As Princess Polly network grows, AKA Brands curbs losses

By Irene Dong August 8, 2024

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AKA Brands Holding Corp has reported an increase in sales as it remains on track to open five new US Princess Polly stores in the fourth quarter of this year.

The company’s net sales rose 9.5 per cent to $148.9 million from $136 million in the second quarter of last year, or 10.1 per cent on a constant currency basis.

In the US, the net sales climbed by 19.3 per cent compared to the same period last year.

According to Ciaran Long, interim CEO and CFO, the company’s second-quarter performance exceeded expectations, demonstrating the strength of its brands and the power of its business strategy.

“Importantly, our strong top-line growth translated into adjusted EBITDA of $8.0 million, an increase of 44 per cent compared to the same quarter last year,” he added.

“We continued to execute against our strategic priorities with an emphasis on our customers, and I’m very pleased that our active customer base increased by nearly 12 per cent on a trailing 12-month basis.”

AKA Brands Holding is also accelerating Princess Polly’s expansion, with plans to open five additional outlets in Scottsdale, Santa Clara, San Diego, and Irvine. It will also debut on the East Coast, landing in Boston, Massachusetts. Each new store will carry more than 250 Princess Polly clothing pieces, as well as 200 plus accessories and footwear options.

“Growing Princess Polly’s physical retail footprint across the US reflects our commitment to listening to our customers and delivering an unmatched in-store customer experience,” said Wez Bryett, co-CEO of Princess Polly.

In addition to Princess Polly’s expansion, other AKA Holdings brands also have some highlights in the second quarter of this year. Culture Kings US reported another quarter of significant double-digit net sales growth and introduced new licenses and visuals while Petal & Pup and MNML have increased their omnichannel distribution on Nordstrom.

“Our strong second-quarter results are a clear indication that demand for our brands is strong and that we have tremendous growth opportunities ahead of us,” Long added.