Zumiez Q4 revenue beats expectations, driving stock up 2%, despite earnings missing forecasts

Woodland, Washington - Zumiez Inc. (NASDAQ: ZUMZ) reported quarterly earnings that exceeded expectations but fell short on profits. Driven by better-than-expected revenue and guidance for the first quarter that surpassed forecasts, the stock rose 2.3% after the announcement.

The specialty retailer posted adjusted earnings of $0.78 per share for the quarter, below analysts’ expectations of $1.08. Revenue increased 4.4% to $291.3 million, slightly above the consensus estimate of $290.7 million. Comparable sales for the quarter grew 2.2%, with North American comparable sales rising 5.5%. Revenue compared to $279.2 million in the same period last year.

Gross margin expanded 200 basis points to 38.2%, up from 36.2% a year earlier. The company attributed this improvement to strong full-price sales in North America and better product margins in Europe, which increased 250 basis points year-over-year.

CEO Rick Brooks stated, “Our Q4 performance was highlighted by strong full-price sales in North America, driving mid-single-digit growth in comparable sales and significant margin expansion.”

For the first quarter of fiscal 2026, Zumiez issued revenue guidance of $189 million to $193 million, with a midpoint of $191 million, exceeding the analyst consensus of $184.6 million. The company expects a loss per share between $0.77 and $0.87, with a midpoint of $0.82, slightly below the market consensus of a $0.75 loss.

The company reported strong momentum entering the new fiscal year, with four-week sales up 9.8% and comparable sales up 7.5% as of February 28, 2026.

Zumiez’s board approved a new $40 million share repurchase authorization. The company plans to open approximately five new stores in North America during fiscal 2026 and close about 25 stores.

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