lcut-20260331

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

__________________________

FORM 10-Q

__________________________

(Mark One)


☒			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended: March 31, 2026


☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

Commission File Number: 0-19254

__________________________

LIFETIME BRANDS, INC.

(Exact name of registrant as specified in its charter)

__________________________


Delaware			11-2682486
(State or other jurisdiction of incorporation or organization)			(I.R.S. Employer Identification No.)

1000 Stewart Avenue, Garden City, New York 11530

(Address of principal executive offices) (Zip Code)

(516) 683-6000

(Registrant’s telephone number, including area code)

__________________________

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading
Symbol(s)

Name of each exchange
on which registered

Common Stock, $.01 par value

LCUT

The Nasdaq Global Select Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

☐

Accelerated filer

☒

Non-accelerated filer

☐

Smaller reporting company

☒

Emerging growth company

☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

The number of shares of the registrant’s common stock outstanding as of April 30, 2026 was 22,855,008.

Table of Contents

LIFETIME BRANDS, INC.

FORM 10-Q

FOR THE QUARTER ENDED MARCH 31, 2026

INDEX


		Page No.

Part I.	Financial Information

Item 1.	Financial Statements

	Condensed Consolidated Balance Sheets – March 31, 2026 (unaudited) and December 31, 2025	2

	Condensed Consolidated Statements of Operations (unaudited) – Three Months Ended March 31, 2026 and 2025	3

	Condensed Consolidated Statements of Comprehensive Loss (unaudited) – Three Months Ended March 31, 2026 and 2025	4

	Condensed Consolidated Statements of Stockholders’ Equity (unaudited) –Three Months Ended March 31, 2026 and 2025	5

	Condensed Consolidated Statements of Cash Flows (unaudited) – Three Months Ended March 31, 2026 and 2025	6

	Notes to Condensed Consolidated Financial Statements (unaudited)	7

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	28

Item 3.	Quantitative and Qualitative Disclosures About Market Risk	41

Item 4.	Controls and Procedures	41

Part II.	Other Information

Item 1.	Legal Proceedings	41

Item 1A.	Risk Factors	41

Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	41


Item 5.	Other Information	42

Item 6.	Exhibits	43

Signatures		44

Table of Contents

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements

LIFETIME BRANDS, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(in thousands, except share data)


	March 31, 2026		December 31, 2025
	(unaudited)
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	13,864	$	4,267
Accounts receivable, less allowances of $11,042 at March 31, 2026 and $11,970 at December 31, 2025	114,949		161,861
Inventory	190,299		194,046
Prepaid expenses and other current assets	11,704		12,147
Income taxes receivable	3,384		1,572
TOTAL CURRENT ASSETS	334,200		373,893
PROPERTY AND EQUIPMENT, net	18,260		15,441
OPERATING LEASE RIGHT-OF-USE ASSETS	45,008		48,506

INTANGIBLE ASSETS, net	128,557		132,922
OTHER ASSETS	1,836		1,793

TOTAL ASSETS	$	527,861	$	572,555
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES
Current maturity of term loan	$	5,057	$	5,022


Accounts payable	26,710		45,844
Accrued expenses	67,104		64,294

Current portion of operating lease liabilities	15,237		16,143
TOTAL CURRENT LIABILITIES	114,108		131,303
OTHER LONG-TERM LIABILITIES	13,552		14,261
INCOME TAXES PAYABLE, LONG-TERM	686		686
OPERATING LEASE LIABILITIES	39,239		42,442
DEFERRED INCOME TAXES	1,519		1,554
REVOLVING CREDIT FACILITY	36,611		54,105
TERM LOAN	124,650		125,927
STOCKHOLDERS’ EQUITY
Preferred stock, $1.00 par value, shares authorized: 100 shares of Series A and 2,000,000 shares of Series B; none issued and outstanding	—		—
Common stock, $0.01 par value, shares authorized: 50,000,000 at March 31, 2026 and December 31, 2025; shares issued and outstanding: 22,855,008 at March 31, 2026 and 22,654,207 at December 31, 2025	229		227
Paid-in capital	284,305		283,449
Accumulated deficit	(69,132)		(63,354)
Accumulated other comprehensive loss	(17,906)		(18,045)
TOTAL STOCKHOLDERS’ EQUITY	197,496		202,277
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	527,861	$	572,555

See accompanying notes to unaudited condensed consolidated financial statements.

