QVC Group Q2 2025: Double-digit adj. OIBDA margin, social/streaming rev. grows to 9% of total.

• QVC Group reports Q2 2025 financial results • QxH revenue declines amidst challenging environment • WIN strategy grows social and streaming revenue • QVC Group diversifies sourcing to mitigate tariffs • HSN transitioned to Studio Park campus completed

QVC Group, Inc. reported its Q2 2025 financial results, highlighting a 7.1% revenue decline and a significant $2.21 billion net loss, a 7003.1% drop from the same period last year [1]. The company attributed the loss to a $2.4 billion non-cash goodwill impairment charge and ongoing challenges in its transformation strategy.

Revenue
Total revenue for QVC Group decreased to $2.24 billion, a 7.1% decline from $2.41 billion in Q2 2024. Within the U.S. QVC eXperience & Home (QxH) segment, revenue fell 11% due to a 13% drop in units shipped and lower shipping and handling revenue. Electronics category saw growth, while other categories declined. QVC International revenue increased by 3% in U.S. dollars but decreased by 3% in constant currency due to a 3% decrease in units shipped and a 2% drop in average selling price. Cornerstone revenue decreased by 8% due to softness in interior furniture, outdoor furniture, and decor [2].

Earnings/Net Income
QVC Group reported a net loss of $2.21 billion in Q2 2025, a 7003.1% deterioration from a net income of $32 million in Q2 2024. The company maintained a double-digit Adjusted OIBDA margin despite the revenue decline. The operating loss of $2.3 billion was driven by a $2.4 billion non-cash impairment charge related to goodwill and tradenames [1].

Price Action
The stock of QVC Group surged 11.76% during the latest trading day but fell 11.86% weekly, showing a volatile but ultimately positive trend over the past 30 days [1].

CEO Commentary
CEO David Rawlinson acknowledged the challenging environment, noting continued decline in linear television, volatile consumer confidence, and uncertainty in international trade. Despite the revenue decline, the company achieved a double-digit Adjusted OIBDA margin and made progress on its WIN strategy by growing its social and streaming business to near double-digits as a percentage of QxH revenue, diversified sourcing to mitigate tariff risks, and completed the transition of HSN to the Studio Park campus. He expressed confidence in the long-term growth plan despite the need for time to realize full benefits [2].

Guidance
No guidance was provided in the earnings report.

Additional News
QVC Group announced the removal of Cornerstone as a borrower under its credit agreement effective April 1, 2025, impacting its leverage calculations. The company also reported a $975 million borrowing in July 2025 under its bank credit facility, increasing total drawn availability to $1.93 billion as of June 30. QVC Group’s leverage ratio stood at 3.9x at quarter-end, with the consolidated leverage ratio exceeding 3.5x, restricting its ability to make unlimited dividends. The company remains in compliance with all debt covenants [1].

References:
[1] https://www.ainvest.com/news/qvc-group-2025-q2-earnings-sharp-net-loss-revenue-decline-2508/
[2] https://investors.qvcgrp.com/news-media/press-releases/detail/659/qvc-group-reports-second-quarter-2025-financial-results