The City of Industry-based company, which trades on the New York Stock Exchange under the ticker CURV, ended the 2025 fiscal year with 483 stores remaining, down from a significantly larger footprint just 12 months earlier. The closures were part of what Torrid called its "Retail Store Optimization Project," targeting locations the company described as "structurally unproductive."
"2025 was a transformational year," Harper said. "We delivered $1 billion in net sales, in line with our guidance, and $63.6 million in Adjusted EBITDA, exceeding the high end of our outlook, while making deliberate strategic decisions required to put this business on a stronger footing."
Full-year net sales fell 9.4 percent to $1,000.1 million compared to $1,103.7 million the year prior. Comparable sales dropped 7 percent, gross profit margin thinned from 37.5 percent to 34.8 percent, and the company swung from a net income of $16.3 million to a net loss of $7.0 million. Adjusted EBITDA dropped from $109.1 million to $63.6 million year-over-year.
Pivot Towards Business Durability
Still, Harper said the company used the year to build what she believes is a more durable business. Torrid launched five sub-brands that together generated roughly $70 million in sales, and restructured its product assortment around what the company called "core franchises and fabrications" its customers value most."We enter 2026 with a strong operational foundation—optimized channels, product and pricing," Harper said. "This positions us to accelerate customer file growth through renewed marketing efforts, helping us re-engage past shoppers, attract new customers and deepen loyalty across our existing base."
Major chains have been hit hard. Macy's is closing 150 underproductive locations as part of a three-year turnaround strategy, while nearly 60 Saks Fifth Avenue stores are expected to close in early 2026. Women's boutique chain Francesca's—a mall staple for 25 years—filed for Chapter 11 bankruptcy protection in February 2026 and is shutting all 457 of its locations across 45 states. Children's apparel retailer Carter's is closing 100 locations this year, with its CEO pointing to higher tariffs as a factor in declining profitability.
Looking ahead, Torrid projected full-year fiscal 2026 net sales between $940 million and $960 million—a further decline from last year—with Adjusted EBITDA expected to range between $65 million and $75 million.