J.Jill, Inc.

Previous wording

J.Jill is a national lifestyle brand that provides apparel, footwear and accessories designed to help its customers move through a full life with ease. The brand represents an easy, thoughtful and inspired style that celebrates the totality of all women and designs its products with its core brand ethos in mind: keep it simple and make it matter. J.Jill offers a high touch customer experience through 247 stores nationwide and a robust ecommerce platform. J.Jill is headquartered outside Boston.

Current wording

J.Jill is a national lifestyle brand that provides apparel, footwear and accessories designed to help its customers move through a full life with ease. The brand represents an easy, thoughtful and inspired style that celebrates the totality of all women and designs its products with its core brand ethos in mind: keep it simple and make it matter. J.Jill offers a high touch customer experience through 249 stores nationwide and a robust ecommerce platform. J.Jill is headquartered outside Boston.

Previous wording

Overall Economic Trends. Consumer purchases of clothing and other merchandise generally decline during recessionary periods and other periods when disposable income is adversely affected, and consequently our results of operations may be affected by general economic conditions. For example, reduced consumer confidence, lower availability, inflationary pressures and higher cost of consumer credit may reduce demand for our merchandise and may limit our ability to increase or sustain prices. The growth rate of the market could be affected by macroeconomic conditions in the United States and abroad. Additionally, the occurrence or reoccurrence of any significant pandemic, regional conflicts, or other geopolitical disruptions could impact our sales and business operations.

Current wording

Overall Economic Trends. Consumer purchases of clothing and other merchandise generally decline during recessionary periods and other periods when disposable income is adversely affected, and consequently our results of operations may be affected by general economic conditions. For example, reduced consumer confidence, lower availability, inflationary pressures and higher cost of consumer credit may reduce demand for our merchandise and may limit our ability to increase or sustain prices. The growth rate of the market could be affected by macroeconomic conditions in the United States and abroad. Additionally, the occurrence or reoccurrence of any significant pandemic, regional conflicts, or other geopolitical disruptions, or a prolonged shutdown of the United States government, could impact our sales and business operations.

Previous wording

Selling, general and administrative (“SG&A”) expenses include all operating costs not included in COGS. These expenses consist primarily of all payroll and related expenses, occupancy costs, information systems costs and other operating expenses related to our stores and operations at our headquarters, including utilities, depreciation and amortization. These expenses also consist of marketing expense, including catalog production and mailing costs, warehousing, distribution and outbound shipping costs, customer service operations, consulting and software services, natural disasters, professional services and other administrative costs. Additionally, our outbound shipping costs may fluctuate due to surcharges from shipping vendors based on demand for shipping services.

Current wording

Selling, general and administrative (“SG&A”) expenses include all operating costs not included in COGS. These expenses consist primarily of all payroll and related expenses, occupancy costs, information systems costs and other operating expenses related to our stores and operations at our headquarters, including utilities, depreciation and amortization. These expenses also consist of marketing expense, including catalog production and mailing costs, warehousing, distribution and outbound shipping costs, customer service operations, consulting and software services, natural disasters, professional services and other administrative costs.

Previous wording

Adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”) and Adjusted EBITDA Margin. Adjusted EBITDA represents net income plus (less) depreciation and amortization, income tax provision, interest expense, interest income, equity-based compensation expense, write-off of property and equipment, amortization of cloud-based software implementation costs, adjustment for exited retail stores, impairment of long-lived assets, loss on extinguishment of debt, and other non-recurring items, primarily consisting of non-ordinary course professional fees, non-employee share-based payments, CEO transition costs, and legal settlements and fees associated with certain non-recurring transactions and events. We present Adjusted EBITDA on a consolidated basis because management uses it as a supplemental measure in assessing our operating performance, and we believe that it is helpful to investors, securities analysts and other interested parties as a measure of our comparative operating performance from period to period. We also use Adjusted EBITDA as one of the primary methods for planning and forecasting overall expected performance of our business and for evaluating on a quarterly and annual basis actual results against such expectations. Further, we recognize Adjusted EBITDA as a commonly used measure in determining business value and as such, use it internally to report results. Adjusted EBITDA margin represents, for any period, Adjusted EBITDA as a percentage of net sales.

