Solo Brands shares tumble nearly 8% as Q4 results miss estimates

Published 12/03/2025, 12:20
Solo Brands shares tumble nearly 8% as Q4 results miss estimates

GRAPEVINE, Texas -Solo Brands, Inc. (NYSE:DTC) reported fourth quarter earnings and revenue that fell short of analyst expectations on Wednesday.

The company’s shares tumbled -7.63% in premarket trading following the results.

The lifestyle brands company posted adjusted earnings per share of $0.03, missing the consensus estimate of $0.12. Revenue came in at $143.5 million, well below analyst projections of $163.2 million and down 13.2% year-over-year.

Solo Brands , which owns brands like Solo Stove, Chubbies, and Isle, saw net sales decline in its Solo Stove segment, partially offset by growth in Chubbies. The company cited a lack of significant new product launches as impacting Solo Stove sales.

"During the fourth quarter, the Board and management team engaged in developing an aggressive turnaround plan for 2025," said John Larson, Interim President and CEO. He noted the company has identified over 30 "value accretive initiatives" as part of its transformation efforts.

Gross profit margin improved to 61.1% from 58.3% in the year-ago quarter. However, adjusted EBITDA fell to $6.3 million from $14.9 million last year.

The company ended the quarter with $12 million in cash and $152.1 million in total debt. Solo Brands disclosed there is "substantial doubt" about its ability to continue as a going concern, and said it is evaluating strategies to refinance its existing debt.

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