PLBY Group Q2 Earnings Call Highlights
Key Points
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- PLBY Group returned to profitability in Q2: Revenue rose 10.9% year over year to $31.2 million, adjusted EBITDA doubled to $7 million, operating income reached $3 million, and operating cash flow was approximately $2 million.
- Honey Birdette was the main growth driver, with revenue up 18% to $19.5 million and double-digit comparable-sales growth across retail and online channels. Licensing also returned to growth, supported by collaborations including Supreme and Missguided.
- PLBY is focused on deleveraging and expanding recurring revenue: The company expects additional UTG proceeds to reduce debt, while media subscriptions, sponsorships and paid contests are being developed; it also agreed to repurchase nearly 15% of outstanding shares for about $17 million.
PLBY Group (NASDAQ:PLBY) reported second-quarter revenue growth, a return to operating profitability and positive operating cash flow, as the company cited continued momentum at Honey Birdette, growth in licensing and early progress in its media and experiences strategy.
Revenue for the quarter totaled approximately $31.2 million, up 10.9% from $28.1 million in the second quarter of 2025. Adjusted EBITDA rose to $7 million from $3.5 million a year earlier, producing a 22% adjusted EBITDA margin and marking the company’s sixth consecutive quarter of positive adjusted EBITDA.
Operating income was approximately $3 million, compared with an operating loss of $5.9 million in the prior-year period. Net income was about $200,000, or break-even on a per-share basis, versus a net loss of $7.7 million, or $0.08 per share, a year earlier. The company generated roughly $2 million of positive operating cash flow during the quarter.
Honey Birdette Leads Revenue Growth
Honey Birdette revenue increased 18% year over year to $19.5 million, compared with $16.5 million in the prior-year quarter. The lingerie brand recorded 15% total comparable sales growth, including a 13% increase in retail comparable sales and a 16% increase online. Every region posted positive comparable sales, according to Chief Financial Officer and Chief Operating Officer Marc Crossman.
Crossman said the business benefited from full-price selling, higher average selling prices and improved product margins. Honey Birdette has now delivered seven consecutive quarters of double-digit brick-and-mortar comparable-store sales growth and five consecutive quarters of double-digit combined retail and online comparable sales growth.
During the question-and-answer session, Crossman said online sales have become an increasingly important source of growth, particularly in the U.S. market. CEO Ben Kohn said the company is evaluating opportunities to open additional stores but is being selective because of high rents and the need to preserve store-level margins. He said e-commerce provides another avenue for growth without the capital expenditures associated with physical locations.
Licensing Revenue Returns to Growth
Licensing revenue rose approximately 2% to $11.2 million from $10.9 million in the prior-year quarter. The company said growth was partially offset by a reduction of a couple hundred thousand dollars per quarter in China as its joint-venture partner, UTG, transitions the business to an owner-operator structure.
PLBY cited its sold-out Supreme collaboration and an expanding relationship with Missguided as contributors to licensing performance. Kohn said the company scaled back one major apparel licensee, enabling Missguided to invest more heavily in the market and potentially expand into additional categories.
The company also said its Byborg strategic partnership contributed $5 million of digital licensing revenue during the quarter, consistent with the contractual minimum guarantee. PLBY reported more than $320 million of contracted licensing revenue that has not yet been recognized.
Kohn told analysts that licensing growth could come from geographic and category “white space,” including gaming, while emphasizing that the company intends to avoid reducing existing licensing revenue or EBITDA as it consolidates partnerships. He said licensing could generate growth in steps as new agreements are signed, while digital media is intended to build a recurring revenue base.
Media, Subscriptions and Contests Expand
The company continued to invest in media and experiences, reporting approximately 2 million unique visitors to playboy.com during the quarter. Kohn said the subscription service launched on the site completed its first full quarter and that July was its strongest month to date. The company is testing pricing, content and conversion funnels before increasing spending behind subscriber growth.
PLBY also said it has signed its first sponsorship agreements for short-form video content across social and editorial channels, with related revenue expected to begin appearing in third-quarter results.
The company’s second paid-voting contest, a model search conducted with Honey Birdette, attracted nearly 50,000 contestants and generated about 2.5 times the revenue of its first contest. Because voting closed after the end of the second quarter, the associated revenue was not included in the reported results and is expected to be recognized in the third quarter. A Honey Birdette collaboration associated with the contest is scheduled to launch in September.
Kohn said PLBY plans another major contest before year-end, the Great Playmate Search. He also cited the company’s spring issue featuring Karol G and summer issue featuring Cara Delevingne as signs of renewed brand visibility.
Debt Reduction and Share Repurchase
PLBY ended the quarter with $37.1 million in total cash, including restricted cash, and $144.9 million of total debt. Debt was unchanged from the end of the first quarter but down from $159.9 million at the end of 2025, reflecting a $15 million repayment using initial UTG proceeds.
The company expects an additional $36.7 million of UTG proceeds to be directed toward debt reduction, which management said would reduce gross debt to about $108 million by January 2028. Kohn said the company expects leverage to fall below three times after receiving the remaining proceeds.
PLBY also agreed to repurchase approximately 16.6 million shares, or nearly 15% of its outstanding shares, for $1.05 per share, representing roughly $17 million in total. The repurchase is being completed in installments. The company paid $2 million on the effective date and plans to make a $3 million payment on or before Aug. 31.
Separately, PLBY said it continues to advance plans for a new flagship Playboy Club in Miami under a structure intended to avoid the company taking capital risk. The company also added Jennifer Cabalquinto, former CFO of 2K and the Golden State Warriors, as an independent director.
About PLBY Group (NASDAQ:PLBY)
PLBY Group, Inc is a global media and lifestyle company best known for its iconic Playboy brand. The company operates across multiple business segments, including consumer products, licensing, subscription commerce, sexual wellness and digital offerings. Through its diversified portfolio, PLBY Group brings its signature aesthetic and brand heritage to categories such as apparel, accessories, gaming, beverages, home goods and intimate lifestyle products.
In the consumer products segment, PLBY Group designs and markets a range of branded goods under licensing agreements with major retailers and distributors worldwide.
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