Saks Revenue Drops, Lower Outlook on Inventory Challenges

Saks Global Enterprises on Thursday reported lower revenue last quarter and cut its guidance on the back of inventory challenges at the luxury retailer, according to people familiar with the matter who asked not to be identified discussing private information.

• Other details from a Thursday call with investors:
  • Revenue dropped 13% to $1.6b in 2Q vs. $1.8b a year ago, due to inventory challenges
  • Adj. Ebitda of negative $77m vs. negative $41m a year before
  • 2025 Ebitda guidance cut to $140m-$160m from $275m-$325m previously stated
  • 3Q is expected to be similar to 2Q given the inventory problems
  • Inventory receipts are ...