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LIFETIME BRANDS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share data)

(unaudited)


	Three Months Ended March 31,
	2026		2025
Net sales	$	143,508	$	140,085
Cost of sales	89,339		89,448
Gross margin	54,169		50,637
Distribution expenses	17,583		18,070
Selling, general and administrative expenses	36,786		31,468

Restructuring expenses	2,030		—

(Loss) income from operations	(2,230)		1,099
Interest expense	(4,512)		(4,915)
Mark to market gain (loss) on interest rate derivatives	294		(527)


Loss before income taxes	(6,448)		(4,343)
Income tax benefit	1,676		142


NET LOSS	$	(4,772)	$	(4,201)
BASIC LOSS PER COMMON SHARE	$	(0.22)	$	(0.19)
DILUTED LOSS PER COMMON SHARE	$	(0.22)	$	(0.19)

See accompanying notes to unaudited condensed consolidated financial statements.

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LIFETIME BRANDS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS

(in thousands)

(unaudited)


	Three Months Ended March 31,
	2026		2025
Net loss	$	(4,772)	$	(4,201)
Other comprehensive income, net of taxes:
Net change in translation adjustment	65		417
Net change in cash flow hedges	68		(129)
Effect of retirement benefit obligations	6		4
Other comprehensive income, net of taxes	139		292
Comprehensive loss	$	(4,633)	$	(3,909)

See accompanying notes to unaudited condensed consolidated financial statements.

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LIFETIME BRANDS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

(in thousands)

(unaudited)


	Common stock			Paid-in capital		Accumulated deficit		Accumulated other comprehensive loss		Total
	Shares	Amount
BALANCE AT DECEMBER 31, 2025	22,654	$	227	$	283,449	$	(63,354)	$	(18,045)	$	202,277
Net loss	—	—		—		(4,772)		—		(4,772)
Other comprehensive income, net of taxes	—	—		—		—		139		139

Net issuance of restricted shares granted to employees	259	3		(3)		—		—		—
Stock compensation expense	—	—		1,041		—		—		1,041
Shares effectively repurchased for required employee withholding taxes	(58)	(1)		(182)		—		—		(183)

Dividends (1)	—	—		—		(1,006)		—		(1,006)
BALANCE AT MARCH 31, 2026	22,855	$	229	$	284,305	$	(69,132)	$	(17,906)	$	197,496


	Common stock			Paid-in capital		Accumulated deficit		Accumulated other comprehensive loss		Total
	Shares	Amount
BALANCE AT DECEMBER 31, 2024	22,156	$	222	$	280,566	$	(32,550)	$	(18,315)	$	229,923
Net loss	—	—		—		(4,201)		—		(4,201)
Other comprehensive income, net of taxes	—	—		—		—		292		292

Net issuance of restricted shares granted to employees	338	3		(3)		—		—		—
Stock compensation expense	—	—		1,063		—		—		1,063
Shares effectively repurchased for required employee withholding taxes	(80)	(1)		(415)		—		—		(416)

Dividends (1)	—	—		—		(985)		—		(985)
BALANCE AT MARCH 31, 2025	22,414	$	224	$	281,211	$	(37,736)	$	(18,023)	$	225,676

(1) Cash dividends declared per share of common stock were $0.0425 and $0.0425 in the three months ended March 31, 2026 and 2025, respectively.

See accompanying notes to unaudited condensed consolidated financial statements.

