EXPRESS, INC. (EXPR)·Q3 2024 Earnings Summary

Executive Summary

• Express, Inc. did not issue a Q3 2024 earnings press release (8‑K 2.02) or hold an earnings call due to its Chapter 11 process and subsequent sale of most operations to a WHP Global–led consortium; the debtor entity was renamed EXP OldCo Winddown, Inc., and management stated the FY23 10‑K was filed solely to comply with reporting obligations prior to Form 15, with no further regular SEC reporting anticipated .
• Court approved the sale; transaction closed June 21, 2024, forming PHOENIX Retail to operate U.S. DTC for Express & Bonobos, keeping ~450 stores open and ~7,000 jobs, with $174M consideration (cash and assumed liabilities) .
• No Q3 2024 guidance was provided; management cautioned equity holders could face a significant or complete loss during Chapter 11 .
• S&P Global consensus estimates for EXPR Q3 2024 were unavailable via our tool (missing mapping); as a result, no estimate comparisons can be made for Q3 2024 [GetEstimates error: Missing CIQ mapping for ticker 'EXPR'].

What Went Well and What Went Wrong

What Went Well

• Court approval and closing of sale to PHOENIX ensured operational continuity for Express & Bonobos DTC in the U.S., preserving ~450 stores and ~7,000 jobs .
• Liquidity actions included $35M new financing commitment and a $49M CARES Act cash refund; CEO Stewart Glendinning: “We are taking an important step that will strengthen our financial position and enable Express to continue advancing our business initiatives” .
• Strategic alignment with WHP (existing IP JV partner) provided a path to stabilize brand operations and focus on profitable growth post-sale .

What Went Wrong

• Chapter 11 filing, store rationalization (~95 Express stores to be closed; all UpWest stores) and delisting from NYSE to OTC Pink highlighted severe financial distress and impaired equity value .
• No Q2 or Q3 2024 earnings press releases or calls, eliminating normal quarterly transparency and guidance for investors .
• Management explicitly cautioned shareholders about potential significant or complete loss during the restructuring, underscoring high equity risk .

Financial Results

Note: EXPR did not report Q3 2024 results; comparisons are limited to prior-year context (Q3 2023) and show unavailability for Q2/Q3 2024.

Segment details (Q3 2023 context):

• Express & UpWest net sales: $402.0M (down 7% YoY); consolidated net sales: $454.1M (+5% YoY) .

KPIs: Not available for Q2/Q3 2024 due to absence of reporting .

Guidance Changes

Earnings Call Themes & Trends

Management Commentary

• “We are taking an important step that will strengthen our financial position and enable Express to continue advancing our business initiatives. WHP has been a strong partner… the proposed transaction will provide us additional financial resources, better position the business for profitable growth and maximize value for our stakeholders.” — Stewart Glendinning, CEO .
• “Our top priority remains providing our customers with the contemporary styles and value they expect from us.” — Stewart Glendinning, CEO .
• Company cautionary note to common shareholders: trading during Chapter 11 is highly speculative; stockholders could experience a significant or complete loss depending on outcomes .

Q&A Highlights

• No Q3 2024 earnings call or Q&A was held due to Chapter 11 and sale closing .
• Prior-year context (Q3 2023) included discussion of savings initiatives ($80M in 2023; $30M delivered in Q3) and merchandising actions, but is not directly comparable to Q3 2024 given restructuring .

Estimates Context

• Wall Street consensus (S&P Global) for EXPR Q3 2024 was unavailable via our data feed due to missing mapping; therefore, estimate comparisons cannot be provided for Q3 2024 [GetEstimates error: Missing CIQ mapping for ticker 'EXPR'].
• For Q3 2023, Seeking Alpha shows revenue miss of $17.18M and EPS miss of $2.65, indicating prior-year performance challenges .

Key Takeaways for Investors

• No Q3 2024 financials or guidance were issued; the investment narrative is dominated by restructuring and sale outcomes rather than operating trends .
• Equity risk is extreme under the wind-down structure; management cautioned potential significant/complete loss for common shareholders during Chapter 11 .
• Operational continuity for the brands (Express & Bonobos) is maintained under PHOENIX, which may be relevant for creditors and brand partners rather than oldco equity holders .
• Store rationalization and cost actions continue as part of the Chapter 11 process, likely improving operational focus post-sale but unrelated to oldco shareholder value .
• Near-term trading implication: absence of Q3 2024 results eliminates typical earnings catalysts; court/process milestones are the primary drivers of any market reaction for the wind-down entity .
• Medium-term thesis considerations shift away from EXPR oldco equity toward evaluating PHOENIX/WHP’s execution on merchandising, omni-channel, and store productivity for the brands (Express & Bonobos) in private/consortium form .

Notes on document availability and methodology:

• We searched for and found no EXPR Q3 2024 8‑K 2.02, earnings call transcript, or press releases in our document catalog; corroborating public sources confirm Chapter 11 and sale transactions that superseded normal quarterly reporting .
• Prior two quarters’ earnings (Q1/Q2 2024) were likewise not reported via normal channels due to the restructuring; thus, quantitative trend analysis for 2024 is unavailable .