Lulus Reports Third Quarter 2026 Results
Key Highlights
- ➤Net revenue $58.6 million, down 20% year over year
- ➤2026 outlook cut: full-year revenue and Adjusted EBITDA below prior expectations
- ➤Net loss widened to $4.3 million from $2.3 million
- ➤Gross Margin increased 230 basis points to 44.9%
- ➤Inventory fell 17% year over year to $31.9 million
Expert Statements
Crystal Landsem, CEO of Lulus
“During the third quarter, we continued to advance our assortment reset and saw encouraging signs from newer product, even as the impact of historical assortment decisions remained a headwind to customer engagement and repeat purchasing behavior.”
Crystal Landsem, CEO of Lulus
“While these pressures continue to weigh on revenue, we are encouraged by the improving productivity and reorder eligibility of 2026 product introductions, which reinforces our confidence that refocusing the assortment on the categories and customers where Lulus has historically differentiated itself is the right path to rebuilding customer engagement over time.”
Crystal Landsem, CEO of Lulus
“We also continued to see meaningful growth in our wholesale business, demonstrating the appeal of our product assortment across a broader customer base and providing an important avenue for future growth.”
Crystal Landsem, CEO of Lulus
“At the same time, our disciplined approach to inventory management, merchandising, cost control and operational efficiency contributed to a 230-basis-point improvement in Gross Margin, year-to-date improvement in net cash provided by operating activities, positive year-to-date Free Cash Flow, and a 17% year-over-year reduction in inventory during the quarter.”
Crystal Landsem, CEO of Lulus
“While liquidity remains a constraint and the near-term operating environment continues to be challenging, we remain focused on preserving financial flexibility, improving the health and productivity of our inventory, and making disciplined investments in the product and customer experiences that differentiate Lulus.”
Crystal Landsem, CEO of Lulus
“We believe these actions are strengthening the foundation of the business and positioning Lulus for a return to sustainable, profitable growth.”
Heidi Crane, CFO of Lulus
“Throughout the third quarter, we maintained a disciplined approach to inventory management, expense control and working capital as we continued to drive greater efficiency across the business.”
Heidi Crane, CFO of Lulus
“Our actions contributed to a 230-basis-point expansion in Gross Margin, a 17% year-over-year reduction in inventory, year-to-date improvement in net cash provided by operating activities and positive year-to-date Free Cash Flow.”
Heidi Crane, CFO of Lulus
“Going forward, our priorities remain centered on maintaining disciplined cost and inventory management, improving working capital efficiency, and carefully allocating resources to support the long-term health of the business.”
CHICO, Calif., Nov. 12, 2026 (GLOBE NEWSWIRE) -- Lulu’s Fashion Lounge Holdings, Inc. (“Lulus” or the “Company”) (Nasdaq: LVLU) today reported financial results for the third quarter ended September 27, 2026, revised its financial outlook for the fiscal year ending January 3, 2027 and provided its financial outlook for the fiscal year ending January 2, 2028.
“During the third quarter, we continued to advance our assortment reset and saw encouraging signs from newer product, even as the impact of historical assortment decisions remained a headwind to customer engagement and repeat purchasing behavior. While these pressures continue to weigh on revenue, we are encouraged by the improving productivity and reorder eligibility of 2026 product introductions, which reinforces our confidence that refocusing the assortment on the categories and customers where Lulus has historically differentiated itself is the right path to rebuilding customer engagement over time.
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