Nov 5, 2026, 4:07 PM ETConsumer Cyclical

Savers Value Village, Inc. — Third Quarter 2026 Earnings Summary

SVVSAVERS VALUE VILLAGE INC

Financial Performance

Total company net sales increased 8.5% year-over-year to $463.1 million for the thirteen weeks ended October 3, 2026, compared to $426.9 million in the prior year period; constant-currency net sales increased 8.9%.
Comparable store sales increased 4.2% overall, driven by a 5.9% increase in the U.S. and a 1.5% increase in Canada.
Net income was $23.4 million ($0.15 per diluted share) with a net income margin of 5.1%, compared to a net loss of $14.0 million ($0.09 per diluted share) in the prior year.
Adjusted net income was $25.5 million ($0.16 per diluted share), compared to $22.5 million ($0.14 per diluted share) in the prior year.
Adjusted EBITDA was $75.9 million, representing a year-over-year increase for the fourth consecutive quarter, with an Adjusted EBITDA margin of 16.4% (unchanged from 16.4% in the prior year).
Operating expenses totaled $417.5 million (90.2% of sales) compared to $390.6 million (91.5% of sales) in the prior year.
Cost of merchandise sold was 43.1% of sales in the current quarter versus 44.1% in the prior year.
Total debt stood at $674.4 million as of the end of the quarter, down from $708.2 million at the beginning of the fiscal year.
Cash and cash equivalents were $60.1 million at quarter-end, down from $85.9 million at the start of the fiscal year.
For the thirty-nine weeks ended October 3, 2026, net sales were $1.31 billion, net income was $39.8 million, and Adjusted EBITDA was $194.8 million.

The Company updated its fiscal 2026 outlook (fifty-two weeks ending January 2, 2027) assuming an exchange rate of 1 CAD = 0.72 USD.
Net sales guidance was narrowed to $1.77 billion to $1.78 billion, previously $1.77 billion to $1.79 billion.
Comparable store sales growth guidance for fiscal 2026 was raised to 3.5% to 4.0%, previously 3.0% to 4.0%.
Net income guidance was adjusted to $69 million to $75 million ($0.43 to $0.47 per diluted share), previously $67 million to $76 million ($0.42 to $0.47 per diluted share).
Adjusted net income guidance was adjusted to $76 million to $83 million ($0.48 to $0.52 per diluted share), previously $76 million to $85 million ($0.47 to $0.53 per diluted share).
Adjusted EBITDA guidance was adjusted to $270 million to $275 million, previously $265 million to $275 million.
Capital expenditures guidance was raised to $135 million to $145 million, previously $125 million to $145 million.
New store openings guidance remains approximately 25 for the full year.
The Company expects to continue deploying the ThriftIQ platform across U.S. and Canadian locations through early 2028.

U.S. Retail net sales increased 12.2% to $263.4 million, with segment profit increasing 16.2% to $55.7 million.
Canada Retail net sales increased 2.5% to $163.7 million, with segment profit increasing 10.0% to $49.9 million.
"Other" segments (Australia Retail and Wholesale) net sales increased 10.4% to $36.0 million, though segment profit decreased 23.2% to $6.6 million.
The ThriftIQ proprietary pricing platform was expanded to 108 stores during the quarter; stores utilizing the platform demonstrated gross profit growth, higher unit sell-through, larger baskets, and stronger sales yields.
The Company launched patent-pending Autotagger and image capture solutions designed to enhance labor efficiency.
The Company opened 9 new stores during the quarter, ending with a total of 384 stores (193 in the U.S., 172 in Canada, 19 in Australia).
Pre-opening expenses recorded for the quarter were $5.1 million.

The Company is the largest for-profit thrift operator in the U.S. and Canada for value-priced pre-owned clothing, accessories, and household goods.
The Company highlighted stronger than expected profitability in new stores.
The Company noted encouraging signs of improvement in the Canadian business.
The Company operates exclusively as a "brick and mortar" retailer with no online operations.

Macroeconomic pressures in the U.S. and Canada and changes in consumer confidence and spending could impact supply and demand.
Risks exist regarding the ability to source and process sufficient quantities of quality secondhand items at attractive prices.
The Company faces risks related to its status as a "brick and mortar" only retailer in a growing online marketplace.
International business risks include regulatory risks in foreign jurisdictions (particularly Canada), transportation challenges, and exchange rate risks.
Risks include the potential failure to open new profitable stores or successfully enter new markets.
Operational risks include disruptions at centralized processing centers, litigation, and cybersecurity threats.
The Company faces risks related to attracting and retaining key personnel and managing labor costs.
Geopolitical instability and potential outbreaks of viruses or natural disasters are cited as potential disruptors.

CEO Mark Walsh expressed pride in the strong third-quarter results, noting the fourth consecutive quarter of year-over-year adjusted EBITDA growth.
Management highlighted continued strength in the U.S. business and encouraging signs of improvement in Canada.
Management noted stronger than expected profitability in new stores and momentum in the innovation agenda.
The Company announced an Innovation Day scheduled for November 10, 2026, in Minneapolis to share further details on ThriftIQ, Autotagger, and the broader innovation agenda.

The Company repaid $51.9 million of outstanding borrowings under its 2025 Term Loan Facility using cash on hand, resulting in a loss on extinguishment of debt of $0.8 million.
In connection with a secondary offering on August 11, 2026, the Company repurchased approximately 1.0 million shares of common stock at a total cost of approximately $10.0 million, excluding excise tax; this was separate from the 2025 authorized share repurchase program.
The Company published its 2026 Impact & Sustainability Report, highlighting progress in sustainability initiatives, including local sourcing, responsible AI policies, and the conversion of GreenDrop locations to alternative energy sources.
The Company completed its first Climate-related Risks and Opportunities Assessment and reported Scope 1, Scope 2, and Scope 3 greenhouse gas emissions with independent assurance for Scope 1 and 2.
The Company has $179.2 million available to borrow under its 2025 Revolving Credit Facility.
A conference call to discuss results is scheduled for November 5, 2026, at 4:30 p.m. ET.