Women’s fashion brand Torrid has recorded a loss of $7 million in the 2025 financial year, with the fourth quarter (Q4) denting the company’s balance sheet.

In a year underpinned by Torrid’s efforts to reduce its store count and readjust its product portfolio, the company shut 151 locations – 77 of them in Q4.

The final quarter also saw net sales decrease by 14.3 per cent to $236.2 million. Across the year, net sales fell by 9.4 per cent to $1 billion.

But the company’s CEO, Lisa Harper, was resolute about the company’s prospects.

“Last year was a transformational year. We delivered $1 billion in net sales, in line with our guidance, and $63.6 million in adjusted EBITDA, exceeding the high end of our outlook, while making deliberate strategic decisions required to put this business on a stronger footing,” Harper said.

She added that Torrid introduced five new sub-brands, which generated $70 million in sales. “Trends in Q4 and early Q1 give us confidence that the foundation we’ve built is beginning to take hold,” she said.

“I am confident we are on the right path and encouraged by early signs of progress we are seeing in the business.”