programs; and general consumer sentiment and industry and economic conditions that may affect levels of discretionary customer purchases of the Company’s products. The Company cannot guarantee that any forward-looking statement will be realized. Achievement of future results is subject to risk, uncertainties and potentially inaccurate assumptions. Should known or unknown risks or uncertainties materialize, or should underlying assumptions prove inaccurate, actual results could differ materially from past results and those anticipated, estimated or projected. You should bear this in mind as you consider forward-looking statements. The Company undertakes no obligation to publicly update any of the forward-looking statements, whether because of new information, future events or otherwise, made in this release or in any of its SEC filings. Consequently, you should not consider any such list to be a complete set of all potential risks and uncertainties. For a more detailed description of these and other risk factors, refer to the Company’s SEC filings, including the Company’s Annual Reports on Form 10-K and its Quarterly Reports on Form 10-Q.
Michael Kupinski, Director of Research, Equity Research Analyst, Digital, Media & Technology , Noble Capital Markets, Inc.
Jacob Mutchler, Research Analyst, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Q4 results reflect continued top-line pressure. Fiscal Q4 revenue declined 12.9% to $293.1 million, with Consumer Floral & Gifts down 13.4% and Gourmet Foods & Gift Baskets down 15.4%, partially offset by 1.9% growth at BloomNet. Adjusted EBITDA was a loss of $31.0 million compared with a loss of $24.2 million in the prior-year period, as revenue deleverage and cost pressures more than offset operating efficiencies.
Underlying trends provide signs of progress. Importantly, Consumer Floral & Gifts gross margin rose 220 basis points to 40.7%, while contribution margin remained relatively stable. Management also indicated that the flowers category is now generating positive sales on many days and weeks, providing early evidence that changes to merchandising, fulfillment, and the digital customer experience may be improving the underlying revenue trajectory.
Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
JERICHO, N.Y.–(BUSINESS WIRE)– 1-800-FLOWERS.COM, Inc. (NASDAQ: FLWS) (the “Company”),a leading provider of thoughtful expressions designed to help inspire customers to give more, connect more, and build more and better relationships, today announced that the Company will release financial results for its fiscal 2026 fourth quarter and year-end on Thursday, September 10, 2026. The press release will be issued before the market opens and will be followed by a conference call with members of senior management at 8:00 a.m. (ET).
The conference call will be available via live webcast on the Investors section of the Company’s website at www.1800flowersinc.com/investors. A replay of the webcast will be available shortly after the live event has concluded. A telephone replay of the call will be available beginning at 2:00 p.m. (ET) on September 10, 2026, through September 17, 2026, by dialing (855) 669-9658 or (412) 317-0088 for international callers; the passcode is 8022292.
Special Note Regarding Forward-Looking Statements:
Some of the statements contained in the Company’s press release and conference call regarding its fiscal 2026 fourth quarter and year-end results, other than statements of historical fact, may be forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. These statements involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied in the applicable statements. For a more detailed description of these and other risk factors, please refer to the Company’s SEC filings including its Annual Reports and Forms 10-K and 10-Q available at the Investor Relations section of the Company’s website at 1800flowersinc.com. The Company expressly disclaims any intent or obligation to update any of the forward-looking statements made in the scheduled conference call and any recordings thereof, or in any of its SEC filings, except as may be otherwise stated by the Company.
About 1-800-FLOWERS.COM, Inc.
1-800-FLOWERS.COM, Inc. is a leading provider of thoughtful expressions designed to help inspire customers to share more, connect more, and build more and better relationships. The Company’s e-commerce business platform features an all-star family of brands, including: 1-800-Flowers.com®, 1-800-Baskets.com®, Card Isle®, Cheryl’s Cookies®, Harry & David®, PersonalizationMall.com®, Shari’s Berries®, FruitBouquets.com®, Things Remembered®, Moose Munch®, The Popcorn Factory®, Wolferman’s Bakery®, Vital Choice®, Simply Chocolate® and Scharffen Berger®. Through the Celebrations Passport® loyalty program, which provides members with free standard shipping and no service charge on eligible products across our portfolio of brands, 1-800-FLOWERS.COM, Inc. strives to deepen relationships with customers. The Company also operates BloomNet®, an international floral and gift industry service provider offering a broad range of products and services designed to help members grow their businesses profitably; Napco℠, a resource for floral gifts and seasonal décor; and DesignPac®, a manufacturer of gift baskets and towers. 1-800-FLOWERS.COM, Inc. was recognized among America’s Most Trustworthy Companies by Newsweek for 2024. 1-800-FLOWERS.COM, Inc. was also recognized as one of America’s Most Admired Workplaces for 2025 by Newsweek and was named to the Fortune 1000 list in 2022. Shares in 1-800-FLOWERS.COM, Inc. are traded on the NASDAQ Global Select Market, ticker symbol: FLWS. For more information, visit 1800flowersinc.com.
Michael Kupinski, Director of Research, Equity Research Analyst, Digital, Media & Technology , Noble Capital Markets, Inc.
Jacob Mutchler, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Q3 reflects cost discipline. Fiscal Q3 revenue declined 11.6% to $293.0 million, driven by disciplined marketing spend and traffic headwinds, particularly within Consumer Floral & Gifts. Despite the top-line decline, gross margin expanded 150 basis points to 33.2%, and adjusted EBITDA improved to a loss of $(31.2) million from $(34.9) million in the prior year period, reflecting early benefits from cost initiatives and pricing discipline
Underlying segment-level profitability. While demand remains pressured, profitability improved across key segments. Consumer Floral & Gifts delivered higher contribution margins despite revenue declines, and Gourmet Foods & Gift Baskets narrowed losses, reflecting better cost controls and operational efficiencies. These trends suggest that management’s focus on marketing efficiency, pricing discipline, and cost rationalization is beginning to gain traction.
Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
Reports Revenue of $293.0 million, a Net Loss of $100.1 million, which includes a $45.2 millionnon-cash goodwill and intangible impairment charge, and an Adjusted EBITDA1 Loss of $31.2 million
JERICHO, N.Y.–(BUSINESS WIRE)– 1-800-FLOWERS.COM, Inc. (NASDAQ: FLWS), a leading provider of thoughtful expressions designed to help inspire customers to give more, connect more, and build more and better relationships, today reported results for its Fiscal 2026 third quarter ended March 29, 2026.
“During the third quarter, we continued to make meaningful progress on our strategic initiatives as we strengthen the business and position it for long-term, profitable growth,” said Adolfo Villagomez, Chief Executive Officer. “We delivered significantly improved performance across key customer experience metrics for Valentine’s Day, reflecting stronger execution and a clear focus on the customer. Importantly, we are beginning to see tangible evidence that these actions are improving performance across the business. We also made significant progress on our cost savings initiatives, achieving our previously announced two-year target ahead of plan, which reflects the discipline and execution across the organization. As we realize these savings, we are thoughtfully deploying them, including reinvesting a portion back into the business as we shift toward a more balanced approach and begin testing targeted marketing investments to support stabilization and future growth. While our work is not complete, we are encouraged by the progress we are making.”
Fiscal 2026 Third Quarter Performance
Total consolidated revenues decreased 11.6% to $293.0 million, compared with the prior year period, primarily reflecting a strategic shift to improve marketing effectiveness and profitability. Consumer Floral & Gifts revenues declined 18.7%, while Gourmet Foods & Gift Baskets revenues were essentially flat, benefitting from the timing of Easter. Performance in the Consumer Floral & Gifts segment reflects the more pronounced impact of prior-year inefficient marketing spend, along with ongoing changes in search engine results pages and pressure on direct traffic.
