Oxford Industries Stock Plunges 23%. What’s Pummeling Shares of the Tommy Bahama Parent.

Shares of Oxford Industries, the owner of the Tommy Bahama and Lilly Pulitzer brands, have fallen sharply this year. (Dreamstime)

Key Points

• Oxford Industries reports a third-quarter adjusted loss of 92 cents a share, narrower than forecasts that called for a loss of 94 cents.
• Consolidated net sales of $307.3 million came in slightly below last year’s $308 million but above the $305.6 million estimate.
• The company cut its fiscal-year net sales guidance to $1.47 billion-$1.49 billion and adjusted earnings forecast to $2.20-$2.40 a share.

Shares of Oxford Industries , the owner of Tommy Bahama and Lilly Pulitzer, have cratered 58% in 2025 amid tariff woes and weak spending trends. Investors seeking a moment of reprieve won’t find it in the company’s latest earnings report.

After the closing bell Wednesday, the apparel company posted an adjusted loss of 92 cents a share in its third fiscal quarter. Analysts polled by FactSet had forecast a loss of 94 cents.

Consolidated net sales came in at $307.3 million, down from $308 million in the same period last year, but above the $305.6 million consensus estimate among analysts polled by FactSet.

On a non-adjusted basis, results were impacted by a $61 million noncash impairment charge related to Johnny Was, the apparel brand Oxford Industries acquired in late 2022.

Shares began sliding in after-hours trading and continued their decline on Thursday, slumping 23% to $31.16. The drop put Oxford Industries on pace for its largest percent decrease since October 2007, according to Dow Jones Market Data. The benchmark S&P 500 index was down 0.5%.

With results broadly meeting or exceeding expectations, a sweeping fiscal-year guidance cut appeared to weigh on shares. Oxford Industries cut its adjusted earnings outlook to a range of $2.20 to $2.40 a share, down from $2.80 to $3.20 a share previously. Wall Street projects earnings of $2.90 a share.

The company also trimmed its net sales guidance to $1.47 billion to $1.49 billion, versus a prior range of $1.48 billion to $1.52 billion. Analysts tracked by FactSet are looking for $1.49 billion in sales, at the high end of the new range.

Commentary from management didn’t do much to improve sentiment. KeyBanc Capital Markets analyst Ashley Owens acknowledged positive messaging “surrounding initiatives to realign Johnny Was and Tommy Bahama,” such as executive shake-ups and the closure of underperforming stores.

However, these investments will take time, Owens noted. The company appears to have more pressing near-term matters at hand. In prepared remarks, CEO Tom Chubb indicated that the beginning of the holiday season, typically one of the busiest periods of the year and a source of strength for retailers, had been softer than anticipated.

The weakness was driven by tariff-related product gaps in certain seasonal categories as well as “a more promotional retail environment,” Chubb said.

While the company saw “pockets of strength” within its business, “consumers have become increasingly choiceful, especially with respect to the more discretionary aspects of their wardrobe,” he added.

With tariff headwinds at the forefront as well as a promotionally driven consumer, Owens expects results to remain “challenged” for the foreseeable future.

“Trends for 4Q are off to a softer start, stemmed from earlier/aggressive marketplace promos and assortment gaps from tariffs,” the analyst wrote. Owens reiterated a Sector Weight rating on the stock without a price target.

Write to Mackenzie Tatananni at mackenzie.tatananni@barrons.com