1-800-FLOWERS.COM, Inc. Reports Fiscal 2026 Fourth Quarter and Year-End Results
1 800 FLOWERS COM INC (FLWS) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 Investor Contact : Media Contact : Andy Milevoj press@1800flowers.com investors@1800flowers.com 1-800-FLOWERS.COM, Inc. Reports Fiscal 2026 Fourth Quarter and Year-End Results Reports Fiscal Year 2026 Revenue of $1.50 billion, a Net Loss of $134.8 million, which incl
How this was made
The 30-second read
Why it matters
The disclosed earnings miss and debt‑flexibility steps suggest short‑term weakness but also a strategic path forward.
Market read
Earnings disappointment and credit amendment are material for FLWS and may influence the broader consumer discretionary sector.
What to watch
Potential asset sales and capital‑raising could improve balance sheet if executed successfully.
Fiscal 2026 revenue declined 10.8% to $1.50 billion and Adjusted EBITDA was $2.9 million; the Company expects Fiscal 2027 net revenues to decline in the mid-single digit range and Adjusted EBITDA of $10 million to $15 million.
Fiscal 2026 revenue declined 10.8%, adjusted EBITDA fell to $2.9 million from $29.2 million, adjusted net loss widened to $(77.5) million from $(52.5) million, and the Company guided to another year of net-revenue decline. The Company also amended its credit agreement and is evaluating debt or equity financings and potential divestitures.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Q4 total net revenuesGAAP | $293.1M | – | (12.9) % |
| Q4 E-Commerce net revenuesGAAP | $258.7M | – | – |
| Q4 Other net revenuesGAAP | $34.46M | – | – |
| Q4 gross profitGAAP | $101.8M | – | (14.7) % |
| Q4 gross profit marginGAAP | 34.7% | – | decreased 80 basis points |
| Q4 operating expensesGAAP | $158.2M | – | decreased $16.7 million |
| Q4 marketing and sales expenseGAAP | $91.41M | – | – |
| Q4 technology and development expenseGAAP | $14.57M | – | – |
| Q4 general and administrative expenseGAAP | $37.96M | – | – |
| Q4 depreciation and amortizationGAAP | $14.24M | – | – |
| Q4 goodwill impairmentGAAP | — | – | – |
| Q4 intangible impairmentGAAP | — | – | – |
| Q4 operating lossGAAP | −$56.37M | – | – |
| Q4 net lossGAAP | −$52.30M | – | – |
| Q4 basic and diluted net loss per common shareGAAP | $(0.82) | – | – |
| Q4 adjusted net lossnon-GAAP | −$51.60M | – | – |
| Q4 basic and diluted adjusted net loss per common sharenon-GAAP | $(0.80) | – | – |
| Q4 Adjusted EBITDAnon-GAAP | −$31.02M | – | (27.9) % |
| Fiscal 2026 total net revenuesGAAP | $1.50B | – | (10.8) % |
| Fiscal 2026 E-Commerce net revenuesGAAP | $1.27B | – | – |
| Fiscal 2026 Other net revenuesGAAP | $230.4M | – | – |
| Fiscal 2026 gross profitGAAP | $571.3M | – | – |
| Fiscal 2026 gross profit marginGAAP | 38.0% | – | decreased 70 basis points |
| Fiscal 2026 operating expensesGAAP | $698.5M | – | decreased $158.6 million |
| Fiscal 2026 marketing and sales expenseGAAP | $402.8M | – | – |
| Fiscal 2026 technology and development expenseGAAP | $57.86M | – | – |
| Fiscal 2026 general and administrative expenseGAAP | $139.0M | – | – |
| Fiscal 2026 depreciation and amortizationGAAP | $53.62M | – | – |
| Fiscal 2026 goodwill impairmentGAAP | $34.55M | – | – |
| Fiscal 2026 intangible impairmentGAAP | $10.6M | – | – |
| Fiscal 2026 operating lossGAAP | −$127.1M | – | – |
| Fiscal 2026 interest expenseGAAP | $16.96M | – | – |
| Fiscal 2026 net lossGAAP | −$134.8M | – | – |
| Fiscal 2026 basic and diluted net loss per common shareGAAP | $(2.11) | – | – |
| Fiscal 2026 adjusted net lossnon-GAAP | −$77.48M | – | – |
| Fiscal 2026 basic and diluted adjusted net loss per common sharenon-GAAP | $(1.21) | – | – |
| Fiscal 2026 Adjusted EBITDAnon-GAAP | $2.93M | – | (90.0) % |
| Fiscal 2026 free cash flownon-GAAP | −$12.97M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Consumer Floral & Gifts, Q4 Fiscal 2026Gross profit margin increased 220 basis points from the prior year period to 40.7% on lower commodity and shipping costs. | $182.8M | – | (13.4) % |