Gross profit margin increased 150 basis points to 33.2%, compared with 31.7% in the prior year period. Excluding the impact of system implementation issues in the year ago period, gross profit margin improved 10 basis points as compared with the prior year period.
Operating expenses decreased $106.6 million year-over-year to $191.9 million. Results for the current period include a $45.2 million non-cash goodwill and intangible impairment charge related to the Company’s Consumer Floral & Gifts segment and its Personalization Mall trademark. Excluding non-recurring charges and the impact of the Company’s non-qualified deferred compensation plan in both periods, operating expenses decreased $16.4 million as compared with the prior year to $144.3 million, primarily due to lower marketing and labor costs.
Net loss for the quarter was $(100.1) million, or $(1.56) per diluted share, as compared to a net loss of $(178.2) million, or $(2.80) per share, in the prior year period.
Adjusted net loss1 was $(49.6) million, or $(0.77) per diluted share, compared with an Adjusted net loss1 of $(44.9) million, or $(0.71) per share, in the prior year period.
Adjusted EBITDA1 for the quarter was $(31.2) million, compared with Adjusted EBITDA1 of $(34.9) million in the prior year period.
Refer to “Definitions of Non-GAAP Financial Measures” and the tables attached at the end of this press release for reconciliation of non-GAAP results to applicable GAAP results.
Segment Results
The Company provides Fiscal 2026 third quarter selected financial results for its Gourmet Foods & Gift Baskets, Consumer Floral & Gifts, and BloomNet® segments in the tables attached to this release and as follows:
Gourmet Foods & Gift Baskets: For the quarter, revenues were $106.9 million, essentially flat compared with the prior year period. Excluding system implementation costs in the prior year period, gross profit margin increased 10 basis points to 22.6%, as cost reduction initiatives offset higher tariffs and commodity costs. The segment contribution margin1 loss was $(15.8) million, compared with $(22.3) million in the prior year period, excluding severance and system implementation costs.
Consumer Floral & Gifts: For the quarter, revenues declined 18.7% to $159.4 million, as compared with the prior year period. Gross profit margin increased 120 basis points from the prior year period to 38.0%, reflecting improved pricing discipline, more targeted promotional activity, and better alignment between florist-fulfilled and direct shipment offerings, partially offset by higher tariffs. The segment contribution margin1 was $10.4 million, compared with $6.5 million in the prior year period, excluding severance and impairment costs.
BloomNet: For the quarter, revenues decreased 5.9% to $26.9 million, as compared with the prior year period. Gross profit margin declined 50 basis points from the prior year period to 46.4%. The segment contribution margin1 was $7.5 million, compared with $8.5 million in the prior year period, excluding severance costs.
Fiscal Year 2026 Outlook
The Company continues to view Fiscal 2026 as a foundational year focused on stabilizing the business, improving execution, and building a stronger platform for long-term growth through its strategic priorities, including enhancing its customer-first approach, expanding third-party distribution, improving marketing efficiency, and driving structural cost savings. These actions are strengthening the foundation for sustainable revenue and profit growth over time.
For Fiscal Year 2026, the Company expects revenue to decline by approximately 10% to 12% as compared with the prior year and Adjusted EBITDA to be approximately breakeven, within a range of plus or minus $2 million, which includes approximately $22 million of anticipated incentive compensation and consultant costs incurred during the fiscal year. These expectations reflect the continued impact of a more disciplined marketing strategy, changes in search engine results pages affecting organic traffic, and the ongoing transition toward a more efficient demand-generation model.
Conference Call
The Company will conduct a conference call to discuss its financial results today, May 7, 2026, at 8:00 a.m. (ET). The conference call will be webcast from the Investors section of the Company’s website at www.1800flowersinc.com. A recording of the call will be posted on the Investors section of the Company’s website within two hours of the call’s completion.
Definitions of non-GAAP Financial Measures:
We sometimes use financial measures derived from consolidated financial information, but not presented in our financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). Certain of these are considered “non-GAAP financial measures” under the U.S. Securities and Exchange Commission rules. Non-GAAP financial measures referred to in this document are either labeled as “non-GAAP,” “adjusted” or designated as such with a “1”. See below for definitions and the reasons why we use these non-GAAP financial measures. Where applicable, see the Selected Financial Information below for reconciliations of these non-GAAP measures to their most directly comparable GAAP financial measures. Reconciliations for forward-looking figures would require unreasonable efforts at this time because of the uncertainty and variability of the nature and amount of certain components of various necessary GAAP components, including, for example, those related to compensation, tax items, amortization or others that may arise during the year, and the Company’s management believes such reconciliations would imply a degree of precision that would be confusing or misleading to investors. For the same reasons, the Company is unable to address the probable significance of the unavailable information. The lack of such reconciling information should be considered when assessing the impact of such disclosures.
EBITDA and Adjusted EBITDA:
We define EBITDA as net income (loss) before interest, taxes, depreciation, and amortization. Adjusted EBITDA is defined as EBITDA adjusted for the impact of stock-based compensation, Non-Qualified Deferred Compensation Plan (“NQDC”) investment appreciation/depreciation, and for certain items affecting period-to-period comparability. See Selected Financial Information for details on how EBITDA and Adjusted EBITDA were calculated for each period presented. The Company presents EBITDA and Adjusted EBITDA because it considers such information meaningful supplemental measures of its performance and believes such information is frequently used by the investment community in the evaluation of similarly situated companies. The Company uses EBITDA and Adjusted EBITDA as factors to determine the total amount of incentive compensation available to be awarded to executive officers and other employees. The Company’s credit agreement uses EBITDA and Adjusted EBITDA-related items to determine its interest rate and to measure compliance with certain covenants. EBITDA and Adjusted EBITDA are also used by the Company to evaluate and price potential acquisition candidates. EBITDA and Adjusted EBITDA have limitations as analytical tools and should not be considered in isolation or as a substitute for analysis of the Company’s results as reported under GAAP. Some of the limitations are: (a) EBITDA and Adjusted EBITDA do not reflect changes in, or cash requirements for, the Company’s working capital needs; (b) EBITDA and Adjusted EBITDA do not reflect the interest expense, or the cash requirements necessary to service interest or principal payments, on the Company’s debts; and (c) although depreciation and amortization are non-cash charges, the assets being depreciated and amortized may have to be replaced in the future and EBITDA does not reflect any cash requirements for such capital expenditures. EBITDA and Adjusted EBITDA should only be used on a supplemental basis combined with GAAP results when evaluating the Company’s performance.
Segment Contribution Margin and Adjusted Segment Contribution Margin:
We define Segment Contribution Margin as earnings before interest, taxes, depreciation, and amortization, before the allocation of corporate overhead expenses. Adjusted Segment Contribution Margin is defined as Segment Contribution Margin adjusted for certain items affecting period-to-period comparability. See Selected Financial Information for details on how Segment Contribution Margin and Adjusted Segment Contribution Margin were calculated for each period presented. When viewed together with our GAAP results, we believe Segment Contribution Margin and Adjusted Segment Contribution Margin provide management and users of the financial statements meaningful information about the performance of our business segments. Segment Contribution Margin and Adjusted Segment Contribution Margin are used in addition to and in conjunction with results presented in accordance with GAAP and should not be relied upon to the exclusion of GAAP financial measures. The material limitation associated with the use of Segment Contribution Margin and Adjusted Segment Contribution Margin is that they are an incomplete measure of profitability as they do not include all operating expenses or non-operating income and expenses. Management compensates for this limitation when using these measures by looking at other GAAP measures, such as Operating Income (Loss) and Net Income (Loss).
