On September 10, 2026, Alliance Entertainment Holding Corporation issued a press release detailing its financial results for the fiscal year ended June 30, 2026. The company reported net revenues of $1.149 billion, representing an 8% increase compared to $1.063 billion in fiscal 2025. Gross profit for the year was $152.3 million, a 15% increase from the prior year, which resulted in a gross margin expansion of 80 basis points to 13.3%.
In terms of GAAP net income, Alliance reported $13.1 million, or $0.26 per diluted share, compared to $15.1 million and $0.30 per share in fiscal 2025. This decrease was attributed to a $7.8 million non-cash write-off of a historical vendor rebate receivable. However, the company highlighted adjusted financial metrics, with adjusted EBITDA increasing 14% to $41.5 million and adjusted net income rising 24% to $23.4 million ($0.46 per diluted share).
Operational highlights included a 13% increase in vinyl revenue to $383 million and a 25% increase in CD revenue to $156 million. Physical movie revenue grew 22% to $339 million, supported by new distribution relationships with Paramount and Amazon MGM Studios. Collectibles revenue also saw significant growth, increasing 45% to $32 million. Additionally, the company expanded its fulfillment capabilities, with distribution and fulfillment fee revenue increasing 26% to $18.6 million.
On the balance sheet, the company ended fiscal 2026 with $45.7 million of availability under its $120 million revolving credit facility. Interest expense decreased 28% to $7.6 million, reflecting a lower average effective interest rate following refinancing. The company also repaid $10.0 million of related-party borrowings during the year.
