Vera Bradley, Inc., the parent company of the Vera Bradley and Pura Vida brands, announced a strategic cost efficiency initiative to reduce company costs by approximately $20 million annually, commencing with its fiscal year 2026.
The anticipated efficiency savings are expected to benefit most areas of the company. Approximately 75 percent of the savings will benefit selling, general, and administrative expenses, with the balance affecting gross profit.
“A critical supporting foundation of Project Restoration has been efforts to sharpen both focus and business discipline across all areas of the company,” said Jackie Ardrey, CEO of Vera Bradley, Inc. “As we prioritize resources in support of our transformation, we are streamlining business operations to restore profitability and ultimately increase shareholder value.”
The CEO concluded, “The efficiency cost savings identified were a result of careful and thorough review of the entire company expense structure. The result in part will drive a significant reduction of outside vendor contracts and spending, which will help our teams focus on critical business priorities.”
The company said business actions supporting the $20 million efficiency savings are generally anticipated to commence early in the year and will largely result in a full-year impact in its fiscal year 2026. The anticipated savings do not include any one-time costs associated with implementing the efficiency plans.
Image courtesy Pura Vida/Vera Bradley, Inc.
