Fiscal First Quarter 2026 Key Highlights:
Revenue was $108.5 million, compared to $111.5 million in the prior-year period
Gross margin increased to 32.6%, compared to 31.7% in the prior-year period
Operating income increased $2.7 million, or 352.9%, to $3.5 million, compared to $0.8 million in the prior-year period
Net loss was $0.1 million and diluted loss per share was $0.02, compared to net income of $0.5 million and diluted earnings per share ("EPS") of $0.16 in the prior-year period. Net income for the prior-year period includes a net gain of $3.6 million from non-recurring items
Adjusted EBITDA¹ increased $2.0 million, or 35.7%, to $7.8 million, compared to $5.7 million in the prior-year period
Total assets of $389.2 million and stockholders' equity of $95.3 million as of December 31, 2025
Approximately $38.7 million in cash and availability under the Company's credit facilities as of December 31, 2025
Successfully completed a $47.0 million refinancing for the Steel Manufacturing segment, providing additional lending capacity
"We are pleased with the continued operational progress during the quarter, which contributed to a $2.7 million, or 352.9%, increase in operating income compared with the prior-year period. These results were delivered despite sustained softness in new home construction and home refurbishment, which continued to weigh on our Retail-Flooring segment. In addition, we successfully refinanced one of our credit facilities in the Steel Manufacturing segment, strengthening our balance sheet and enhancing our ability to support future growth," commented David Verret, Chief Financial Officer of Live Ventures.
"We delivered a solid quarter marked by meaningful operating improvements across the businesses, despite a still-challenging housing backdrop. The 35.7% increase in Adjusted EBITDA¹ reflects the impact of our cost-reduction initiatives implemented last fiscal year. To build on this momentum, we are rolling out a comprehensive strategy to integrate AI across our business units. By applying AI alongside robotics and data analytics, we are modernizing operations, improving efficiency across the organization, and reinforcing the cost discipline that supports our long-term strategy," commented Jon Isaac, President and Chief Executive Officer of Live Ventures.
First Quarter Fiscal Year 2026 Financial Summary (in thousands except per share amounts)
For the three months ended December 31,
2025
2024
% Change
Revenue
$
108,544
$
111,508
-2.7
%
Gross profit
$
35,353
$
35,362
0.0
%
Operating income
$
3,451
$
762
352.9
%
Net (loss) income
$
(64
)
$
492
N/A
Diluted (loss) earnings per share
$
(0.02
)
$
0.16
N/A
Adjusted EBITDA¹
$
7,792
$
5,744
35.7
%
Revenue decreased approximately $3.0 million, or 2.7%, to approximately $108.5 million for the quarter ended December 31, 2025, compared to revenue of approximately $111.5 million in the prior-year period. The decrease primarily reflects an approximately $7.1 million decline in the Retail-Flooring and Steel Manufacturing segments, partially offset by an approximately $4.1 million aggregate increase in the Retail-Entertainment and Flooring Manufacturing segments, net of intercompany sales eliminations.
Gross profit was approximately $35.4 million for the quarter ended December 31, 2025, essentially unchanged compared to the prior-year period. However, gross margin increased by 90 basis points to 32.6%, as compared to 31.7% in the prior-year period. The gross margin improvement was attributable to higher margins in the Flooring Manufacturing segment due to improved efficiencies and a favorable product mix, improved efficiencies in the Steel Manufacturing segment, and a favorable product mix in the Retail Entertainment segment, partially offset by lower gross margins in the Retail-Flooring segment.
Operating income increased approximately $2.7 million, or 352.9%, to $3.5 million for the quarter ended December 31, 2025, compared with operating income of approximately $0.8 million in the prior-year period. The increase in operating income was primarily driven by higher gross margins and lower operating expenses in the Retail-Flooring, Flooring Manufacturing, and Corporate and Other segments, reflecting targeted cost-reduction initiatives.
For the quarter ended December 31, 2025, net loss was approximately $0.1 million, and diluted loss per share was $0.02, compared to net income of approximately $0.5 million and diluted EPS of $0.16 in the prior-year period. For the quarter ended December 31, 2024, net income includes an approximately $2.8 million gain related to the settlement of the earnout liability from the Precision Metal Works, Inc. ("PMW") acquisition, as well as an approximately $0.7 million gain from the settlement of PMW seller notes.
Adjusted EBITDA¹ for the quarter ended December 31, 2025, was approximately $7.8 million, an increase of approximately $2.0 million, or 35.7%, compared to $5.7 million in the prior-year period. The increase in Adjusted EBITDA¹ was primarily driven by higher operating income.
As of December 31, 2025, the Company had total cash availability of approximately $38.7 million, consisting of approximately $15.1 million in cash on hand and approximately $23.6 million available under its various lines of credit.
First Quarter Fiscal Year 2026 Segment Results (in thousands)
For the three months ended December 31,
2025
2024
% Change
Revenue
Retail - Entertainment
$
23,621
$
21,274
11.0
%
Retail - Flooring
25,327
31,747
-20.2
%
Flooring Manufacturing
28,861
29,168
-1.1
%
Steel Manufacturing
31,862
33,287
-4.3
%
Corporate & Other
7
56
-87.5
%
Intercompany eliminations
(1,134
)
(4,024
)
N/A
Total Revenue
$
108,544
$
111,508
-2.7
%
For the three months ended December 31,
2025
2024
% Change
Operating (loss) income
Retail - Entertainment
$
4,666
$
3,407
37.0
%
Retail - Flooring
(3,688
)
(2,173
)
-69.7
%
Flooring Manufacturing
2,325
651
257.1
%
Steel Manufacturing
1,620
1,202
34.8
%
Corporate & Other
(1,172
)
(1,557
)
24.7
%
Intercompany eliminations
(300
)
(768
)
N/A
Total Operating Income
$
3,451
$
762
352.9
%
For the three months ended December 31,
2025
2024
% Change
Adjusted EBITDA¹
Retail - Entertainment
$
4,967
$
3,810
30.4
%
Retail - Flooring
(2,301
)
(783
)
-193.9
%
Flooring Manufacturing
3,275
1,633
100.6
%
Steel Manufacturing
3,314
3,187
4.0
%
Corporate & Other
(1,163
)
(1,334
)
12.8
