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9/9/2026
Good day, everyone, and welcome to Destination XL Group, Inc.'s conference call to discuss our second quarter fiscal 2026 financial results. Today's call is being recorded. At this time, I would like to turn the call over to Ms. Shelly Mokas, vice president of financial reporting and SEC compliance at DXL. Please go ahead, Shelly.
Thank you, operator, and good morning, everyone. We appreciate your joining us on Destination XL Group's second quarter fiscal 2026 earnings call. Joining me today are Lionel Conacher, our interim chief executive officer, Peter Stratton, our chief financial officer, and Jimmy Olson, our new chief growth officer. During today's call, we will reference certain non-GAAP financial measures that we believe provide useful supplemental information regarding our performance. Please refer to our earnings release, which was filed this morning and is available on our investor relations website for additional information and reconciliation of those measures. Today's discussion will also include forward-looking statements regarding the company's strategic initiatives, marketing strategies, store rationalization work, expectations for comparable sales, the impact of tariffs, update regarding the merger, and other expectations for fiscal 2026. These statements are subject to risks and uncertainties that could cause actual results to differ materially from our current expectations. Additional information regarding those risks and uncertainties is included in the company's filings with the Securities and Exchange Commission. With that, I will turn the call over to our interim CEO, Lionel Conacher. Lionel?
Thank you, Shelly, and good morning, everyone. I'm honored to join today's call as DSL's interim chief executive officer at an important time for the company. I want to begin by recognizing Harvey Kanter for his leadership and contributions to DXL over more than seven years as CEO. Harvey helped strengthen DXL's position as the leading specialty retailer in men's big and tall. And on behalf of the board of directors and the entire management team, I want to thank Harvey for his service and wish him well in retirement. Just a few words about myself. I've been involved with DXL as the director since 2018. and have served as chairmen since 2020. During my time with the XL, I have developed a deep appreciation for the company, its people, and most importantly, the big and tall customer. We have a strong brand, a loyal customer base, a clear understanding of our customers' priorities. The differentiated leadership position that we have established in this underserved market gives us a strong foundation on which to build, grounded in our commitment to serving the big and tall customer. Our priorities from here are straightforward. We are focused on increasing traffic and revenue, strengthening customer engagement, improving profitability, and advancing strategic initiatives that can support long-term growth. The second quarter earnings results we reported today are a testament to progress we are already making in these efforts. Our business continues to improve, and we see clear signs that a resumption in sales growth is imminent. Q2 sales performance was consistent with the progress we reported in the first quarter, which is a significant improvement over our prior year's results. I'm incredibly excited about the opportunities ahead for DXL and proud to be speaking with you all about our momentum today. Before we dive into the quarter, I'd like to introduce Jimmy Olsen, who has worked with DXL in a consulting role for the past 12 months and recently joined us as full-time as Chief Growth Officer. Jimmy comes to DXL with a deep background in retail strategy, brand elevation, and scaling omnichannel platforms through marketing, merchandising, and product development. This newly created role of Chief Growth Officer brings together the customer-facing levers of the business, and Jimmy's perspective will be instrumental as we execute against the traffic, assortment, promotional, and store experience opportunities in front of us. Jimmy has held leadership positions at a number of blue chip retailers, including Walmart, American Eagle, Tommy John, Todd Snyder, and The Gap. On behalf of the DXL Board of Directors, I am thrilled to welcome Jimmy to DXL. You will hear directly from Jimmy for a deeper dive into our growth priorities and initiatives. To frame up the balance of today's marks, in just a moment, I'm going to turn the call over to Peter to give you an update on our second quarter performance, sales trends, Margin and Liquidity. After that, Jimmy's going to talk about our go-forward strategy and priorities before I come back to close things out. So with that, I'm going to ask Peter to give you an update on our financial results. Peter.
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