J.Jill Plunges 11.8% on Mixed Earnings Report

On September 3, 2025, J.Jill's stock experienced a significant drop of 11.8% in pre-market trading.

J.Jill reported its second-quarter 2025 results, revealing a decline in operating income margin to 10.9% from 14.8% in the same period last year. The company also closed two stores during the quarter, focusing on omnichannel integration. Inventory levels increased by 5% year-over-year, ending the quarter at $55.3 million.

Despite the challenges, J.Jill surpassed second-quarter earnings and revenue estimates. The company reported adjusted earnings of 81 cents per share, exceeding analyst expectations of 75 cents. However, sales declined to $154 million from $155.2 million the previous year. Comparable sales fell by 1% year-over-year, while direct-to-consumer sales, which make up 46.4% of total sales, decreased by 2.2%.

J.Jill's CEO and President, Mary Ellen Coyne, noted sequential improvement in sales trends and positive customer response to the summer sale period. The company expects net sales to be flat to down low single digits in the third quarter, with comparable sales down low to mid-single digits. Adjusted EBITDA is projected between $18 million and $22 million, incorporating about $5 million in incremental tariff-related costs.