Adjusted Net Income (Loss) and Adjusted or Comparable Net Income (Loss) Per Common Share:
We define Adjusted Net Income (Loss) and Adjusted or Comparable Net Income (Loss) Per Common Share as Net Income (Loss) and Net Income (Loss) Per Common Share adjusted for certain items affecting period-to-period comparability. See Selected Financial Information below for details on how Adjusted Net Income (Loss) Per Common Share and Adjusted or Comparable Net Income (Loss) Per Common Share were calculated for each period presented. We believe that Adjusted Net Income (Loss) and Adjusted or Comparable Net Income (Loss) Per Common Share are meaningful measures because they increase the comparability of period-to-period results. Since these are not measures of performance calculated in accordance with GAAP, they should not be considered in isolation of, or as a substitute for, GAAP Net Income (Loss) and Net Income (Loss) Per Common Share, as indicators of operating performance and they may not be comparable to similarly titled measures employed by other companies.
Free Cash Flow:
We define Free Cash Flow as net cash provided by (used in) operating activities less capital expenditures. The Company considers Free Cash Flow to be a liquidity measure that provides useful information to management and investors about the amount of cash generated by the business after the purchases of fixed assets, which can then be used to, among other things, invest in the Company’s business, make strategic acquisitions, strengthen the balance sheet, and repurchase stock or retire debt. Free Cash Flow is a liquidity measure that is frequently used by the investment community in the evaluation of similarly situated companies. Since Free Cash Flow is not a measure of performance calculated in accordance with GAAP, it should not be considered in isolation or as a substitute for analysis of the Company’s results as reported under GAAP. A limitation of the utility of Free Cash Flow as a measure of financial performance is that it does not represent the total increase or decrease in the Company’s cash balance for the period.
About 1-800-FLOWERS.COM, Inc.
1-800-FLOWERS.COM, Inc. is a leading provider of thoughtful expressions designed to help inspire customers to give more, connect more, and build more and better relationships. The Company’s e-commerce business platform features an all-star family of brands, including: 1-800-Flowers.com®, 1-800-Baskets.com®, Card Isle®, Cheryl’s Cookies®, Harry & David®, PersonalizationMall.com®, Shari’s Berries®, FruitBouquets.com®, Things Remembered®, Moose Munch®, The Popcorn Factory®, Wolferman’s Bakery®, Vital Choice®, Simply Chocolate® and Scharffen Berger®. Through the Celebrations Passport® loyalty program, which provides members with free standard shipping and no service charge on eligible products across our portfolio of brands, 1-800-FLOWERS.COM, Inc. strives to deepen relationships with customers. The Company also operates BloomNet®, an international floral and gift industry service provider offering a broad-range of products and services designed to help members grow their businesses profitably; Napco℠, a resource for floral gifts and seasonal décor; and DesignPac®, a manufacturer of gift baskets and towers. 1-800-FLOWERS.COM, Inc. was recognized among America’s Most Trustworthy Companies by Newsweek for 2024. 1-800-FLOWERS.COM, Inc. was also recognized as one of America’s Most Admired Workplaces for 2025 by Newsweek and was named to the Fortune 1000 list in 2022. Shares in 1-800-FLOWERS.COM, Inc. are traded on the NASDAQ Global Select Market, ticker symbol: FLWS. For more information, visit 1800flowersinc.com.
FLWS-COMP FLWS-FN
Special Note Regarding Forward Looking Statements:
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent the Company’s current expectations or forecasts concerning future events; they do not relate strictly to historical or current facts. Such statements can generally be identified by words such as “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “believe,” “foresee,” “forecast,” “likely,” “should,” “will,” “target,” or similar words or phrases. These forward-looking statements are subject to risks, uncertainties, and other factors, many of which are outside of the Company’s control, which could cause actual results to differ materially from the results expressed or implied in the forward-looking statements, including, but not limited to, statements relating to future actions; the Company’s ability to leverage its operating platform and reduce its operating expense ratio; its ability to successfully integrate acquired businesses and assets; its ability to successfully execute its strategic priorities; its ability to cost effectively acquire and retain customers and drive purchase frequency; the outcome of contingencies, including legal proceedings in the normal course of business; its ability to compete against existing and new competitors; its ability to manage expenses associated with sales and marketing and necessary general and administrative and technology investments; its ability to reduce promotional activities and achieve more efficient marketing programs; and general consumer sentiment and industry and economic conditions that may affect levels of discretionary customer purchases of the Company’s products. The Company cannot guarantee that any forward-looking statement will be realized. Achievement of future results is subject to risk, uncertainties and potentially inaccurate assumptions. Should known or unknown risks or uncertainties materialize, or should underlying assumptions prove inaccurate, actual results could differ materially from past results and those anticipated, estimated or projected. You should bear this in mind as you consider forward-looking statements. The Company undertakes no obligation to publicly update any of the forward-looking statements, whether because of new information, future events or otherwise, made in this release or in any of its SEC filings. Consequently, you should not consider any such list to be a complete set of all potential risks and uncertainties. For a more detailed description of these and other risk factors, refer to the Company’s SEC filings, including the Company’s Annual Reports on Form 10-K and its Quarterly Reports on Form 10-Q.
Reports Revenue of $702.2 million and Net Income of $70.6 million
Generates Adjusted EBITDA1 of $98.1 million
Provides Outlook for the Second Half of Fiscal Year 2026
JERICHO, N.Y.–(BUSINESS WIRE)– 1-800-FLOWERS.COM, Inc. (NASDAQ: FLWS), a leading provider of thoughtful expressions designed to help inspire customers to give more, connect more, and build more and better relationships, today reported results for its Fiscal 2026 second quarter ended December 28, 2025.
“Our teams remained focused on executing against our key strategic priorities throughout the holiday period, which continues to reflect the early stages of our broader transformation,” said Adolfo Villagomez, Chief Executive Officer. “While the topline impact of our initiatives will take time as we address structural challenges within the business, we made solid progress in the second quarter on our cost-optimization and organizational-streamlining efforts, including meaningful steps toward transforming our structure into a more functional and efficient organization. These actions are strengthening our operating foundation and better positioning the Company to achieve sustainable, profitable growth. I am proud of how our teams supported our customers and advanced the operational improvements and strategic priorities that are essential to our long-term success.”
Fiscal 2026 Second Quarter Performance
Total consolidated revenues decreased 9.5% to $702.2 million, compared with the prior year period, mainly due to a strategic shift that is focused on improving marketing effectiveness and profitability.
Gross profit margin decreased 120 basis points to 42.1%, compared with 43.3% in the prior year period, primarily due to deleveraging on the sales decline.
Operating expenses decreased $23.4 million to $221.1 million, compared with the prior year period, primarily due to lower marketing and labor costs. Excluding non-recurring charges and the impact of the Company’s non-qualified deferred compensation plan in both periods, operating expenses declined $25.9 million as compared with the prior year to $213.2 million.
Net income for the quarter was $70.6 million, or $1.10 per diluted share, as compared to a net income of $64.3 million, or $1.00 per share, in the prior year period.
