J.Jill Reports Q2 Revenue Growth Amid 23% Profit Decline

J.Jill, Inc., a women's apparel retailer targeting affluent women over 45, reported second-quarter sales of approximately $154 million, slightly below last year's $155 million but exceeding analyst expectations. The company posted net income of $10.5 million, or $0.69 per share, with adjusted earnings per share of $0.81, beating consensus estimates of $0.72. Despite these positive surprises, J.Jill’s adjusted EBITDA fell by 15.3% and gross margin compressed by 2.1 percentage points, reflecting ongoing challenges including tariff headwinds and a modest decline in sales. The company’s stock has underperformed the market, dropping nearly 39% year-to-date, although its earnings have surpassed estimates in three of the last four quarters. J.Jill’s strategy focuses on deepening engagement with its loyal core customers, enhancing its omnichannel retail model, improving product assortment, and leveraging data analytics to adapt marketing and merchandise. While the second quarter showed signs of stabilization compared to earlier in the year, the outlook for the third quarter anticipates flat to declining sales and continued cost pressures.