| Gourmet Foods & Gift Baskets, Q4 Fiscal 2026Results were impacted by the timing of Easter. Gross profit margin decreased 830 basis points from the prior year period to 17.7% due to deleveraging on the sales decline and increased tariff, commodity and shipping costs. | $85.80M | – | (15.4) % |
| BloomNet, Q4 Fiscal 2026Gross profit margin increased 190 basis points from the prior year period to 48.8%. | $24.71M | – | 1.9 % |
| Consumer Floral & Gifts, Fiscal 2026Gross profit margin increased 10 basis points from the prior year period to 39.4%. | $638.9M | – | (17.7) % |
| Gourmet Foods & Gift Baskets, Fiscal 2026Gross profit margin decreased 130 basis points to 35.5%. | $768.5M | – | (5.2) % |
| BloomNet, Fiscal 2026Gross profit margin decreased 10 basis points from the prior year period to 48.4%. | $96.83M | – | (1.9) % |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
Fiscal 2027 outlook
- Revenuenet revenues to decline in the mid-single digit range compared with Fiscal 2026
- NoteAdjusted EBITDA of $10 million to $15 million
- NoteAdjusted EBITDA guidance includes approximately $12 million of additional compensation expense versus Fiscal 2026
Capital returns
- Acquisition of treasury stock $(1,164) for the year ended June 28, 2026, compared with $(10,175) for the year ended June 29, 2025.
What drove it
- Q4 total consolidated revenues primarily reflected a strategic shift to improve marketing effectiveness and profitability.
- Q4 gross margin was affected by deleveraging on the sales decline, higher commodity costs and inventory reserves, partially offset by cost reduction and operational efficiency initiatives and an approximately $7 million benefit related to tariff refunds.
- Q4 operating expenses excluding non-recurring charges and the impact of the NQDC plan decreased $8.9 million to $150.8 million, primarily due to lower marketing and labor costs.
- Fiscal 2027 investments include modernization of marketing capabilities, continued development of the marketing technology platform, enhancements to digital customer experience and personalization capabilities, and other initiatives intended to strengthen customer acquisition, engagement, and retention.
Concerns
- Fiscal 2027 net revenues are expected to decline in the mid-single digit range compared with Fiscal 2026.
- Fiscal 2026 Adjusted EBITDA was $2,930, compared with $29,166 in the prior year.
- Fiscal 2026 adjusted net loss was $(77,481), compared with $(52,518) in the prior year.
- The Company amended its credit agreement to extend existing covenant relief and provide additional flexibility.
- The Company is evaluating potential public or private debt or equity financings, potential divestitures of non-strategic assets, or other capital structure transactions.
What to watch
- Whether the Company improves customer acquisition, engagement, retention and revenue trends during Fiscal 2027.
- Execution of the planned reinvestment of operational-efficiency savings into marketing, technology, digital customer experience and personalization capabilities.
- The outcome and terms, if any, of potential asset sales, debt or equity financings, or other capital structure transactions.
- Progress toward Fiscal 2027 Adjusted EBITDA of $10 million to $15 million, including approximately $12 million of additional compensation expense versus Fiscal 2026.
Balance sheet and cash flow
- Cash and cash equivalents were $11,366 at June 28, 2026, compared with $46,502 at June 29, 2025.
- Current maturities of long-term debt were $24,000 at June 28, 2026, compared with $21,000 at June 29, 2025.
- Long-term debt, net was $112,176 at June 28, 2026, compared with $134,764 at June 29, 2025.
- Net cash provided by operating activities was $18,308 for the year ended June 28, 2026, compared with net cash used in operating activities of $(26,363) for the year ended June 29, 2025.
- Capital expenditures were $(31,280), compared with $(41,463).
- Free cash flow was $(12,972), compared with $(67,826).
- Net change in cash and cash equivalents was $(35,136), compared with $(112,935).