Current wording

Adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”) and Adjusted EBITDA Margin. Adjusted EBITDA represents net income plus (less) depreciation and amortization, income tax provision, interest expense, interest income, equity-based compensation expense, write-off of property and equipment, amortization of cloud-based software implementation costs, adjustment for exited retail stores, impairment of long-lived assets, loss on extinguishment of debt, and other non-recurring items, primarily consisting of non-ordinary course professional fees, non-employee share-based payments, CEO transition costs, severance expense, and legal settlements and fees associated with certain non-recurring transactions and events. We present Adjusted EBITDA on a consolidated basis because management uses it as a supplemental measure in assessing our operating performance, and we believe that it is helpful to investors, securities analysts and other interested parties as a measure of our comparative operating performance from period to period. We also use Adjusted EBITDA as one of the primary methods for planning and forecasting overall expected performance of our business and for evaluating on a quarterly and annual basis actual results against such expectations. Further, we recognize Adjusted EBITDA as a commonly used measure in determining business value and as such, use it internally to report results. Adjusted EBITDA margin represents, for any period, Adjusted EBITDA as a percentage of net sales.

Previous wording

Represents items management believes are not indicative of ongoing operating performance, including CEO transition costs, non-ordinary course legal and professional fees, non-employee share-based payments, and legal settlements and fees.

Current wording

Represents items management believes are not indicative of ongoing operating performance, including CEO transition costs, severance expense, non-ordinary course legal and professional fees, non-employee share-based payments, and legal settlements and fees.

Previous wording

Net sales for the thirteen weeks ended August 2, 2025 decreased $1.3 million, or 0.8%, to $154.0 million from $155.2 million for the thirteen weeks ended August 3, 2024. At the end of those same periods, we operated 247 and 244 retail stores, respectively. The decrease in net sales was primarily due to a decrease in total company comparable sales of 1.0% compared to the thirteen weeks ended August 3, 2024. The decrease was primarily driven by a decline in full price mix and an increase in promotional activities compared to the thirteen weeks ended August 3, 2024.

Current wording

Net sales for the thirteen weeks ended November 1, 2025 decreased $0.7 million, or 0.5%, to $150.5 million from $151.3 million for the thirteen weeks ended November 2, 2024. At the end of those same periods, we operated 249 and 247 retail stores, respectively. The decrease in net sales was primarily due to a decrease in total company comparable sales of 0.9% compared to the thirteen weeks ended November 2, 2024. The decrease in total company comparable sales was primarily driven by a decline in unit sales partially offset by an increase in average unit retail price compared to the thirteen weeks ended November 2, 2024.

Previous wording

Retail contributed 53.6% of our net sales in the thirteen weeks ended August 2, 2025 and 52.9% in the thirteen weeks ended August 3, 2024. Our Direct channel contributed 46.4% of our net sales in the thirteen weeks ended August 2, 2025 and 47.1% in the thirteen weeks ended August 3, 2024.

Current wording

Retail contributed 53.2% of our net sales in the thirteen weeks ended November 1, 2025 and 54.3% in the thirteen weeks ended November 2, 2024. Our Direct channel contributed 46.8% of our net sales in the thirteen weeks ended November 1, 2025 and 45.7% in the thirteen weeks ended November 2, 2024.

Previous wording

Gross profit for the thirteen weeks ended August 2, 2025 decreased $4.0 million, or 3.7%, to $105.4 million from $109.4 million for the thirteen weeks ended August 3, 2024. The gross margin for the thirteen weeks ended August 2, 2025 was 68.4% compared to 70.5% for the thirteen weeks ended August 3, 2024. The decrease in gross profit and gross margin for the thirteen weeks ended August 2, 2025 was primarily driven by a higher mix of markdown sales, higher full-price promotional rates, and increased tariffs compared to the thirteen weeks ended August 3, 2024.

