Shares of Savers Value Village, Inc. (SVV) tumbled 14.97% in after-hours trading on Thursday following the release of its third-quarter earnings report. The thrift store operator reported a net loss and a significant charge related to debt extinguishment, overshadowing its sales growth.
For the quarter ended September 27, 2025, Savers Value Village reported a net loss of $14.0 million, or $0.09 per diluted share. This loss included a substantial $32.6 million pre-tax charge for the extinguishment of debt. Despite the negative bottom line, the company's total net sales increased by 8.1% to $426.9 million compared to the same period last year. Comparable store sales also showed positive momentum, rising by 5.8% overall, with a 7.1% increase in the United States and a 3.9% uptick in Canada.
While the company's adjusted earnings per share of $0.14 met analyst expectations, investors appeared to focus on the reported loss and the impact of the debt extinguishment charge. The slight miss on revenue, which came in at $426.935 million versus the estimated $427.3 million, may have also contributed to the negative sentiment. Looking ahead, Savers Value Village updated its fiscal 2025 outlook, projecting net sales between $1.67 billion and $1.68 billion. The market's sharp reaction suggests concerns about the company's profitability and debt management despite its continued sales growth.