Adjusted net income1 was $76.7 million, or $1.20 per diluted share, compared with an Adjusted Net income1 of $69.2 million, or $1.08 per share, in the prior year period.
Adjusted EBITDA1 for the quarter was $98.1 million, compared with Adjusted EBITDA1 of $116.3 million in the prior year period.
(1) Refer to “Definitions of Non-GAAP Financial Measures” and the tables attached at the end of this press release for reconciliation of non-GAAP results to applicable GAAP results.
Segment Results
The Company provides Fiscal 2026 second quarter selected financial results for its Gourmet Foods & Gift Baskets, Consumer Floral & Gifts, and BloomNet® segments in the tables attached to this release and as follows:
Gourmet Foods & Gift Baskets: For the quarter, revenues declined 3.8% to $499.0 million, as compared with the prior year period. Gross profit margin decreased 120 basis points from the prior year period to 42.3% due to deleveraging on the sales decline and increased tariff, commodity and shipping costs. The segment contribution margin1 was $105.3 million, compared with segment contribution margin of $111.4 million in the prior year period, excluding severance and system implementation costs.
Consumer Floral & Gifts: For the quarter, revenues declined 22.7% to $181.2 million, as compared with the prior year period. Gross profit margin decreased 180 basis points from the prior year period to 40.1% due to deleveraging on the sales decline, as well as higher tariff and commodity costs. The segment contribution margin1 was $16.6 million, compared with $21.6 million in the prior year period, excluding severance costs.
BloomNet: For the quarter, revenues decreased 3.1% to $22.1 million, as compared with the prior year period. Gross profit margin remained consistent with the prior year period at 50.9%. The segment contribution margin1 was $6.4 million, compared with $7.5 million in the prior year period, excluding severance costs.
Fiscal Year 2026 Outlook
The Company views Fiscal Year 2026 as a pivotal period of foundation setting. By transforming 1-800-Flowers.com, Inc. into a customer-centric, data-driven organization with clear objectives and ROI-focused decision making, the Company aims to position itself to fuel future growth.
For the second half of Fiscal Year 2026, the Company expects revenue to decline in the low double-digit range, reflecting a continued focus on improving marketing contribution margin, the impact of changes to search engine results page, including increased paid placements and AI-driven content, which negatively impacted organic visibility and direct traffic, and tougher comparisons following higher levels of less efficient marketing spend in the prior year.
For the second half of Fiscal Year 2026, the Company expects Adjusted EBITDA1 to decline slightly compared to the prior year. On a normalized basis for the second half of Fiscal Year 2026, Adjusted EBITDA1 is expected to increase slightly year over year, which excludes approximately $12 million of anticipated incentive compensation and consultant costs incurred in the period. Ongoing cost-optimization initiatives and organizational-streamlining efforts are expected to help offset topline pressure.
The Company’s strategic priorities are focused on positioning the organization for long-term growth. These priorities include:
driving cost savings and organizational efficiency,
building a customer-centric and data-driven organization,
broadening our reach beyond our e-commerce sites into new channels, and
strengthening our team through enhanced talent and accountability.
With a renewed commitment to agility and customer-centricity, the Company believes these foundational steps will set the stage for sustainable revenue and profit growth in the years to come.
Conference Call
The Company will conduct a conference call to discuss its financial results today, January 29, 2026, at 8:00 a.m. (ET). The conference call will be webcast from the Investors section of the Company’s website at www.1800flowersinc.com. A recording of the call will be posted on the Investors section of the Company’s website within two hours of the call’s completion.
Definitions of non-GAAP Financial Measures:
We sometimes use financial measures derived from consolidated financial information, but not presented in our financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). Certain of these are considered “non-GAAP financial measures” under the U.S. Securities and Exchange Commission rules. Non-GAAP financial measures referred to in this document are either labeled as “non-GAAP,” “adjusted” or designated as such with a “1”. See below for definitions and the reasons why we use these non-GAAP financial measures. Where applicable, see the Selected Financial Information below for reconciliations of these non-GAAP measures to their most directly comparable GAAP financial measures. Reconciliations for forward-looking figures would require unreasonable efforts at this time because of the uncertainty and variability of the nature and amount of certain components of various necessary GAAP components, including, for example, those related to compensation, tax items, amortization or others that may arise during the year, and the Company’s management believes such reconciliations would imply a degree of precision that would be confusing or misleading to investors. For the same reasons, the Company is unable to address the probable significance of the unavailable information. The lack of such reconciling information should be considered when assessing the impact of such disclosures.
EBITDA and Adjusted EBITDA:
We define EBITDA as net income (loss) before interest, taxes, depreciation, and amortization. Adjusted EBITDA is defined as EBITDA adjusted for the impact of stock-based compensation, Non-Qualified Deferred Compensation Plan (“NQDC”) investment appreciation/depreciation, and for certain items affecting period-to-period comparability. See Selected Financial Information for details on how EBITDA and Adjusted EBITDA were calculated for each period presented. The Company presents EBITDA and Adjusted EBITDA because it considers such information meaningful supplemental measures of its performance and believes such information is frequently used by the investment community in the evaluation of similarly situated companies. The Company uses EBITDA and Adjusted EBITDA as factors to determine the total amount of incentive compensation available to be awarded to executive officers and other employees. The Company’s credit agreement uses EBITDA and Adjusted EBITDA-related items to determine its interest rate and to measure compliance with certain covenants. EBITDA and Adjusted EBITDA are also used by the Company to evaluate and price potential acquisition candidates. EBITDA and Adjusted EBITDA have limitations as analytical tools and should not be considered in isolation or as a substitute for analysis of the Company’s results as reported under GAAP. Some of the limitations are: (a) EBITDA and Adjusted EBITDA do not reflect changes in, or cash requirements for, the Company’s working capital needs; (b) EBITDA and Adjusted EBITDA do not reflect the interest expense, or the cash requirements necessary to service interest or principal payments, on the Company’s debts; and (c) although depreciation and amortization are non-cash charges, the assets being depreciated and amortized may have to be replaced in the future and EBITDA does not reflect any cash requirements for such capital expenditures. EBITDA and Adjusted EBITDA should only be used on a supplemental basis combined with GAAP results when evaluating the Company’s performance.
Segment Contribution Margin and Adjusted Segment Contribution Margin:
We define Segment Contribution Margin as earnings before interest, taxes, depreciation, and amortization, before the allocation of corporate overhead expenses. Adjusted Segment Contribution Margin is defined as Segment Contribution Margin adjusted for certain items affecting period-to-period comparability. See Selected Financial Information for details on how Segment Contribution Margin and Adjusted Segment Contribution Margin were calculated for each period presented. When viewed together with our GAAP results, we believe Segment Contribution Margin and Adjusted Segment Contribution Margin provide management and users of the financial statements meaningful information about the performance of our business segments. Segment Contribution Margin and Adjusted Segment Contribution Margin are used in addition to and in conjunction with results presented in accordance with GAAP and should not be relied upon to the exclusion of GAAP financial measures. The material limitation associated with the use of Segment Contribution Margin and Adjusted Segment Contribution Margin is that they are an incomplete measure of profitability as they do not include all operating expenses or non-operating income and expenses. Management compensates for this limitation when using these measures by looking at other GAAP measures, such as Operating Income and Net Income.
