a.k.a. Brands shares rose 3.9% following a quarter marked by meaningful gross margin expansion and better-than-expected adjusted EBITDA, driven primarily by strong execution in the streetwear segment and effective inventory discipline.

• Net sales increased 3% to $132.5 million, reflecting steady top-line growth.
• Adjusted EBITDA reached $5.1 million, beating expectations and indicating improved profitability.
• Gross margin expanded approximately 180 basis points year-over-year to 59%, driven by inventory discipline, stronger full-price sell-through, and rollout of the test and repeat model, especially within streetwear brands.
• Inventory was reduced by ~$45 million over three years, improving turns and enabling financial flexibility.
• Omnichannel efforts, including wholesale, retail store openings, and marketplace expansions, are contributing to broader brand visibility and customer acquisition.