Why did Winmark Corporation (NASDAQ:WINA)’s profit decline despite higher revenue?

Winmark Corporation (NASDAQ:WINA) reported higher operating expenses as it invested in advertising, technology and innovation initiatives. Quarterly selling, general and administrative expenses increased from $6.59 million to $7.51 million.

What does the litigation settlement mean for Winmark Corporation (NASDAQ:WINA)’s results?

Winmark Corporation (NASDAQ:WINA)’s first-half 2025 results included $2.2 million of leasing income from settled customer litigation, making the prior-year earnings comparison higher.

How is Winmark Corporation (NASDAQ:WINA)’s franchise network expanding?

Winmark Corporation (NASDAQ:WINA) had 1,389 operating franchises and another 87 awarded locations that had not yet opened, with more than 2,800 territories available.

How is Winmark Corporation (NASDAQ:WINA) investing in its business?

Winmark Corporation (NASDAQ:WINA) is investing ahead of the Plato’s Closet North American Ad Fund launch and in technology across its franchise network. The company also recorded $2.21 million in capitalized software during the first half.

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Winmark posts $10.4 million quarterly profit

Written by Liezl GambePublished Jul 15, 2026, 3:45 PM

Winmark reported Q2 2026 net income of $10.4 million and diluted earnings of $2.81 per share.
Winmark shares were up 1% at $380.29 following the earnings announcement.
The company is investing in Plato’s Closet advertising, technology and innovation initiatives across its franchise network.

Winmark (NASDAQ:WINA) reported Q2 2026 net income of $10.4 million and diluted earnings of $2.81 per share.

Quarterly revenue increased 7.6% to $21.97 million, although profit fell 1.9% from $10.6 million and diluted EPS declined from $2.89.

First-half profit fell to $19.65 million from $20.56 million, while the 2025 comparison included $2.2 million from settled customer litigation.

Following the announcement, the Winmark share price was up 1% at $380.29.

Quarterly royalty revenue rose to $20.12 million, while selling, general and administrative expenses increased to $7.51 million.

Winmark operated 1,389 franchises at quarter-end, with 87 awarded locations awaiting opening and more than 2,800 available territories.