Adjusted Net Income (Loss) and Adjusted or Comparable Net Income (Loss) Per Common Share:
We define Adjusted Net Income (Loss) and Adjusted or Comparable Net Income (Loss) Per Common Share as Net Income (Loss) and Net Income (Loss) Per Common Share adjusted for certain items affecting period-to-period comparability. See Selected Financial Information below for details on how Adjusted Net Income (Loss) Per Common Share and Adjusted or Comparable Net Income (Loss) Per Common Share were calculated for each period presented. We believe that Adjusted Net Income (Loss) and Adjusted or Comparable Net Income (Loss) Per Common Share are meaningful measures because they increase the comparability of period-to-period results. Since these are not measures of performance calculated in accordance with GAAP, they should not be considered in isolation of, or as a substitute for, GAAP Net Income (Loss) and Net Income (Loss) Per Common Share, as indicators of operating performance and they may not be comparable to similarly titled measures employed by other companies.
Free Cash Flow:
We define Free Cash Flow as net cash provided by (used in) operating activities less capital expenditures. The Company considers Free Cash Flow to be a liquidity measure that provides useful information to management and investors about the amount of cash generated by the business after the purchases of fixed assets, which can then be used to, among other things, invest in the Company’s business, make strategic acquisitions, strengthen the balance sheet, and repurchase stock or retire debt. Free Cash Flow is a liquidity measure that is frequently used by the investment community in the evaluation of similarly situated companies. Since Free Cash Flow is not a measure of performance calculated in accordance with GAAP, it should not be considered in isolation or as a substitute for analysis of the Company’s results as reported under GAAP. A limitation of the utility of Free Cash Flow as a measure of financial performance is that it does not represent the total increase or decrease in the Company’s cash balance for the period.
About 1-800-FLOWERS.COM, Inc.
1-800-FLOWERS.COM, Inc. is a leading provider of thoughtful expressions designed to help inspire customers to share more, connect more, and build more and better relationships. The Company’s e-commerce business platform features an all-star family of brands, including: 1-800-Flowers.com®, 1-800-Baskets.com®, Card Isle®, Cheryl’s Cookies®, Harry & David®, PersonalizationMall.com®, Shari’s Berries®, FruitBouquets.com®, Things Remembered®, Moose Munch®, The Popcorn Factory®, Wolferman’s Bakery®, Vital Choice®, Simply Chocolate® and Scharffen Berger®. Through the Celebrations Passport® loyalty program, which provides members with free standard shipping and no service charge on eligible products across our portfolio of brands, 1-800-FLOWERS.COM, Inc. strives to deepen relationships with customers. The Company also operates BloomNet®, an international floral and gift industry service provider offering a broad-range of products and services designed to help members grow their businesses profitably; Napco℠, a resource for floral gifts and seasonal décor; and DesignPac®, a manufacturer of gift baskets and towers. 1-800-FLOWERS.COM, Inc. was recognized among America’s Most Trustworthy Companies by Newsweek for 2024. 1-800-FLOWERS.COM, Inc. was also recognized as one of America’s Most Admired Workplaces for 2025 by Newsweek and was named to the Fortune 1000 list in 2022. Shares in 1-800-FLOWERS.COM, Inc. are traded on the NASDAQ Global Select Market, ticker symbol: FLWS. For more information, visit 1800flowersinc.com.
FLWS-COMP FLWS-FN
Special Note Regarding Forward Looking Statements:
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent the Company’s current expectations or forecasts concerning future events; they do not relate strictly to historical or current facts. Such statements can generally be identified by words such as “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “believe,” “foresee,” “forecast,” “likely,” “should,” “will,” “target,” or similar words or phrases. These forward-looking statements are subject to risks, uncertainties, and other factors, many of which are outside of the Company’s control, which could cause actual results to differ materially from the results expressed or implied in the forward-looking statements, including, but not limited to, statements relating to future actions; the Company’s ability to leverage its operating platform and reduce its operating expense ratio; its ability to successfully integrate acquired businesses and assets; its ability to successfully execute its strategic priorities; its ability to cost effectively acquire and retain customers and drive purchase frequency; the outcome of contingencies, including legal proceedings in the normal course of business; its ability to compete against existing and new competitors; its ability to manage expenses associated with sales and marketing and necessary general and administrative and technology investments; its ability to reduce promotional activities and achieve more efficient marketing programs; and general consumer sentiment and industry and economic conditions that may affect levels of discretionary customer purchases of the Company’s products. The Company cannot guarantee that any forward-looking statement will be realized. Achievement of future results is subject to risk, uncertainties and potentially inaccurate assumptions. Should known or unknown risks or uncertainties materialize, or should underlying assumptions prove inaccurate, actual results could differ materially from past results and those anticipated, estimated or projected. You should bear this in mind as you consider forward-looking statements. The Company undertakes no obligation to publicly update any of the forward-looking statements, whether because of new information, future events or otherwise, made in this release or in any of its SEC filings. Consequently, you should not consider any such list to be a complete set of all potential risks and uncertainties. For a more detailed description of these and other risk factors, refer to the Company’s SEC filings, including the Company’s Annual Reports on Form 10-K and its Quarterly Reports on Form 10-Q.
Seasoned Technology Executive to Drive AI, Digital Commerce, and Cybersecurity Innovation
JERICHO, N.Y., Dec. 8, 2025 /PRNewswire/ — Today, 1-800-FLOWERS.COM, Inc. (NASDAQ: FLWS), a leading provider of thoughtful expressions designed to help inspire customers to express and connect, announced the appointment of Alexander Zelikovsky as Chief Information Officer. Zelikovsky’s appointment accelerates the company’s ongoing transformation strategy under CEO Adolfo Villagomez.
As Chief Information Officer, Zelikovsky will lead an enterprise-wide technology strategy to accelerate the company’s digital transformation. His responsibilities include IT applications and platforms, data architecture, data management, cybersecurity, and business intelligence. Zelikovsky will also support the organization’s AI and business optimization efforts by ensuring the technology, data, and platforms are in place to help these initiatives succeed — strengthening the company’s ability to deliver exceptional customer-centric experiences and drive omnichannel growth. He will report directly to 1-800-FLOWERS.COM, Inc. CEO Adolfo Villagomez.
“Alex is a visionary technology leader with proven expertise leading digital transformation initiatives at scale,” said Adolfo Villagomez, CEO of 1-800-FLOWERS.COM, Inc. “His ability to position technology to fuel business growth, enhance operational efficiency, and deliver personalized customer experiences is all critical to driving our transformation strategy forward. His experience in enterprise modernization, AI, and cybersecurity will be instrumental in accelerating growth and innovation across our portfolio. We are thrilled to have Alex join the organization.”
Zelikovsky brings more than 25 years of technology leadership experience, transforming traditional businesses into digital enterprises at global scale. Most recently, he served as Executive Vice President and Global CIO at Pitney Bowes. Prior to that, he held divisional CIO and Head of Digital Technology roles at Kimberly-Clark for both the EMEA and Latin America regions, where he executed comprehensive IT transformation strategies that drove significant business turnarounds and operating profit growth.
“I’m excited to join 1-800-FLOWERS.COM at such a pivotal time in the company’s transformation,” said Zelikovsky. “Adolfo’s vision for building a consumer-centric organization resonates deeply with my approach to technology leadership. The company has built an exceptional portfolio of brands and understands the importance of delivering meaningful and personalized customer experiences. I look forward to partnering with the leadership team to harness technology, data, and innovation to deepen customer relationships, drive operational excellence, and accelerate growth across the business.”
