Duluth Holdings Inc., which operates as Duluth Trading Company, reported fiscal second-quarter net income of $18.4 million for the three months ended August 2, 2026, compared with $1.3 million a year earlier. Earnings per share of $0.50 exceeded the consensus estimate of a $0.01 loss, with $0.44 per share attributable to tariff refunds totaling $16.3 million. Adjusted EBITDA increased to $27.0 million from $12.0 million. Net sales fell 7.8% to $121.39 million, although they exceeded estimates, as direct-to-consumer sales declined 11.5% to $70.1 million and retail-store sales decreased 2.4% to $51.3 million. Gross margin expanded to 72.8% from 54.7%, or to 59.6% excluding tariff refunds, while inventory declined 15.5%, or $22.9 million, from the prior year. The company ended the quarter with $26.8 million in cash and cash equivalents, $85.7 million in net working capital and approximately $96 million in net liquidity, with no debt outstanding on its $70.0 million Asset Based Lending facility. Duluth Trading affirmed fiscal 2026 net sales guidance of $540 million to $560 million, raised Adjusted EBITDA guidance to $38 million to $42 million from $28 million to $32 million, and maintained capital expenditure guidance of approximately $12 million.