Zumiez just wrapped another quarter with sales still moving in the right direction, but things started to cool off as the period went on.
The company posted its eighth straight quarter of positive comparable sales, which shows people are still buying gear, but the pace slowed toward the end of the first fiscal quarter as shoppers started holding back a bit more.
For the quarter ending May 2, 2026, Zumiez brought in $193.3 million in net sales, up from $184.3 million last year. Comparable sales went up 4 percent overall, with North America up 4.4 percent and Europe up 5.5 percent. That means both regions were still growing, just not at the same steady rate all the way through the quarter.
Leadership said the early part of the quarter looked healthy, but spending pressure started showing up later. That slowdown carried into May, where North America comparable sales actually turned negative. It was a sign that customers were becoming more careful with what they were buying, especially as everyday costs stay high and discretionary spending gets tighter.
Even with that shift, the company is still pointing to progress in how it runs the business. Net loss came in at $13.3 million compared to $14.3 million a year ago. Cash and marketable securities also increased to $124.2 million, which gives the company more flexibility going forward.
Product mix also played a role in the quarter. Men’s categories led sales growth, followed by hardgoods, women’s, and accessories. Footwear was the only category that saw a decline. Private label products made up 34 percent of total sales, which is the highest level the company has ever seen. That shows Zumiez is leaning more into its own in house brands, especially as branded product cycles move faster and inventory needs more control.
Management also pointed out that the overall market got tougher as the quarter progressed. North America in particular showed more weakness, while Europe held up better than expected. Some of that difference came from improved inventory handling and better full price selling in international markets, even though broader economic conditions there are still not easy.
The company also noted that global events had an impact on demand timing, with some slowdown appearing when geopolitical tensions increased. On top of that, leadership mentioned that the brand mix includes higher priced items with more discretionary appeal, which can make sales more sensitive when consumers start tightening budgets.
Looking ahead, Zumiez is not giving full year guidance because of uncertainty in consumer spending. For the second fiscal quarter, the company expects net sales between $210 million and $215 million. That would range from slight growth to a small decline compared to last year. Earnings per share are expected to remain negative for the quarter, though not as deep as the prior year period.
Even with cautious expectations, the company still believes it can deliver overall sales growth for the year. At the same time, it is adjusting expectations for the back half of fiscal 2026, saying results may come in a bit softer than earlier projections from March.
On the retail side, Zumiez is also reshaping its store footprint. The plan includes opening five new U.S. stores while closing around 26 locations across North America and international markets. This is part of an ongoing adjustment to focus on stronger performing stores and improve overall efficiency.
Overall, the quarter shows a mix of steady growth and early signs of slowdown. Skaters are still buying gear, but the pace is less consistent than before, and the company is preparing for a more cautious retail environment ahead.