Current wording

Gross profit for the thirteen weeks ended November 1, 2025 decreased $1.3 million, or 1.2%, to $106.7 million from $108.0 million for the thirteen weeks ended November 2, 2024. The gross margin for the thirteen weeks ended November 1, 2025 was 70.9% compared to 71.4% for the thirteen weeks ended November 2, 2024. The decrease in gross profit and gross margin for the thirteen weeks ended November 1, 2025 was primarily driven by increased tariffs, partially offset by higher average unit retail prices and favorable freight rates compared to the thirteen weeks ended November 2, 2024.

Previous wording

SG&A expenses for the thirteen weeks ended August 2, 2025 increased $2.3 million, or 2.6%, to $88.6 million from $86.3 million for the thirteen weeks ended August 3, 2024. The increase was primarily driven by a $1.1 million increase in outbound shipping costs, $1.0 million related to the CEO transition, $0.9 million in increased occupancy costs, $0.5 million increase in information systems costs, primarily related to amortization of cloud-based software implementation costs, $0.4 million increase in marketing expense, and an increase of $0.3 million in depreciation and amortization expense, partially offset by a decrease of $1.9 million in compensation, benefits and management incentive expense.

Current wording

SG&A expenses for the thirteen weeks ended November 1, 2025 increased $3.2 million, or 3.6%, to $91.8 million from $88.6 million for the thirteen weeks ended November 2, 2024. The increase was primarily driven by $1.6 million increase in severance-related expenses, $1.1 million increase in outbound shipping costs, $0.6 million in increased occupancy costs, $0.6 million increase in information system costs, $0.3 million increase in amortization of cloud based software implementation costs, $0.2 million increase in marketing expense, and $0.2 million in recruiting expenses, partially offset by a decrease of $1.5 million in compensation, benefits and management incentive expense.

Previous wording

As a percentage of net sales, SG&A expenses were 57.5% for the thirteen weeks ended August 2, 2025 and 55.6% for the thirteen weeks ended August 3, 2024.

Current wording

As a percentage of net sales, SG&A expenses were 61.0% for the thirteen weeks ended November 1, 2025 and 58.6% for the thirteen weeks ended November 2, 2024.

Previous wording

Interest expense was $2.7 million and $3.7 million for the thirteen weeks ended August 2, 2025 and August 3, 2024, respectively. The decrease was due to a lower debt balance for the thirteen weeks ended August 2, 2025.

Current wording

Interest expense was $2.7 million and $2.8 million for the thirteen weeks ended November 1, 2025 and November 2, 2024, respectively. The decrease was due to a lower debt balance and a lower interest rate for the thirteen weeks ended November 1, 2025.

Previous wording

For the thirteen weeks ended August 2, 2025 and August 3, 2024, the Company earned interest on cash of $0.5 million.

Current wording

For the thirteen weeks ended November 1, 2025 and November 2, 2024, the Company earned interest on cash of $0.6 million and $0.5 million, respectively.

Previous wording

The Company’s income tax provision was $4.0 million for the thirteen weeks ended August 2, 2025 compared to $3.1 million for the thirteen weeks ended August 3, 2024, while our effective tax rates for the same periods were 27.7% and 27.3%, respectively. The effective tax rate during the thirteen weeks ended August 2, 2025 is higher primarily due to the impact of state and local income taxes and executive compensation limitations.

Current wording

The Company’s income tax provision was $3.6 million for the thirteen weeks ended November 1, 2025 compared to $4.5 million for the thirteen weeks ended November 2, 2024, while our effective tax rates for the same periods were 28.0% and 26.8%, respectively. The effective tax rate during the thirteen weeks ended November 1, 2025 is higher primarily due to the impact of state and local income taxes and executive compensation limitations. The tax provision decreased year over year due to lower pre-tax income.

Previous wording

Net sales for the twenty-six weeks ended August 2, 2025 decreased $9.1 million, or 2.9%, to $307.6 million from $316.8 million for the twenty-six weeks ended August 3, 2024. At the end of those same periods, we operated 247 and 244 retail stores, respectively. The decrease in net sales was primarily due to total company comparable sales decrease of 3.5%. The decrease was primarily driven by a decline in full price mix and an increase in promotional activities compared to the thirteen weeks ended August 3, 2024.

