Recycled fibers firm Unifi's Q1 net sales fall on trade issues

Reuters11-05
 Recycled fibers firm Unifi's Q1 net sales fall on trade issues

Overview

  • Unifi fiscal Q1 net sales fall 7.9% yr/yr due to trade and tariff uncertainties

  • Company reports fiscal Q1 net loss of $11.4 mln, impacted by transition costs

  • Unifi launches restructuring program to enhance cost structure and profitability

Outlook

  • Unifi expects improved operating cash flows in Q2 fiscal 2026

  • Company to minimize operational and capital expenditures in fiscal 2026

Result Drivers

  • TRADE UNCERTAINTY - Co attributes 7.9% decline in net sales to trade and tariff-related uncertainty and demand volatility

  • RESTRUCTURING PROGRAM - Co launched restructuring program to enhance cost structure and drive profitability

  • NEW PRODUCT LAUNCH - Co launched A.M.Y. Peppermint, a naturally deodorizing yarn, to support sustainable innovation

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q1 Revenue

$135.67 mln

$135.25 mln (1 Analyst)

Q1 EPS

-$0.62

Q1 Net Income

-$11.35 mln

Q1 Adjusted EBITDA

-$2.50 mln

Q1 Operating Income

-$9.63 mln

Q1 Pretax Profit

-$11.16 mln

Analyst Coverage

  • Wall Street's median 12-month price target for Unifi Inc is $12.00, about 63.9% above its November 3 closing price of $4.33

  • The stock recently traded at 33 times the next 12-month earnings vs. a P/E of 23 three months ago

Press Release: ID:nBw2LsxTLa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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