It’s been another week with far more retail news than there is time in the day. Below, we break down some things you may have missed during the week and what we’re still thinking about.
From Canada Goose’s latest divestiture to Little Debbie’s fall product lineup, here’s our closeout for the week.
What you may have missed
Canada Goose to sell Baffin
Canada Goose has entered into an agreement to sell performance footwear brand Baffin Limited to L.P. Royer. Financial terms of the sale were not disclosed, and the transaction is expected to close this month, subject to customary closing conditions.
“We’ve made meaningful progress evolving Canada Goose into a year-round lifestyle brand, and this gives us the opportunity to continue that momentum by simplifying our operating model, focusing resources on our highest-priority opportunities and drive long-term profitable growth,” Dani Reiss, CEO of Canada Goose, said in a statement.
Canada Goose reiterated its long-term commitment to the footwear category and stated that the sale of Baffin to work and military footwear company Royer would allow it to have greater focus and investment behind its brand across categories, seasons and markets.
Warby Parker readies launch of first Intelligent Eyewear collection
Warby Parker said it is now just weeks away from launching its first Intelligent Eyewear collection, designed with Google Gemini.
The launch marks “the beginning of an exciting new chapter for Warby Parker,” co-founder and co-CEO Dave Gilboa said in a statement. “For the past 16 years, we've helped millions of people see more clearly, and now we're seamlessly integrating transformative technology into the frames people already love to wear every day.”
The eyewear company on Thursday reported second quarter revenue grew nearly 10% year over year to $235.5 million, while active customers increased over 4% to 2.71 million. The company swung to a profit, posting a net income of $4.6 million, which included an $11.8 million IEEPA tariff refund benefit.
Warby Parker continued its brick-and-mortar expansion efforts in the second quarter with 15 net new stores opening during the period, pushing its total footprint to 352 locations.
Retail therapy
(Pumpkin) spice things up
In a move that can’t come a moment too soon, Little Debbie has introduced its 2026 fall product lineup. Starting next week, shoppers can find Pumpkin Spice Mini Muffins, Pumpkin Delights, Pumpkin Spice Oatmeal Creme Pies, Brownie Pumpkins, Gingerbread Cookies and Vanilla Fall Party Cakes, among other autumnal offerings, in stores nationwide.
"Autumn is all about creating warm memories with family and friends," Scott Brownlow, director of brands, said in a statement. "We're thrilled to bring back the warm, nostalgic flavors our fans look for every year, especially the return of our Pumpkin Spice Mini Muffins!"
Products are available for a limited time through the fall while supplies last, according to a company press release.
What we’re still thinking about
$27M
That’s how much Rhode drove in sales to its website in a single day from its latest summer product launch, E.l.f. Beauty executives shared during the company’s earnings call Wednesday.
The company said the brand acquired 90,000 new customers that day while also driving significant repeat purchases, with 70% of sales coming from Rhode's existing customers.
The brand, which E.l.f. Beauty acquired last year for $1 billion, has achieved record-breaking launches through its partnership with Sephora across several markets, including North America, the U.K. and New Zealand. The brand is plotting further expansion with the beauty retailer this September with its launch in 19 European countries.
Rhode contributed about $160 million in net sales to E.l.f. Beauty’s first quarter. Overall company net sales grew 36% year over year to $479.4 million, while net income widened from $33.3 million last year to $66.6 million.
What we’re watching
Activist pushes to overhaul Ethan Allen board, ramp up digital marketing
An investor who owns 5% of Ethan Allen’s stock on Wednesday slammed the furniture retailer’s management and nominated six candidates to replace its entire board of directors, including CEO and board chair Farooq Kathwari.
In a letter to his fellow shareholders, financier Doug Bergeron — who has made activist plays at VeriFone Systems and Cantaloupe that he says spurred successful turnarounds — said that “with the right Board, leadership, strategy and execution,” the company could triple its shareholder value over the next three years.
Ethan Allen on Wednesday confirmed receipt of Bergeron’s nominations, but didn’t immediately respond to requests for further comment on his assertions.
Bergeron called Ethan Allen’s Q4 and full-year results “deeply disappointing” and said it lags rivals in e-commerce and digital marketing. “Even Bassett Furniture — half the size of Ethan Allen — generates more site traffic,” he wrote.
Wholesale and retail sales declined in both the quarter and full year, and orders are also down. In a statement with the earnings report last month, Kathwari touted “strong margins and a robust balance sheet despite a challenging operating environment.” The results were largely in line with Telsey Advisory Group analyst forecasts.
But Bergeron compares the retailer to a melting ice cube. “And melting ice cubes eventually disappear,” he warned.
