Vera Bradley, Inc. announced its financial results for the fourth quarter and fiscal year ended February 1, 2025. For Fiscal Year 2025, consolidated net revenues totaled $372.0 million, a 21% decrease from $470.8 million in Fiscal Year 2024. The company reported a consolidated net loss of ($62.2) million, or ($2.15) per diluted share, compared to a net income of $7.8 million, or $0.25 per diluted share, in the prior fiscal year.
Fourth quarter results also showed significant declines, with consolidated net revenues of $100.0 million, down from $133.3 million in the prior year, and a net loss of ($47.0) million, or ($1.69) per diluted share. The Pura Vida segment experienced a 43.8% decrease in revenues for the quarter and a full impairment of its remaining indefinite-lived intangible assets, totaling $6.2 million.
Alongside the earnings report, Vera Bradley announced it signed an interest purchase agreement to sell 100% of the Pura Vida business, marking a significant step in its strategic evolution to focus on the core Vera Bradley brand. The company also approved an additional $30.0 million share repurchase authorization, commencing December 14, 2024, and expiring December 2027.
For Fiscal Year 2026, the company provided guidance anticipating consolidated net revenues of approximately $280 million, a gross margin of approximately 52.5%, and SG&A expenses of approximately $155 million. This is expected to result in a consolidated operating loss of approximately $6 million and a diluted earnings per share loss of approximately $0.15.
CEO Jackie Ardrey acknowledged that the transformation is taking longer than anticipated, with an unexpected shift from stores to e-commerce creating profitability headwinds. She highlighted ongoing refinements to product and pricing strategy, including expanding heritage products and reducing higher price points, and confirmed the company is on track to deliver a minimum of $20 million in cost savings in 2025.
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