# Unifi, Inc. (UFI) Q4 2025 Financial Results Summary
**Release Date:** August 20, 2025
Unifi, Inc. (NYSE: UFI), the makers of REPREVE® and a leader in recycled and synthetic yarns, reported its operating results for the fourth fiscal quarter and fiscal year ended June 29, 2025. The following is a summary of the key financial metrics and performance insights.
## Financial Highlights for Q4 Fiscal 2025
– **Net Sales:**
– $138.5 million, a decrease of **12.0%** from $157.5 million in Q4 fiscal 2024.
– **REPREVE Fiber Revenues:**
– $42.1 million (30% of net sales), compared to $53.6 million (34% of net sales) in Q4 fiscal 2024.
– **Gross Profit:**
– Gross loss of $(1.1) million, down from a gross profit of $10.8 million in Q4 fiscal 2024.
– Gross margin dropped to **(0.8%)**, from **6.9%** in the same quarter last year.
– **Net Income:**
– Reported net income of $15.5 million, or $0.82 per diluted share, influenced by a **$35.8 million gain** from the sale of a manufacturing facility, offset partially by **$10.6 million** in transition costs. In Q4 fiscal 2024, the company reported a net loss of $(4.0) million, or $(0.22) per share.
– **Adjusted Net Loss:**
– Adjusted Net Loss amounted to $(10.6) million, compared to $(4.0) million in Q4 fiscal 2024.
– **Adjusted EBITDA:**
– $(4.1) million, significantly lower than the $5.9 million reported in Q4 fiscal 2024.
– **Operating Income:**
– Increased to $15.1 million from a loss of $(0.8) million in Q4 fiscal 2024, largely due to the aforementioned gain on asset sale.
## Key Performance Metrics by Segment
### 1. **Americas Segment:**
– **Net Sales:** $85.0 million, down **6.0%** from $91.0 million.
– **Gross Profit:** $(5.3) million, compared to a nominal profit in the prior year.
### 2. **Brazil Segment:**
– **Net Sales:** $28.8 million, down **10.6%** from $32.2 million.
### 3. **Asia Segment:**
– **Net Sales:** $24.7 million, a drop of **27.8%** from $34.2 million.
## Manufacturing Transition Update
– The sale of the Madison, North Carolina manufacturing facility was completed for $45.0 million, with proceeds utilized to reduce existing debt by $25.0 million and revolving loans by $18.3 million. This transition is expected to yield annual cost savings of **approximately $20.0 million**.
## Quarterly Dividend and Share Repurchase
– There was **no declaration** of a quarterly dividend or share repurchase mentioned in the report.
## Future Outlook
– For the first quarter of fiscal 2026, Unifi expects:
– Sequentially improved net sales and Adjusted EBITDA, driven by cost savings in the Americas segment.
– Ongoing restructuring and transition expenses projected to be between **$1.0 million and $2.0 million**.
CEO Eddie Ingle emphasized that the challenges faced in Q4 were attributed to short-term impacts from trade uncertainties and delayed ordering patterns. However, he expressed confidence in Unifi’s positioning and the long-term demand for sustainable textile solutions.
—
Unifi continues to navigate a volatile market but believes their strategic decisions on operational efficiency and sustainability will enhance their competitive position and foster growth moving forward. The company’s commitment to innovation in recycled textiles remains central to its strategy as they aim for improved performance in fiscal 2026.
| For the Three Months Ended | June 29, 2025 | June 30, 2024 | For the Fiscal Year Ended | June 29, 2025 | June 30, 2024 |
|---|---|---|---|---|---|
| Net sales | $138,535 | $157,452 | $571,344 | $582,209 | |
| Cost of sales | 139,664 | 146,661 | 562,926 | 565,593 | |
| Gross (loss) profit | (1,129) | 10,791 | 8,418 | 16,616 | |
| Selling, general and administrative expenses | 11,947 | 11,243 | 49,005 | 46,632 | |
| (Benefit) provision for bad debts | (127) | 312 | (166) | 1,571 | |
| Restructuring costs | 7,604 | — | 8,924 | 5,101 | |
| (Gain) loss on sales and disposals of assets | (35,783) | 131 | (40,079) | 62 | |
| Other operating expense (income), net | 110 | (72) | 254 | 671 | |
| Operating income (loss) | 15,120 | (823) | (9,520) | (37,421) | |
| Interest income | (256) | (426) | (888) | (2,136) | |
| Interest expense | 2,198 | 2,357 | 9,520 | 9,862 | |
| Equity in loss of unconsolidated affiliates | 10 | 79 | 477 | 390 | |
| Income (loss) before income taxes | 13,168 | (2,833) | (18,629) | (45,537) | |
| (Benefit) provision for income taxes | (2,302) | 1,151 | 1,719 | 1,858 | |
| Net income (loss) | $15,470 | $(3,984) | $(20,348) | $(47,395) | |
| Net income (loss) per common share: Basic | $0.84 | $(0.22) | $(1.11) | $(2.61) | |
| Net income (loss) per common share: Diluted | $0.82 | $(0.22) | $(1.11) | $(2.61) | |
| Weighted average common shares outstanding: Basic | 18,361 | 18,252 | 18,314 | 18,154 | |
| Weighted average common shares outstanding: Diluted | 18,940 | 18,252 | 18,314 | 18,154 |
| June 29, 2025 | June 30, 2024 | |
|---|---|---|
| ASSETS | ||
| Cash and cash equivalents | $22,664 | $26,805 |
| Receivables, net | 75,383 | 79,165 |
| Inventories | 122,929 | 131,181 |
| Income taxes receivable | 5,429 | 164 |
| Other current assets | 9,222 | 11,618 |
| Total current assets | 235,627 | 248,933 |
| Property, plant and equipment, net | 172,923 | 193,723 |
| Operating lease assets | 7,879 | 8,245 |
| Deferred income taxes | 5,535 | 5,392 |
| Other non-current assets | 4,904 | 12,951 |
| Total assets | $426,868 | $469,244 |
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||
| Accounts payable | $37,468 | $43,622 |
| Income taxes payable | 49 | 754 |
| Current operating lease liabilities | 2,368 | 2,251 |
| Current portion of long-term debt | 12,159 | 12,277 |
| Other current liabilities | 18,899 | 17,662 |
| Total current liabilities | 70,943 | 76,566 |
| Long-term debt | 95,727 | 117,793 |
| Non-current operating lease liabilities | 5,614 | 6,124 |
| Deferred income taxes | 1,224 | 1,869 |
| Other long-term liabilities | 3,889 | 3,507 |
| Total liabilities | 177,397 | 205,859 |
| Common stock | 1,836 | 1,825 |
| Capital in excess of par value | 74,095 | 70,952 |
| Retained earnings | 239,049 | 259,397 |
| Accumulated other comprehensive loss | (65,509) | (68,789) |
| Total shareholders’ equity | 249,471 | 263,385 |
| Total liabilities and shareholders’ equity | $426,868 | $469,244 |
