FIGS — what changed in the latest 10-Q

Text added vs the prior filing · source: 10-Q · 2026-08-06

• ◦Gross margin increased 8.2 percentage points from 67.0% to 75.2% in the three months ended June 30, 2026, and increased 4.5 percentage points from 67.3% to 71.8% in the six months ended June 30, 2026;

• ◦Net income increased from $7.1 million to $28.4 million in the three months ended June 30, 2026, and increased from $7.0 million to $34.7 million in the six months ended June 30, 2026;

• ◦Net income margin increased from 4.7% to 14.4% in the three months ended June 30, 2026, and increased from 2.5% to 9.7% in the six months ended June 30, 2026;

• ◦Adjusted EBITDA increased from $19.7 million to $36.6 million in the three months ended June 30, 2026, and increased from $28.9 million to $50.5 million in the six months ended June 30, 2026, representing an adjusted EBITDA margin of 18.6% and 14.2%, respectively;

• ◦Cash flows from operating activities increased from $(3.2) million to $43.7 million in the six months ended June 30, 2026; and

Text removed vs the prior filing · source: 10-Q · 2026-05-07

• ◦Net revenues increased from $124.9 million to $159.9 million in the three months ended March 31, 2026 representing 28.0% year-over-year growth;

• ◦Gross margin increased 0.1 percentage points from 67.6% to 67.7% in the three months ended March 31, 2026;

• ◦Net income (loss) increased from $(0.1) million to $6.3 million in the three months ended March 31, 2026;

• ◦Net income (loss) margin increased from (0.1)% to 3.9% in the three months ended March 31, 2026;

• ◦Adjusted EBITDA increased from $9.2 million to $13.9 million in the three months ended March 31, 2026, representing an adjusted EBITDA margin of 8.7%;

Text added vs the prior filing · source: 10-Q · 2026-08-06

• • natural disasters in a specific country or region in which we operate.

• If we experience problems with our distribution center’s operational infrastructure, our ability to meet customer expectations, manage inventory, complete sales, ship products and achieve objectives for operating efficiencies could be harmed.

• We currently rely on our sole fulfillment center in Goodyear, Arizona, which is leased by us and operated by a third-party logistics provider, for all of our product distribution. We also from time to time rely on several additional third-party storage locations to house inventory and for other logi…

• not be able to satisfy short-term demand increases, including as a result of the withhold release order (“WRO”) issued by U.S. Customs and Border Protection (“CBP”) against certain garments produced by our Jordanian manufacturing partner. In addition, if we experience increased shipping times from o…

• be impacted by healthcare workforce-related stress, including if the number of employed healthcare workers were to decline.

Text removed vs the prior filing · source: 10-Q · 2026-05-07

• our insurance policies or exceed recoverable limits. We may also incur additional costs shipping replacement goods and in maintaining heightened customer support, which has occurred from time to time. In such cases, our business, financial condition and results of operations could be adversely affec…

• If we experience problems with our distribution center’s operational infrastructure, our ability to meet customer expectations, manage inventory, complete sales and achieve objectives for operating efficiencies could be harmed.

• We rely on our sole fulfillment center in Goodyear, Arizona, which is leased by us and operated by a third-party logistics provider, for all of our product distribution. We also from time to time rely on several additional third-party storage locations to house inventory and for other logistics purp…

• volatility, and sales below our expectations as a result of inflationary pressure on consumer spending, have from time to time resulted in increased levels of inventory on hand, which has from time to time resulted in increased storage needs and costs.

• Our supply chain consists of a diversified network of global production partners spread across multiple continents. We source the vast majority of the fabrics used in our products from a limited number of suppliers in China, and we source the other raw materials and product components used in our pr…

Text added vs the prior filing · source: 10-Q · 2026-08-06

• On June 30, 2026, each of Catherine Spear and Sarah Oughtred, our Chief Executive Officer and Chief Financial Officer, respectively, terminated their sell-to-cover instruction letters (the “Instruction Letters”), which were adopted on May 13, 2026 and August 13, 2024, respectively. The Instruction L…

• Except for the foregoing, during the three months ended June 30, 2026, no other director or “officer” (as defined in Rule 16a-1(f) under the Exchange Act) of the Company adopted or terminated a “Rule 10b5-1 trading arrangement” or “non-Rule 10b5-1 trading arrangement,” each as defined in Item 408 of…

Text removed vs the prior filing · source: 10-Q · 2026-05-07

• The information set forth below is included herein for the purpose of providing disclosure under “Item 5.02 Departure of directors or certain officers; election of directors; appointment of certain officers; compensatory arrangements of certain officers” of Form 8-K.

• On May 5, 2026, we and Catherine Spear, our Chief Executive Officer, entered into an amendment (the “Amendment”) to the Amended and Restated Employment Agreement, by and between us and Ms. Spear, dated as of May 26, 2021 (the “Spear Employment Agreement”). The Spear Employment Agreement was original…

• The foregoing description of the Amendment does not purport to be complete and is qualified in its entirety by reference to the Amendment, which is filed as Exhibit 10.2 to this Quarterly Report on Form 10-Q and is incorporated herein by reference.

• On May 5, 2026, we and Heather Hasson, our Executive Chairman, entered into a letter agreement (the “Letter Agreement”) to memorialize the parties' understanding with respect to Ms. Hasson's employment with the Company. The Letter Agreement provides that certain provisions in the Second Amended and …

• Pursuant to the Letter Agreement, Ms. Hasson remains ineligible to receive any base salary or annual bonus and will continue to be eligible (i) to participate (at our sole cost and on a tax-neutral basis to Ms. Hasson) in the health, welfare, retirement, vacation and other employee benefit plans, pr…