Analysis
Fiscal 2026 closed with declining sales across the Company. Total net revenues were $1,503,511, down 10.8%, with E-Commerce net revenues of $1,273,126 compared with $1,464,445 in the prior year. Consumer Floral & Gifts declined 17.7% to $638,931, Gourmet Foods & Gift Baskets declined 5.2% to $768,520, and BloomNet declined 1.9% to $96,832. In the fourth quarter, total net revenues declined 12.9% to $293,118. Management attributed the quarterly decline primarily to a strategic shift to improve marketing effectiveness and profitability, while Gourmet Foods & Gift Baskets was also affected by the timing of Easter.
Margins remained under pressure despite expense actions. Fiscal 2026 gross profit margin fell 70 basis points to 38.0%, driven by deleveraging on the sales decline, higher commodity costs and inventory reserves, partly offset by cost reduction and operational efficiency initiatives. Q4 gross margin declined 80 basis points to 34.7%, although it included an approximately $7 million benefit related to tariff refunds. Segment performance was uneven: Consumer Floral & Gifts expanded its Q4 gross margin to 40.7% and BloomNet expanded to 48.8%, while Gourmet Foods & Gift Baskets fell to 17.7% amid tariff, commodity and shipping costs.
The Company reduced Fiscal 2026 operating expenses by $158.6 million to $698,452, including lower marketing and sales expense of $402,821 versus $480,439. However, general and administrative expense increased to $139,003 from $116,926. The business generated Adjusted EBITDA of $2,930, down from $29,166, while adjusted net loss widened to $(77,481) from $(52,518). The GAAP net loss improved to $(134,765) from $(199,993), but both periods included substantial goodwill and intangible impairment charges, $45,154 in Fiscal 2026 and $143,823 in Fiscal 2025.
Liquidity and capital structure are central issues. Cash and cash equivalents declined to $11,366 at June 28, 2026 from $46,502 a year earlier. Operating activities provided $18,308 of cash, but capital expenditures of $(31,280) resulted in free cash flow of $(12,972). The Company amended its credit agreement to extend covenant relief and is evaluating potential asset sales, debt or equity financings, and other capital structure transactions, with Guggenheim Securities, LLC retained as financial advisor.
For Fiscal 2027, management expects net revenues to decline in the mid-single digit range compared with Fiscal 2026 and Adjusted EBITDA of $10 million to $15 million. The outlook includes approximately $12 million of additional compensation expense versus Fiscal 2026. Management plans to reinvest a significant portion of operational-efficiency savings into marketing modernization, marketing technology, digital customer experience and personalization, with the stated objective of improving customer acquisition, engagement and retention over multiple years.
Management, verbatim
Fiscal 2026 was a year of meaningful progress as we strengthened the foundation of our business and positioned the Company for its next phase of transformation.
Adolfo Villagomez, Chief Executive Officer of 1-800-Flowers.com
As we enter fiscal 2027, accelerating the recovery of our revenue trends is our highest priority.
Adolfo Villagomez, Chief Executive Officer of 1-800-Flowers.com
We are also evaluating a range of options, including the sale of non-strategic assets and capital raising options, intended to optimize our capital structure and support investments in our transformation and drive future growth.
Adolfo Villagomez, Chief Executive Officer of 1-800-Flowers.com
Not in the filing
stated, not guessed- Prior-quarter comparisons were not reported for the key financial metrics.
- Quarterly operating cash flow, capital expenditures and free cash flow were not reported.
- Dividend activity was not reported.
- Fiscal 2027 gross margin, operating expense and tax-rate guidance were not reported.
- Prior-period outlook was not provided, so no comparison with prior guidance is available.
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
1‑800‑FLOWERS.COM filed an 8‑K reporting FY2026 results, a credit‑agreement amendment, and evaluation of capital‑raising options.
Ticker impact
8‑K filing reports FY2026 revenue down 10.8% to $1.50B and a net loss of $134.8M, plus a credit‑agreement amendment and capital‑raising evaluation.
potential downside as investors digest weaker results and debt‑flexibility concerns
Revenue decline and sizable net loss are material; the credit amendment signals liquidity risk, likely prompting sell pressure.
Market effects
Highlights challenges in the consumer floral & gifts sector, potentially pressuring peers.
US consumer discretionary sentiment may be dampened.
Limited to US market; no broader macro effect.
Counterpoint
If the credit amendment provides sufficient flexibility, the stock could rebound on a turnaround narrative.
Key entities
- company1‑800‑FLOWERS.COM, Inc.
US‑listed retailer of floral and gift products (NASDAQ: FLWS).
- advisorGuggenheim Securities, LLC
Financial advisor for the capital‑raising evaluation.