Current wording

Net sales for the thirty-nine weeks ended November 1, 2025 decreased $9.9 million, or 2.1%, to $458.1 million from $468.0 million for the thirty-nine weeks ended November 2, 2024. At the end of those same periods, we operated 249 and 247 retail stores, respectively. The decrease in net sales was primarily due to total company comparable sales decrease of 2.6%. The decrease in total company comparable sales was primarily driven by a decline in unit sales partially offset by an increase in the average unit retail price compared to the thirty-nine weeks ended November 2, 2024.

Previous wording

Retail contributed 53.4% of our net sales in the twenty-six weeks ended August 2, 2025 and 53.0% in the twenty-six weeks ended August 3, 2024. Our Direct channel contributed 46.6% of our net sales in the twenty-six weeks ended August 2, 2025 and 47.0% in the twenty-six weeks ended August 3, 2024.

Current wording

Retail contributed 53.3% of our net sales in the thirty-nine weeks ended November 1, 2025 and 53.4% in the thirty-nine weeks ended November 2, 2024. Our Direct channel contributed 46.7% of our net sales in the thirty-nine weeks ended November 1, 2025 and 46.6% in the thirty-nine weeks ended November 2, 2024.

Previous wording

Gross profit for the twenty-six weeks ended August 2, 2025 decreased $11.4 million, or 5.0%, to $215.7 million from $227.1 million for the twenty-six weeks ended August 3, 2024. The gross margin for the twenty-six weeks ended August 2, 2025 was 70.1% compared to 71.7% for the twenty-six weeks ended August 3, 2024. The decrease in gross profit and gross margin for the twenty-six weeks ended August 2, 2025 was primarily driven by a higher mix of markdown sales, higher full-price promotional rates, and increased tariffs compared to the twenty-six weeks ended August 3, 2024.

Current wording

Gross profit for the thirty-nine weeks ended November 1, 2025 decreased $12.7 million, or 3.8%, to $322.4 million from $335.1 million for the thirty-nine weeks ended November 2, 2024. The gross margin for the thirty-nine weeks ended November 1, 2025 was 70.4% compared to 71.6% for the thirty-nine weeks ended November 2, 2024. The decrease in gross profit and gross margin for the thirty-nine weeks ended November 1, 2025 was primarily driven by higher full-price promotional rates, higher mix of markdown sales, and increased tariffs compared to the thirty-nine weeks ended November 2, 2024.

Previous wording

SG&A expenses for the twenty-six weeks ended August 2, 2025 increased $4.2 million, or 2.4%, to $179.7 million from $175.4 million for the twenty-six weeks ended August 3, 2024. The increase was primarily driven by a $3.3 million increase in consulting and CEO transition costs, $1.8 million increase in occupancy costs, $1.6 million increase in information systems costs, primarily related to amortization of cloud-based software implementation costs, $0.7 million increase in outbound shipping costs, and $0.3 million increase in marketing expense, partially offset by $3.5 million decrease in compensation, benefits and management incentive expense, compared to the twenty-six weeks ended August 3, 2024.

Current wording

SG&A expenses for the thirty-nine weeks ended November 1, 2025 increased $7.4 million, or 2.8%, to $271.5 million from $264.1 million for the thirty-nine weeks ended November 2, 2024. The increase was primarily driven by $5.0 million increase in consulting costs, CEO transition costs, and severance-related expenses, $3.2 million increase in technology related costs, primarily related to application hosting and lower capitalized technology payroll, $2.4 million increase in occupancy costs, $1.8 million increase in outbound shipping costs, primarily due to increased shipments fulfilled from stores, and $0.6 million in marketing, partially offset by a decrease of $5.5 million in compensation, benefits and management incentive expense, compared to the thirty-nine weeks ended November 2, 2024.

Previous wording

As a percentage of net sales, SG&A expenses were 58.4% for the twenty-six weeks ended August 2, 2025 compared to 55.4% for the twenty-six weeks ended August 3, 2024.

