Xcel Brands, Inc. reported a social media following increase from 5 million to 43 million in the 2nd quarter of 2025.
The company reached revenues of $1.3 million in the current quarter, showing stability compared to the first quarter of 2025.
Despite minimal negative impacts from tariffs and economic headwinds, a net loss on a GAAP basis was $4.0 million for the quarter.
Revenues & Social Media Growth
Total revenue for the second quarter of 2025 was $1.3 million, representing a decrease of 55% from the second quarter of 2024. Social media following grew significantly to 43 million.
Adjusted EBITDA Improvement
Year-to-Date Adjusted EBITDA for 2025 was negative $1.0 million, showing a 38% improvement compared to the first six months of 2024.
Company's Balance Sheet Strength
Debt and equity financing transactions in April and August 2025 have strengthened the company's balance sheet, enabling the development of new creator/influencer brands.
- The decrease in total revenue was mainly driven by the divestiture of the Lori Goldstein brand, affecting net licensing revenue.
- Cost reductions and restructuring efforts have significantly lowered direct operating costs and expenses, aiming for an annual run rate of less than $10 million.
Xcel Brands, Inc.'s financial results for the second quarter of 2025 reflect a strategic focus on stability and growth, with promising improvements in Adjusted EBITDA and social media presence. The company's balance sheet strengthening sets a solid foundation for upcoming brand launches in 2026.