Solo Brands Q2 sales fall 4.1% as adjusted EBITDA rises

Solo Brands (NYSE: SBDS ) released second-quarter financial results and hosted an earnings call on Thursday.

Read the complete transcript below.

This content is powered APIs.

For comprehensive financial data and transcripts, visit The full earnings call is available at Summary Solo Brands reported a 4.1% decline in consolidated sales for Q2 2026, with Stove segment sales down 14.7% and Chubbies down 8.6%, while Water Sports saw a 59% sales increase.

The company improved adjusted EBITDA to $13.5 million, a 15.3% margin, and reduced operating expenses by 25.5% year over year, reflecting progress in profitability and cash generation.

Solo Brands initiated restructuring efforts, closing two facilities to streamline operations and reduce costs, while successfully transitioning Oru fulfillment activities to a main distribution facility.

International sales grew by 46% year over year, with the ongoing expansion in Europe, Canada, Asia, and South America, as part of their strategic focus on international growth and market diversification.

Management emphasized the importance of product innovation, with new launches such as the Infinity Flame Premium Propane Fire Pit and expansion into new product categories like indoor fireplaces.

Future guidance includes continued investment in growth capital for product innovation, with a focus on sustainable growth across brands and maintaining a capital-efficient operating model.

Full Transcript OPERATOR Good morning everyone.

Welcome to the Solo Brands second quarter fiscal 2026 financial results conference call.

After today's presentation there will be an opportunity to ask questions.

To ask a question, you may press star then 1 on your touchtone phone, and to withdraw your question please press star then 2.

Please note this event is being recorded.

I would now like to turn the call over to Mr.

Mark Anderson, Senior Director, Treasurer and Investor Relations.

Please go ahead, sir.

Mark Anderson, Senior Director, Treasurer and Investor Relations Thank you and good morning everyone.

We appreciate you joining us for the Solo Brands conference call to review the 2026 second quarter results.

Joining me on the call today are the Company's President and Chief Executive Officer John Larson and Chief Financial Officer Laura Coffey.

This call is being webcast and can be accessed through the Investors portion of our website at investors.solobrands.com.

Today's conference call will be recorded.

Please be advised that any time-sensitive information may no longer be accurate as of any replay or transcript reading date.

I would also like to remind you that the statements in today's discussion that are not historical facts, including statements about future financial and operating performance including guidance, liquidity and cash flows, covenant compliance, business strategy including product innovation, introduction of new products, cost savings, benefits of technological advances, receipt of tariff refunds, trends in seasonality, transition of order fulfillment activities and international expansion are forward-looking statements and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.

Forward-looking statements by their nature are uncertain and outside of the Company's control.

Actual results may differ materially from those expressed or implied.

Please refer to today's earnings press release for our disclosures on forward-looking statements.

These factors and other risks and uncertainties are described in detail in the Company's filings with the Securities and Exchange Commission.

Solo Brands assumes no obligation to publicly update or revise any forward-looking statements except as required by law.

Management will refer to non-GAAP measures and reconciliations to the nearest GAAP measures are included at the end of our earnings release.

Finally, the earnings release has been furnished to the SEC on Form 8-K.

Now I would like to turn the call over to John Larson.

John Larson, President and Chief Executive Officer Thanks, Mark, and thank you all for joining us today.

After our prepared remarks, we will open the call for analyst and investor questions.

We entered the second quarter with some solid momentum and saw encouraging trends across our portfolio.

While sales softened in June, particularly across our DTC channel, retail point-of-sale demand for Chubbies and Water Sports, which includes the Oru and Isle brands, grew year over year.