Current wording

As a percentage of net sales, SG&A expenses were 59.3% for the thirty-nine weeks ended November 1, 2025 compared to 56.4% for the thirty-nine weeks ended November 2, 2024.

Previous wording

For the twenty-six weeks ended August 2, 2025 and August 3, 2024, the Company recorded noncash impairment charges of $0.2 million and 0.3 million primarily related to leasehold improvements at certain store locations.

Current wording

For the thirty-nine weeks ended November 1, 2025 and November 2, 2024, the Company recorded noncash impairment charges of $0.2 million and $0.4 million primarily related to leasehold improvements at certain store locations.

Previous wording

For the thirteen weeks ended August 3, 2024, the Company recognized a loss on debt extinguishment of $8.6 million related to the voluntary prepayment of a portion of the Term Loan Credit Agreement. No such loss was incurred by the Company during the thirteen weeks ended August 2, 2025.

Current wording

For the thirty-nine weeks ended November 2, 2024, the Company recognized a loss on extinguishment of debt of $8.6 million related to the voluntary prepayment of a portion of the Term Loan Credit Agreement. No such loss was incurred by the Company during the thirty-nine weeks ended November 1, 2025.

Previous wording

Interest expense was $5.5 million and $10.2 million for the twenty-six weeks ended August 2, 2025 and August 3, 2024, respectively. The decrease was primarily due to a lower debt balance for the twenty-six weeks ended August 2, 2025.

Current wording

Interest expense was $8.2 million and $13.0 million for the thirty-nine weeks ended November 1, 2025 and November 2, 2024, respectively. The decrease was primarily due to a lower debt balance for the thirty-nine weeks ended November 1, 2025.

Previous wording

For the twenty-six weeks ended August 2, 2025, the Company earned interest on cash of $0.9 million, compared to $1.5 million for the twenty-six weeks ended August 3, 2024. The decrease in earned interest is primarily due to lower cash balances and a change in interest rates in the comparable period.

Current wording

For the thirty-nine weeks ended November 1, 2025, the Company earned interest on cash of $1.5 million, compared to $2.0 million for the thirty-nine weeks ended November 2, 2024. The decrease in earned interest is primarily due to lower average cash balances and lower interest rates compared to the prior year period.

Previous wording

The Company’s income tax provision was $9.0 million for the twenty-six weeks ended August 2, 2025 compared to $9.3 million for the twenty-six weeks ended August 3, 2024, while our effective tax rates for the same periods were 28.8% and 27.2%, respectively. The effective tax rate during the twenty-six weeks ended August 2, 2025 is higher primarily due to the impact of state and local income taxes and executive compensation limitations.

Current wording

The Company’s income tax provision was $12.6 million for the thirty-nine weeks ended November 1, 2025 compared to $13.8 million for the thirty-nine weeks ended November 2, 2024, while our effective tax rates for the same periods were 28.6% and 27.1%, respectively. The effective tax rate during the thirty-nine weeks ended November 1, 2025 is higher primarily due to the impact of state and local income taxes and executive compensation limitations. The tax provision declined compared to the prior year as a result of lower pre-tax income.

Previous wording

Our primary sources of liquidity and capital resources are cash and cash equivalents generated from operating activities and availability under our ABL Facility, so long as certain conditions related to the maturity of the Term Loan Credit Agreement are met. As of August 2, 2025, we had $45.5 million in cash and $35.7 million of total availability under our ABL Facility. In addition, through our shelf registration statement on file with the SEC or through private transactions, and depending on conditions prevailing in the public and private capital markets, we may from time to time issue equity securities in one or more series in one or more offerings.

Current wording

Our primary sources of liquidity and capital resources are cash and cash equivalents generated from operating activities and availability under our ABL Facility, so long as certain conditions related to the maturity of the Term Loan Credit Agreement are met. As of November 1, 2025, we had $58.0 million in cash and $35.7 million of total availability under our ABL Facility. In addition, through our shelf registration statement on file with the SEC or through private transactions, and depending on conditions prevailing in the public and private capital markets, we may from time to time issue equity securities in one or more series in one or more offerings.

