J Jill posts weaker results as sales, margins fall

By Kaycee Enerva April 1, 2026

Text Size

J Jill reported weaker fourth-quarter and full-year results, as sales and margins declined despite growth in its direct-to-consumer channel.

President and CEO Mary Ellen Coyne said the company spent much of the year testing new initiatives.

“Last year, we deliberately embarked on a period of testing and learning to build the foundation for expanding our customer file,” she said.

“As we moved into the second half of the year, we validated new opportunities within our product assortment, piloted customer acquisition strategies, and implemented enhanced operational capabilities.”

For the fourth quarter ended January 31, the lifestyle brand’s net sales fell 3.1 per cent to $138.4 million, while comparable sales declined 4.8 per cent. Direct-to-consumer sales, which accounted for 53.5 per cent of revenue, rose 2.6 per cent.

Gross profit declined to $87.3 million from $94.8 million a year earlier, with gross margin narrowing to 63.1 per cent from 66.3 per cent, partly impacted by approximately $4.5 million in incremental tariff costs.

The company reported an operating loss of $0.2 million, compared to operating income of $5.1 million last year, while net loss widened to $3.5 million. Adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) fell to $7.2 million from $14.5 million.

For the full year, net sales decreased 2.3 per cent to $596.5 million, with comparable sales down 3.1 per cent. Direct-to-consumer sales declined 0.8 per cent and represented 48.2 per cent of total revenue.

Gross profit fell to $409.7 million, with margin contracting to 68.7 per cent from 70.4 per cent. Operating income declined to $50.6 million from $75.7 million, while net income dropped to $27.9 million from $39.5 million. Adjusted EBITDA decreased to $84.3 million from $107.1 million.

The retailer ended the year with 256 stores, after opening nine and closing five locations during the period.

Looking ahead, Coyne said the company remains focused on executing its strategy.

“We are encouraged by the early progress on these initiatives, and remain focused on the important work required to position the business for sustainable growth,” she added.

“Enabled by our disciplined operating model, we remain confident that the evolution of our product and marketing efforts will enhance and broaden the appeal and awareness of our incredible brand.”