Before joining Kimberly-Clark, Zelikovsky drove the development and execution of Bed Bath & Beyond’s omnichannel technology strategy and was instrumental in building out their multibillion-dollar digital commerce business. His journey into digital technology began at Amazon.com, where he was part of the team that pioneered Amazon’s global distribution network. He has also held senior technology and operations roles at Procter & Gamble and Sephora/LVMH.
Zelikovsky holds an MBA from the University of Chicago’s Booth School of Business and a bachelor’s degree from Brooklyn College, City University of New York. He is the author of “Achieving Stretch Goals Efficiently” and has served as an adjunct professor at Purdue University’s Krannert School of Management, where he developed and taught a graduate course in e-Commerce Strategy and Operations.
About 1-800-FLOWERS.COM, Inc. 1-800-FLOWERS.COM, Inc. is the premier destination for meaningful gifting, helping people express and connect through thoughtful giving. As an omnichannel retailer, the company’s portfolio includes more than 18 premium brands, such as 1-800-Flowers.com®, Harry & David®, PersonalizationMall.com®, and Things Remembered®. 1-800-FLOWERS.COM, Inc. also supports local community businesses nationwide through BloomNet®, its network of local florists and merchants, that enables same-day delivery. The company also operates Napco®, a leading resource for floral gifts and seasonal décor, and DesignPac Gifts, LLC, a manufacturer of gift baskets and towers
JERICHO, N.Y., Oct. 6, 2025 /PRNewswire/ — Today, 1-800-FLOWERS.COM, Inc. (NASDAQ: FLWS), a leading provider of thoughtful expressions designed to help inspire customers to express and connect, announced the appointment of Melanie Babcock as Chief Marketing and Growth Officer. In her new role, Babcock will lead all aspects of marketing strategy, brand positioning, customer acquisition and retention, and revenue growth initiatives. She will report directly to 1-800-FLOWERS.COM, Inc. CEO Adolfo Villagomez.
A digital pioneer, Babcock has served in several leadership roles at The Home Depot for over a decade. Most recently, she served as Vice President of Orange Apron Media and Monetization, where she pioneered and built the retail media division and oversaw the strategy and execution of the company’s retail media network. Under her leadership, Orange Apron Media achieved double-digit year-over-year growth, rebranded from Retail Media+ to Orange Apron Media, and launched the industry’s first “InFronts” conference for advertisers. At The Home Depot, Babcock also served as Vice President of Integrated Media and Retail Media+, where she transformed the company’s marketing strategy from product-centric to personalized customer marketing.
“We’re at an inflection point in our transformation, and Melanie brings the perfect combination of strategic vision and execution expertise,” said Adolfo Villagomez, CEO of 1-800-FLOWERS.COM, Inc. “Her proven ability to scale brands, build exceptional teams, and drive customer-centric growth will be invaluable to our market leadership. I’m thrilled to welcome her to the leadership team.”
In the newly created role, Babcock will drive the evolution of marketing into a full-funnel flywheel that builds awareness, acquisition, and retention—enabling a more intuitive, personalized, and connected customer journey. A key priority will be strengthening customer focus by modernizing the digital experience to improve product discoverability and enhancing merchandising strategy through stronger data infrastructure and streamlined brand architecture based on end-to-end AI strategy. This customer-centric approach will be instrumental as the company accelerates its transformation and strengthens its position as a leader in gifting and celebrations.
“Few brands have the heritage and cultural connection that 1-800-FLOWERS.com has built over the last 50 years,” said Melanie Babcock, Chief Marketing and Growth Officer, 1-800-FLOWERS.COM, Inc. “I’m energized by the opportunity to help write its next chapter—strengthening its position as a leader while driving meaningful growth. I couldn’t be more excited to join Adolfo and this team.”
Before joining The Home Depot, Babcock held leadership positions at Cardlytics, MSL GROUP/Publicis Groupe, and Ketchum, where she consistently built high-performing teams and drove significant revenue growth through digital and strategic partnership initiatives.
About 1-800-FLOWERS.COM, Inc. For almost 50 years 1-800-FLOWERS.COM, and 1-800-FLOWERS.COM, Inc. has served as the premier destination for meaningful gifting, helping people express and connect through thoughtful giving. As an omnichannel retailer, the company’s portfolio includes more than 18 premium brands, such as 1-800-Flowers.com®, Harry & David®, PersonalizationMall.com®, and Things Remembered®. 1-800-FLOWERS.COM also supports local community businesses nationwide through BloomNet®, its network of local florists and merchants, that enables same-day delivery. The company also operates Napco℠, a leading resource for floral gifts and seasonal décor, and DesignPac Gifts, LLC, a manufacturer of gift baskets and towers.
Reports Fiscal Year 2025 Revenue of $1.69 Billion and a Net Loss of $200.0 Million, which Includes a $143.8 million Non-Cash Goodwill and Intangible Impairment Charge
JERICHO, N.Y.–(BUSINESS WIRE)– 1-800-FLOWERS.COM, Inc. (NASDAQ: FLWS), a leading provider of thoughtful expressions designed to help inspire customers to give more, connect more, and build more and better relationships, today reported results for its Fiscal 2025 fourth quarter and year ended June 29, 2025.
“I’m excited to have joined 1-800-FLOWERS.COM, Inc. at such a pivotal moment. This is an iconic brand with products people love, but we haven’t fully lived up to our potential in recent years. Customer expectations are shifting, technology is moving fast, and competition is evolving. That creates real opportunity. We’re making the company leaner and more agile, putting the customer at the center of everything we do, and using data to make smarter decisions. We’re sharpening how we attract and retain customers, broadening our reach beyond our e-commerce sites, and modernizing the customer experience. At the same time, we’re driving operational discipline, efficiency, and accountability. These changes will position us to get back to growth, deliver a better experience for our customers, and create long-term value for shareholders,” said Adolfo Villagomez, Chief Executive Officer.
Fiscal 2025 Fourth Quarter Performance
Total consolidated revenues decreased 6.7% to $336.6 million, compared with total consolidated revenues of $360.9 million in the prior year period.
Gross profit margin decreased 290 basis points to 35.5%, compared with 38.4% in the prior year period, primarily due to a highly promotional sales environment and deleveraging on the sales decline.
Operating expenses increased $8.6 million to $174.8 million, as compared with the prior year period. Excluding non-recurring charges and the impact of the Company’s non-qualified deferred compensation plan in both periods, operating expenses declined $3.7 million as compared with the prior year to $159.7 million.
Net loss for the quarter was ($51.9) million, or ($0.82) per share, as compared to a net loss of ($20.9) million, or ($0.32) per share in the prior year period.
Adjusted Net Loss1 was ($43.8) million, or ($0.69) per share, compared with an Adjusted Net Loss1 of ($21.8) million, or ($0.34) per share, in the prior year period.
Adjusted EBITDA1 loss for the quarter was ($24.2) million, as compared with an Adjusted EBITDA1 loss of ($8.8) million in the prior year period.
(1) Refer to “Definitions of Non-GAAP Financial Measures” and the tables attached at the end of this press release for reconciliation of non-GAAP results to applicable GAAP results.)
Fiscal Year 2025 Performance
Total consolidated revenues decreased 8.0% to $1.69 billion, compared with total consolidated revenues of $1.83 billion in the prior year period.