Previous wording

As of August 2, 2025, the remaining Term Loan Facility principal balance was $74.3 million, which is to be repaid upon maturity on May 8, 2028. As a result of the voluntary principal prepayments described above, there will be no quarterly payments required until the remaining balance is paid in full on the maturity date. The remaining unamortized discount and fees of $4.3 million will continue to be amortized over the remaining term through maturity. See Note 5 - Debtto the condensed consolidated financial statements included in this Quarterly Report for additional information.

Current wording

As of November 1, 2025, the remaining Term Loan Facility principal balance was$74.3 million, which is to be repaid upon maturity on May 8, 2028. As a result of the voluntary principal prepayments described above, there will be no quarterly payments required until the remaining balance is paid in full on the maturity date. The remaining unamortized discount and fees of$4.0 million will continue to be amortized over the remaining term through maturity. See Note 5 - Debtto the condensed consolidated financial statements included in this Quarterly Report for additional information.

Previous wording

Net cash provided by operating activities decreased by $13.2 million during the twenty-six weeks ended August 2, 2025 compared to the twenty-six weeks ended August 3, 2024. The decrease during the twenty-six weeks ended August 2, 2025 was driven by decrease in net income of $2.7 million, adjustments to reconcile net income of $4.9 million and a change in operating assets and liabilities of $5.6 million. The change in operating assets and liabilities was driven primarily by a decrease in accounts payable of $8.1 million, due mainly to merchandise payables, decrease in accrued expenses and other current liabilities of $2.9 million, a decrease in accounts receivable of $1.4 million due to timing of collection of credit card receivables, and a decrease in prepaid expenses and other current assets of $1.0 million. These decreases were partially offset by an increase in inventory of $5.5 million, relating to the purchase of product, timing of payments relating to other noncurrent assets of $1.7 million, and increases in operating leases assets and liabilities of $0.7 million.

Current wording

Net cash provided by operating activities decreased by $13.2 million during the thirty-nine weeks ended November 1, 2025 compared to the thirty-nine weeks ended November 2, 2024. The decrease during the thirty-nine weeks ended November 1, 2025 was driven by a decrease in net income of $5.8 million, adjustments to reconcile net income of $6.0 million and a change in operating assets and liabilities of $1.3 million. The change in operating assets and liabilities was driven primarily by $7.9 million decrease in accounts payable, largely reflecting lower merchandise payables, and $2.9 million decrease in accrued expenses and other current liabilities, mainly due to reduced management incentive accruals and the settlement of prior-period tax and operating liabilities. These decreases were partially offset by increases in other noncurrent assets and liabilities of $4.3 million driven by capitalized cloud based software implementation costs, inventory of $3.0 million due to seasonal inventory build and higher tariff costs, accounts receivable of $1.6 million reflecting the timing of credit card receivable collections, and $0.8 million in prepaid expenses and other current assets.

Previous wording

Net cash provided by operating activities during the twenty-six weeks ended August 2, 2025 was $24.7 million. Key elements of cash provided by operating activities were (i) net income of $22.2 million, (ii) adjustments to reconcile net income to net cash provided by operating activities of $16.7 million, primarily driven by depreciation and amortization, changes in deferred taxes, and equity-based compensation, and (iii) uses of cash totaling $14.2 million for net operating assets and liabilities.

Current wording

Net cash provided by operating activities during the thirty-nine weeks ended November 1, 2025 was $43.7 million. Key elements of cash provided by operating activities were (i) net income of $31.4 million, (ii) adjustments to reconcile net income to net cash provided by operating activities of $23.2 million, primarily driven by depreciation and amortization, changes in deferred taxes, and equity-based compensation, and (iii) uses of cash totaling $10.9 million for net operating assets and liabilities driven by higher merchandise and in-transit inventory, increased prepaid balances from annual payments and project spend, lower accrued expenses reflecting reduced incentive and gift card liabilities, and lease-related timing impacts.