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LIFETIME BRANDS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

(unaudited)


	Three Months Ended March 31,
	2026		2025
OPERATING ACTIVITIES
Net loss	$	(4,772)	$	(4,201)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization	5,282		5,698

Amortization of financing costs	669		704

Mark to market (gain) loss on interest rate derivatives	(294)		527
Operating leases, net	(593)		(556)
Provision for doubtful accounts	8		704

Stock compensation expense	1,043		1,062





Changes in operating assets and liabilities
Accounts receivable	46,774		50,832
Inventory	3,282		(6,324)
Prepaid expenses, other current assets and other assets	324		(3,345)
Accounts payable, accrued expenses and other liabilities	(16,160)		(28,038)
Income taxes receivable	(1,812)		—
Income taxes payable	8		(352)

NET CASH PROVIDED BY OPERATING ACTIVITIES	33,759		16,711
INVESTING ACTIVITIES
Purchases of property and equipment	(3,843)		(1,573)



NET CASH USED IN INVESTING ACTIVITIES	(3,843)		(1,573)
FINANCING ACTIVITIES
Proceeds from revolving credit facility	48,669		88,894
Repayments of revolving credit facility	(65,875)		(93,363)
Repayments of term loan	(1,875)		(1,875)




Payments for finance lease obligations	(12)		(11)
Payments of tax withholding for stock based compensation	(183)		(416)


Cash dividends paid	(1,015)		(996)

NET CASH USED IN FINANCING ACTIVITIES	(20,291)		(7,767)
Effect of foreign exchange on cash	(28)		75
INCREASE IN CASH AND CASH EQUIVALENTS	9,597		7,446
Cash and cash equivalents at beginning of period	4,267		2,929
CASH AND CASH EQUIVALENTS AT END OF PERIOD	$	13,864	$	10,375

See accompanying notes to unaudited condensed consolidated financial statements.

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LIFETIME BRANDS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2026

(unaudited)

NOTE 1 — BASIS OF PRESENTATION AND SUMMARY OF ACCOUNTING POLICIES

Organization and business

Lifetime Brands, Inc. (“the Company”) designs, sources and sells branded kitchenware, tableware and other home solution products used in the home and markets its products under a number of widely-recognized brand names and trademarks, which are either owned or licensed by the Company or through retailers’ private labels and their licensed brands. The Company’s products, which are targeted primarily to consumers purchasing moderately priced kitchenware, tableware and housewares, are sold through nearly every major level of trade. The Company generally markets several lines within each of its product categories under more than one brand. The Company sells its products directly to retailers (who may resell the Company’s products through their websites) and, to a lesser extent, to distributors. The Company also sells a selection of its products directly to consumers through its own websites.

Basis of presentation

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information and with the instructions to Quarterly Reports on Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments, which consist of normal recurring accruals and non-recurring adjustments, considered necessary for a fair presentation have been included.

These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025.

Operating results for the three months ended March 31, 2026 are not necessarily indicative of the results that may be expected for the year ending December 31, 2026.

The Company’s business and working capital needs are seasonal, with a majority of sales occurring in the third and fourth quarters. In 2025 and 2024, net sales for the third and fourth quarters accounted for 58% of total annual net sales, for both periods. In anticipation of the pre-holiday shipping season, inventory levels increase primarily in the June through October time period.

The Company’s current estimates contemplate current and expected future conditions, as applicable; however it is reasonably possible that actual conditions could differ from expectations, which could materially affect the Company’s results of operations and financial position.

Revenue recognition

The Company sells products wholesale, to retailers and distributors, and retail, directly to consumers. Wholesale sales and retail sales are primarily recognized at the point in time when the customer obtains control of the products, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those products.

The Company offers various sales incentives and promotional programs to its customers in the normal course of business. These incentives and promotions typically include arrangements such as cooperative advertising, buydowns, volume rebates and discounts. These arrangements and an estimate for products expected to be returned are reflected as reductions of revenue at the time of sale. See NOTE 2 —REVENUE to the unaudited condensed consolidated financial statements included in this Quarterly Report on Form 10-Q for additional information.

Cost of sales

Cost of sales consist primarily of costs associated with the production and procurement of product, inbound freight costs, purchasing costs, handling costs, duties and tariffs, royalties, and other product procurement related charges.

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LIFETIME BRANDS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2026

(unaudited)

SEC Form 10-Q filed by Lifetime Brands Inc.