Gross profit margin was 38.7%, which includes $6.6 million of costs associated with the new order management system implementation that was launched during the holiday season. Excluding these costs, gross profit margin declined 100 basis points to 39.1%, as compared to the prior year, due to a highly promotional sales environment deleveraging on the sales decline.
Operating expenses increased $120.3 million to $857.1 million, as compared with the prior year period. Excluding non-recurring charges and the impact of the Company’s non-qualified deferred compensation plan in both periods, operating expenses declined by $10.9 million to $695.2 million, as compared with the prior year.
Net loss for the fiscal year was ($200.0) million, or ($3.13) per share, which includes a $143.8 million non-cash goodwill and intangible impairment charge, compared with a net loss of ($6.1) million, or ($0.09) per share, in the prior year period, which includes a non-cash impairment charge of $19.8 million.
Adjusted Net Loss1 was ($52.5) million, or ($0.82) per share, compared with Adjusted Net Income1 of $11.6 million, or $0.18 per share, in the prior year period.
Adjusted EBITDA1 for the fiscal year was $29.2 million, as compared with $93.1 million in the prior year period.
Segment Results
The Company provides Fiscal 2025 fourth quarter and full year selected financial results for its Gourmet Foods & Gift Baskets, Consumer Floral & Gifts, and BloomNet segments in the tables attached to this release and as follows:
Gourmet Foods & Gift Baskets: For the quarter, revenues declined 3.6% to $101.4 million, as compared with the prior year period. Gross profit margin decreased 400 basis points from the prior year period to 26.0% on higher input costs and deleveraging on the sales decline. Excluding the impact of the severance costs in the current year, segment contribution margin1 loss was $19.0 million, compared with a loss of $14.4 million in the prior year period.
For the full fiscal year, revenue decreased 7.2% to $810.9 million. Excluding the impact of the order management system implementation issues, gross profit margin declined 70 basis points to 37.6%. Excluding non-recurring costs in both years, segment contribution margin1 for the year was $58.8 million, compared with $85.0 million in the prior year.
Consumer Floral & Gifts: For the quarter, revenues declined 8.8% to $211.2 million, as compared with the prior year period. Gross profit margin decreased 230 basis points from the prior year period to 38.5% due to deleveraging on the sales decline. Excluding non-recurring costs in the current year, segment contribution margin1 was $17.4 million, compared with $25.7 million in the prior year period.
For the full fiscal year, revenues decreased 8.6% to $776.8 million, as compared with the prior year period. Gross profit margin decreased 150 basis points from the prior year period to 39.3% due to deleveraging on the sales decline. Excluding the non-recurring costs in both years, segment contribution margin1 was $50.5 million, compared with $87.7 million in the prior year.
BloomNet: For the quarter, revenues declined 0.6% to $24.2 million, as compared with the prior year period. Gross profit margin decreased 280 basis points from the prior year period to 46.9%, due to higher florist fulfillment costs and rebates. Excluding the impact of the severance costs in the current year, segment contribution margin1 was $6.5 million, compared with $7.8 million in the prior year period.
For the year, revenues decreased 8.4% to $98.7 million, as compared with the prior year period. Gross profit margin increased 30 basis points from the prior year period to 48.5%, benefiting from lower florist rebates. Excluding the impact of the severance charges in both years, segment contribution margin1 for the year was $29.3 million, compared with $33.8 million in the prior year.
Fiscal 2026
The Company is approaching Fiscal Year 2026 as a pivotal period of foundation setting. By transforming 1-800-Flowers.com, Inc. into a customer-centric, data-driven organization with clear objectives and ROI-focused decision making, the Company aims to position itself to support its multi-year Celebrations Wave strategy and fuel future growth.
The Company’s strategic priorities are focused on positioning the organization for long-term growth. These priorities include:
driving cost savings and organizational efficiency,
building a customer-centric and data-driven organization,
broadening our reach beyond our e-commerce sites into new channels, and
strengthening our team through enhanced talent and accountability.
With a renewed commitment to agility and customer-centricity, the Company believes these foundational steps will set the stage for sustainable revenue and profit growth in the years to come.
Conference Call
The Company will conduct a conference call to discuss its financial results today, September 4, 2025, at 8:00 a.m. (ET). The conference call will be webcast from the Investors section of the Company’s website at www.1800flowersinc.com. A recording of the call will be posted on the Investors section of the Company’s website within two hours of the call’s completion.
Definitions of non-GAAP Financial Measures:
We sometimes use financial measures derived from consolidated financial information, but not presented in our financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). Certain of these are considered “non-GAAP financial measures” under the U.S. Securities and Exchange Commission rules. Non-GAAP financial measures referred to in this document are either labeled as “non-GAAP,” “adjusted” or designated as such with a “1”. See below for definitions and the reasons why we use these non-GAAP financial measures. Where applicable, see the Selected Financial Information below for reconciliations of these non-GAAP measures to their most directly comparable GAAP financial measures. Reconciliations for forward-looking figures would require unreasonable efforts at this time because of the uncertainty and variability of the nature and amount of certain components of various necessary GAAP components, including, for example, those related to compensation, tax items, amortization or others that may arise during the year, and the Company’s management believes such reconciliations would imply a degree of precision that would be confusing or misleading to investors. For the same reasons, the Company is unable to address the probable significance of the unavailable information. The lack of such reconciling information should be considered when assessing the impact of such disclosures.
EBITDA and Adjusted EBITDA:
We define EBITDA as net income (loss) before interest, taxes, depreciation, and amortization. Adjusted EBITDA is defined as EBITDA adjusted for the impact of stock-based compensation, Non-Qualified Deferred Compensation Plan (“NQDC”) investment appreciation/depreciation, and for certain items affecting period-to-period comparability. See Selected Financial Information for details on how EBITDA and Adjusted EBITDA were calculated for each period presented. The Company presents EBITDA and Adjusted EBITDA because it considers such information meaningful supplemental measures of its performance and believes such information is frequently used by the investment community in the evaluation of similarly situated companies. The Company uses EBITDA and Adjusted EBITDA as factors to determine the total amount of incentive compensation available to be awarded to executive officers and other employees. The Company’s credit agreement uses EBITDA and Adjusted EBITDA-related items to determine its interest rate and to measure compliance with certain covenants. EBITDA and Adjusted EBITDA are also used by the Company to evaluate and price potential acquisition candidates. EBITDA and Adjusted EBITDA have limitations as analytical tools and should not be considered in isolation or as a substitute for analysis of the Company’s results as reported under GAAP. Some of the limitations are: (a) EBITDA and Adjusted EBITDA do not reflect changes in, or cash requirements for, the Company’s working capital needs; (b) EBITDA and Adjusted EBITDA do not reflect the interest expense, or the cash requirements necessary to service interest or principal payments, on the Company’s debts; and (c) although depreciation and amortization are non-cash charges, the assets being depreciated and amortized may have to be replaced in the future and EBITDA does not reflect any cash requirements for such capital expenditures. EBITDA and Adjusted EBITDA should only be used on a supplemental basis combined with GAAP results when evaluating the Company’s performance.
