Crown Crafts (CRWS) Q1 2027 Earnings Call Transcript

Crown Crafts reported solid Q1 2027 results with 8% net sales growth to $16.8 million and improved profitability despite soft consumer demand. The company benefited from $4.7 million in tariff refunds, expanded adjusted gross margins by 290 basis points to 25.6%, and reduced debt from $14 million to $9.6 million. The Groovy Girls doll relaunch exceeded expectations particularly in Canada, while the company plans an 18-month warehouse consolidation project and reduced its quarterly dividend to allocate more capital toward growth and debt reduction.