Destination XL’s (DXLG) Profit Surge Can’t Outrun Its Traffic Problem
Destination XL Group (DXLG) reported a 3.4% decline in net sales to $111.6M for Q2, but adjusted EBITDA rose to $7.7M. Comparable sales improved sequentially, and the company collected a $4.6M tariff refund. DXLG has $20.1M in cash, no debt, and $61.7M in available credit. The company exited a planned merger with FullBeauty, citing dilution concerns. Despite progress, store traffic remains a challenge, with physical store comps down 4.3%.