Segment Contribution Margin and Adjusted Segment Contribution Margin
We define Segment Contribution Margin as earnings before interest, taxes, depreciation, and amortization, before the allocation of corporate overhead expenses. Adjusted Segment Contribution Margin is defined as Segment Contribution Margin adjusted for certain items affecting period-to-period comparability. See Selected Financial Information for details on how Segment Contribution Margin and Adjusted Segment Contribution Margin were calculated for each period presented. When viewed together with our GAAP results, we believe Segment Contribution Margin and Adjusted Segment Contribution Margin provide management and users of the financial statements meaningful information about the performance of our business segments. Segment Contribution Margin and Adjusted Segment Contribution Margin are used in addition to and in conjunction with results presented in accordance with GAAP and should not be relied upon to the exclusion of GAAP financial measures. The material limitation associated with the use of Segment Contribution Margin and Adjusted Segment Contribution Margin is that they are an incomplete measure of profitability as they do not include all operating expenses or non-operating income and expenses. Management compensates for this limitation when using these measures by looking at other GAAP measures, such as Operating Income and Net Income.
Adjusted Net Income (Loss) and Adjusted or Comparable Net Income (Loss) Per Common Share:
We define Adjusted Net Income (Loss) and Adjusted or Comparable Net Income (Loss) Per Common Share as Net Income (Loss) and Net Income (Loss) Per Common Share adjusted for certain items affecting period-to-period comparability. See Selected Financial Information below for details on how Adjusted Net Income (Loss) Per Common Share and Adjusted or Comparable Net Income (Loss) Per Common Share were calculated for each period presented. We believe that Adjusted Net Income (Loss) and Adjusted or Comparable Net Income (Loss) Per Common Share are meaningful measures because they increase the comparability of period-to-period results. Since these are not measures of performance calculated in accordance with GAAP, they should not be considered in isolation of, or as a substitute for, GAAP Net Income (Loss) and Net Income (Loss) Per Common Share, as indicators of operating performance and they may not be comparable to similarly titled measures employed by other companies.
Free Cash Flow:
We define Free Cash Flow as net cash provided by (used in) operating activities less capital expenditures. The Company considers Free Cash Flow to be a liquidity measure that provides useful information to management and investors about the amount of cash generated by the business after the purchases of fixed assets, which can then be used to, among other things, invest in the Company’s business, make strategic acquisitions, strengthen the balance sheet, and repurchase stock or retire debt. Free Cash Flow is a liquidity measure that is frequently used by the investment community in the evaluation of similarly situated companies. Since Free Cash Flow is not a measure of performance calculated in accordance with GAAP, it should not be considered in isolation or as a substitute for analysis of the Company’s results as reported under GAAP. A limitation of the utility of Free Cash Flow as a measure of financial performance is that it does not represent the total increase or decrease in the Company’s cash balance for the period.
About 1-800-FLOWERS.COM, Inc.
1-800-FLOWERS.COM, Inc. is a leading provider of thoughtful expressions designed to help inspire customers to share more, connect more, and build more and better relationships. The Company’s e-commerce business platform features an all-star family of brands, including: 1-800-Flowers.com®, 1-800-Baskets.com®, CardIsle®, Cheryl’s Cookies®, Harry & David®, PersonalizationMall.com®, Shari’s Berries®, FruitBouquets.com®, Things Remembered®, Moose Munch®, The Popcorn Factory®, Wolferman’s Bakery®, Vital Choice®, Simply Chocolate® and Scharffen Berger®. Through the Celebrations Passport® loyalty program, which provides members with free standard shipping and no service charge on eligible products across our portfolio of brands, 1-800-FLOWERS.COM, Inc. strives to deepen relationships with customers. The Company also operates BloomNet®, an international floral and gift industry service provider offering a broad-range of products and services designed to help members grow their businesses profitably; Napco℠, a resource for floral gifts and seasonal décor; DesignPac Gifts, LLC, a manufacturer of gift baskets and towers; and Alice’s Table®, a lifestyle business offering fully digital on demand floral, culinary and other experiences to guests across the country. 1-800-FLOWERS.COM, Inc. was recognized among America’s Most Trustworthy Companies by Newsweek for 2024. 1-800-FLOWERS.COM, Inc. was also recognized as one of America’s Most Admired Workplaces for 2025 by Newsweek and was named to the Fortune 1000 list in 2022. Shares in 1-800-FLOWERS.COM, Inc. are traded on the NASDAQ Global Select Market, ticker symbol: FLWS. For more information, visit 1800flowersinc.com.
FLWS–COMP FLWS-FN
Special Note Regarding Forward Looking Statements:
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent the Company’s current expectations or forecasts concerning future events; they do not relate strictly to historical or current facts. Such statements can generally be identified by words such as “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “believe,” “foresee,” “forecast,” “likely,” “should,” “will,” “target,” or similar words or phrases. These forward-looking statements are subject to risks, uncertainties, and other factors, many of which are outside of the Company’s control, which could cause actual results to differ materially from the results expressed or implied in the forward-looking statements, including, but not limited to, statements relating to future actions; the Company’s ability to leverage its operating platform and reduce its operating expense ratio; its ability to successfully integrate acquired businesses and assets; its ability to successfully execute its strategic priorities; its ability to cost effectively acquire and retain customers and drive purchase frequency; the outcome of contingencies, including legal proceedings in the normal course of business; its ability to compete against existing and new competitors; its ability to manage expenses associated with sales and marketing and necessary general and administrative and technology investments; its ability to reduce promotional activities and achieve more efficient marketing programs; and general consumer sentiment and industry and economic conditions that may affect levels of discretionary customer purchases of the Company’s products. The Company cannot guarantee that any forward-looking statement will be realized. Achievement of future results is subject to risk, uncertainties and potentially inaccurate assumptions. Should known or unknown risks or uncertainties materialize, or should underlying assumptions prove inaccurate, actual results could differ materially from past results and those anticipated, estimated or projected. You should bear this in mind as you consider forward-looking statements. The Company undertakes no obligation to publicly update any of the forward-looking statements, whether because of new information, future events or otherwise, made in this release or in any of its SEC filings. Consequently, you should not consider any such list to be a complete set of all potential risks and uncertainties. For a more detailed description of these and other risk factors, refer to the Company’s SEC filings, including the Company’s Annual Reports on Form 10-K and its Quarterly Reports on Form 10-Q.
For more than 45 years, 1-800-Flowers.com has offered truly original floral arrangements, plants and unique gifts to celebrate birthdays, anniversaries, everyday occasions, and seasonal holidays, and to deliver comfort during times of grief. Backed by a caring team obsessed with service, 1-800-Flowers.com provides customers thoughtful ways to express themselves and connect with the most important people in their lives. 1-800-Flowers.com is part of the 1-800-FLOWERS.COM, Inc. family of brands. Shares in 1-800-FLOWERS.COM, Inc. are traded on the NASDAQ Global Select Market, ticker symbol: FLWS.
Michael Kupinski, Director of Research, Equity Research Analyst, Digital, Media & Technology , Noble Capital Markets, Inc.
Jacob Mutchler, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Fiscal Q3 disappoints. Fiscal Q3 revenues of $311.5 million was well below our $367.8 million estimate. Adj. EBITDA loss of $38.6 million was below our seasonal loss estimate of $12.4 million. In spite of a good Valentine’s Day, fiscal third quarter results were adversely affected by weakened consumer confidence and macro economic forces.
Pulls guidance. In lieu of recent trade policies and a weakened consumer, management pulled fiscal full year 2025 guidance. We estimate that fiscal Q4 revenues will decline roughly 6.3% (including the benefit of Easter) and that the company will report an adj. EBITDA loss of $20.5 million. Fiscal full year 2025 revenue and adj. EBIDA are revised to $1.687 billion and $29.2 million, respectively.
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*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
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