Oxford Industries Cuts Full-Year Outlook Despite $42 Million Tariff Refund
Oxford Industries (NYSE: OXM) reported a fiscal second-quarter net sales decline of 2.2% to $394.4 million, driven by weaker wholesale and direct-to-consumer performance. While GAAP gross margin improved significantly due to a one-time $42 million tariff refund, non-GAAP adjusted metrics showed more modest gains. The company revised its full-year revenue guidance downward to between $1.43 billion and $1.47 billion from previously expected $1.475 billion to $1.505 billion. Adjusted earnings per share (EPS) expectations were also cut, with the midpoint falling by 28%. The tariff refund contributed positively to cash flow in the first half of fiscal 2026 and helped reduce borrowings from $143 million at quarter-end to $73 million. However, sales across several key brands like Lilly Pulitzer and Johnny Was declined significantly. Despite some margin improvements, Oxford Industries now expects full-year adjusted EPS below last year’s level and anticipates a wider-than-expected loss in the third quarter.
Tickers: $OXM