Previous wording

Net cash provided by operating activities during the twenty-six weeks ended August 3, 2024 was $37.9 million. Key elements of cash provided by operating activities were (i) net income of $24.9 million, (ii) adjustments to reconcile net income to net cash provided by operating activities of $21.7 million, primarily driven by depreciation and amortization, loss on extinguishment of debt, equity-based compensation, and (iii) uses of cash totaling $8.7 million for net operating assets and liabilities.

Current wording

Net cash provided by operating activities during the thirty-nine weeks ended November 2, 2024 was $56.9 million. Key elements of cash provided by operating activities were (i) net income of $37.2 million, (ii) adjustments to reconcile net income to net cash provided by operating activities of $29.2 million, primarily driven by depreciation and amortization, loss on extinguishment of debt, equity-based compensation, and (iii) uses of cash totaling $9.5 million for net operating assets and liabilities.

Previous wording

Net cash used in investing activities during the twenty-six weeks ended August 2, 2025 and August 3, 2024 was $5.5 million and $4.6 million, respectively, representing purchases of property and equipment related investments in stores and software and technology related investments.

Current wording

Net cash used in investing activities during the thirty-nine weeks ended November 1, 2025 and November 2, 2024 was $8.8 million and $10.0 million, respectively, representing purchases of property and equipment related investments in stores and software and technology related investments.

Previous wording

Net cash used in financing activities was $9.1 million for the twenty-six weeks ended August 2, 2025 compared to $67.0 million for the twenty-six weeks ended August 3, 2024. Net cash used in financing activities for the twenty-six weeks ended August 2, 2025 primarily consisted of share repurchase costs, net of commission and fees, surrender of shares to pay withholding taxes, and quarterly cash dividend paid to shareholders. Net cash used in financing activities for the twenty-six weeks ended August 3, 2024 primarily consisted of voluntary prepayments under the Term Loan Credit Agreement partially offset by the proceeds from the issuance of common stock.

Current wording

Net cash used in financing activities was $12.4 million for the thirty-nine weeks ended November 1, 2025 compared to $70.3 million for the thirty-nine weeks ended November 2, 2024. Net cash used in financing activities for the thirty-nine weeks ended November 1, 2025 primarily consisted of share repurchase costs, net of commission and fees, surrender of shares to pay withholding taxes, and quarterly cash dividend paid to shareholders. Net cash used in financing activities for the thirty-nine weeks ended November 2, 2024 primarily consisted of voluntary prepayments under the Term Loan Credit Agreement partially offset by the proceeds from the issuance of common stock.

Previous wording

During the thirteen weeks ended August 2, 2025, the Board declared a quarterly cash dividend payment of $0.08 per share of common stock (the “Dividend”). The Dividend was payable on July 9, 2025 to stockholders of record of issued and outstanding shares of the Company’s common stock as of June 25, 2025. During the thirteen and twenty-six weeks ended August 2, 2025, the Company paid $1.2 million and $2.4 million, respectively, in dividends. While dividends are generally recorded as a reduction to Retained earnings, since the Company has an accumulated deficit, dividends are recorded as a reduction to Additional paid-in capital on the condensed consolidated balance sheets.

Current wording

During the thirteen weeks ended November 1, 2025, the Board declared a quarterly cash dividend payment of $0.08 per share of common stock (the “Dividend”). The Dividend was payable on October 1, 2025 to stockholders of record of issued and outstanding shares of the Company’s common stock as of September 17, 2025. During the thirteen and thirty-nine weeks ended November 1, 2025, the Company paid $1.2 million and $3.7 million, respectively, in dividends. While dividends are generally recorded as a reduction to Retained earnings, since the Company has an accumulated deficit, dividends are recorded as a reduction to Additional paid-in capital in the condensed consolidated balance sheets.

Previous wording

Subsequent to August 2, 2025, on August 27, 2025, the Board declared a quarterly cash dividend of $0.08 per share, payable on October 1, 2025 to stockholders of record of issued and outstanding shares of the Company’s common stock as of September 17, 2025.

Current wording

Subsequent to November 1, 2025, the Board declared a quarterly cash dividend of $0.08 per share, payable on January 7, 2026 to stockholders of record of issued and outstanding shares of the Company’s common stock as of December 24, 2025.