10-Q · August 7, 2025
QVC Group reported Q2 revenue of $2,236 million, down from $2,407 million in Q2 2024, and recognized a $2,395 million impairment of goodwill and intangible assets driving an operating loss of $2,272 million and a net…
Earnings analysis · 10-Q
QVCGB earnings analysis
Filed November 5, 2025 · Our reading of the company's report
The latest report
QVC Group reported Q3 revenue of $2,213 million, down from $2,344 million in Q3 2024, and GAAP EPS of $(9.89) compared with $(0.06) a year ago. The quarter included a nine‑month impairment of goodwill and tradenames of…
Read full summary
QVC Group reported Q3 revenue of $2,213 million, down from $2,344 million in Q3 2024, and GAAP EPS of $(9.89) compared with $(0.06) a year ago. The quarter included a nine‑month impairment of goodwill and tradenames of $2,395 million, a material increase in long‑term debt to $5,811 million, and a $912 million increase in cash to $1,817 million. Management discloses substantial doubt about the company’s ability to continue as a going concern and is actively evaluating refinancing/restructuring options for a $2,900 million Credit Facility that matures October 27, 2026.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $-9.89
What stood out
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Revenue decline modest vs prior year
Total revenue for the three months ended September 30, 2025 was $2,213 million, down from $2,344 million in Q3 2024 (a decline of ~$131 million).
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Strong cash balance increase
Cash and cash equivalents rose to $1,817 million at September 30, 2025 from $905 million at December 31, 2024 (increase of $912 million), supported by borrowings of $1,986 million in the nine months.
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Gross margin largely intact
Gross profit was $752 million (Revenue $2,213m less COGS $1,461m) implying a gross margin of ~34.0%, down ~1.3 percentage points from ~35.3% in Q3 2024.
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Operating income remained positive in the quarter
Operating income was $60 million in Q3 2025 (vs $152 million in Q3 2024), so the business generated operating profit in the quarter despite headwinds.
What to watch
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Large GAAP loss / EPS collapse
GAAP net loss attributable to QVC Group shareholders was $2,402 million for the nine months and Q3 diluted EPS was $(9.89) versus $(0.06) in Q3 2024 (EPS decline of $9.83).
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Massive goodwill/intangible impairment
Impairment of goodwill and intangible assets of $2,395 million was recorded in the nine months ended September 30, 2025, materially reducing assets and equity.
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Substantial doubt — going concern
Management states 'substantial doubt about the Company’s ability to continue as a going concern' and notes the Senior Secured Credit Facility matures October 27, 2026 and a related $2,900 million balance will be reclassified to current as of October 31, 2025.
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Operating cash flow collapsed
Net cash provided by operating activities was $30 million for the nine months ended September 30, 2025, down from $313 million in the nine months ended September 30, 2024 (decline of $283 million); capex was $103 million.
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Leverage increased materially
Long-term debt increased to $5,811 million at September 30, 2025 from $4,101 million at December 31, 2024 (increase of $1,710 million); total debt (current + long-term) rose to ~$5,893 million (82 + 5,811).
Management's outlook
No numeric forward guidance provided in the 10-Q. MD&A discusses refinancing/restructuring efforts for the Credit Facility (matures October 27, 2026) and notes that $2,900 million will be reclassified to current as of October 31, 2025; management states substantial doubt exists regarding going concern and is engaged in discussions with lenders. Outlook is therefore deferred to future communications (earnings release/call).
Earlier filings 4
10-K · February 27, 2025
QVC Group's 2024 10-K describes a company transitioning from cost-focused turnaround (Project Athens) to a growth-oriented WIN strategy announced November 14, 2024, while continuing to monetize its large digital…
10-Q · August 8, 2024
Qurate Retail reported Q2 revenue of $2,407 million (down 9.1% y/y) and diluted EPS of $0.05 (vs $0.28 prior year). Operating income declined materially to $165 million (from $366 million) although non-GAAP Adjusted…
10-Q · May 8, 2024
Qurate Retail reported Q1 revenue of $2,342 million, down 11.4% from $2,644 million a year ago, with consolidated operating income of $145 million (vs. $176 million) and net earnings attributable to Qurate Retail…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.