1-800-FLOWERS.COM INC-CL A (NASDAQ:FLWS) Reports Q4 Earnings Miss Amid Revenue Decline

Earnings Overview

1-800-FLOWERS.COM INC-CL A (NASDAQ:FLWS) reported its fiscal 2025 fourth quarter results, revealing a mixed performance relative to analyst expectations. The company, known for its portfolio of gifting and gourmet food brands, faced headwinds in both revenue and profitability during the quarter.

Quarterly Performance vs. Estimates

The company posted revenues of $336.6 million for the quarter, marking a 6.7% decline compared to the same period last year. This figure came in nearly in line with analyst estimates of $336.6 million, indicating that while the top-line result met expectations, it reflected ongoing challenges in driving sales growth.

On the earnings front, the adjusted net loss per share was $(0.69), which fell short of the analyst consensus estimate of $(0.52). This wider-than-expected loss underscores pressure on profitability, driven by a combination of lower sales, a promotional sales environment, and operational inefficiencies.

Key financial highlights from the quarter include:

• Gross profit margin decreased by 290 basis points to 35.5%
• Operating expenses increased by $8.6 million to $174.8 million
• Net loss deepened to $(51.9) million from $(20.9) million in the prior year period

Market Reaction

Following the earnings release, the market reaction has been notably negative. The stock has declined approximately 5.7% over the past week and 8.9% over the last month, reflecting investor concern over the company's deteriorating profitability and challenging operating environment. The absence of significant pre-market movement suggests that the results were largely anticipated, though the earnings miss appears to have reinforced negative sentiment.

Full Year Results and Segment Performance

For the full fiscal year 2025, total consolidated revenues decreased 8.0% to $1.69 billion. The company reported a net loss of $(200.0) million, which included a substantial non-cash goodwill and intangible impairment charge of $143.8 million. Excluding these one-time items, the adjusted net loss was $(52.5) million, compared to adjusted net income of $11.6 million in the prior year.

Segment performance showed declines across all divisions:

• Gourmet Foods & Gift Baskets revenue decreased 7.2% to $810.9 million
• Consumer Floral & Gifts revenue declined 8.6% to $776.8 million
• BloomNet revenue fell 8.4% to $98.7 million

Strategic Outlook and Forward Guidance

New CEO Adolfo Villagomez emphasized a strategic shift toward creating a more customer-centric, data-driven organization. The company outlined priorities for fiscal 2026 focused on cost savings, operational efficiency, and broadening market reach beyond traditional e-commerce channels.

While the press release did not provide specific quantitative guidance, analyst estimates for the coming year project sales of $1.70 billion for fiscal 2026, with an estimated EPS of $(0.33). For the first quarter of fiscal 2026, analysts are forecasting revenues of $238.4 million and an EPS of $(0.63).

Conclusion

1-800-FLOWERS.COM's fourth quarter results highlight the challenges facing the business amid a competitive and promotional retail environment. While revenues met expectations, the significant earnings miss and downward trend in profitability have clearly concerned investors, as reflected in the stock's recent performance. The company's new leadership appears focused on implementing structural changes to return to growth, but the path to improved financial performance appears challenging in the near term.

For more detailed earnings information and analyst estimates, visit the FLWS earnings page.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own research and consult with a qualified financial advisor before making investment decisions.