PLCE

Announces New Long-Term Strategic Priorities SECAUCUS, N.J., June 12, 2026 (GLOBE NEWSWIRE) -- The Children’s Place, Inc. (Nasdaq: PLCE), one of the only pure-play children’s specialty retailers in North America with an omni-channel presence, today announced financial results for the Company’s first fiscal quarter ended May 2, 2026. Muhammad Umair, President and Chief Executive Officer, said, “Today, we reported our first quarter results, which provide assurance that our strategies are beginning to take shape as we observed a reduction in the rate of sales declines versus the prior quarter and the same quarter last year, combined with material progress on our transformation efforts in a challenging retail environment. We recognize that our value customer has been impacted by higher gas and grocery prices. As a result, we are committed to clear messaging regarding the strength of our price/value offerings.” Mr. Umair added, “While keeping our prices stable has narrowed our profit margins, further compounded by product cost headwinds from higher tariffs, we have filed for tariff refund claims amounting to approximately $40 million, which we expect to partially offset margin dilution during this fiscal year, and of which $5.5 million has already been received to date. Consistent with prior disclosures, we have monetized most of these claims at a discounted rate, by selling the future receipt of these funds to a purchaser. This sale has been recorded as a financing arrangement in the short-term debt section of our balance sheet. We did not record a receivable or P&L benefit for these refund claims during the first quarter.” Mr. Umair continued, “We have added depth to our leadership team by bringing in significant retail expertise to navigate us through the next phase of our transformation journey. Our leaders are working together to move the company forward, and we are excited to announce the four new strategic priorities we are adopting to drive our long-term outlook.” 1) Improve Customer Experience Across All Channels by focusing on the target consumer; providing a strong price/value proposition; delivering compelling and convenient omni-channel experiences; and enhancing store and brand site environments. 2) Strengthen and Elevate the Brand by delivering appealing product that resonates with our customer; building a compelling, consistent brand narrative that drives awareness, consideration and desire; establishing a distinctive, ownable visual and creative identity across every customer touchpoint; and deepening relationships with existing customers by expanding and activating our current customer file. 3) Deliver on Financial Targets through strengthening financial performance by driving topline growth and profitability and improving liquidity; ensuring financial and operating plans are aligned with the business strategy and are executed with operational discipline, optimizing our product assortment and inventory management; and executing transformation initiatives effectively. 4) Organizational Leadership through building leadership capability and bench strength; strengthening decision-making and execution accountability; driving clear, consistent communication; and driving cultural engagement and performance alignment. Mr. Umair added, “We believe these strategic priorities are critical to move our brand forward, providing a strong foundation for us to refocus on our customer, enhance our brand, and increase our profitability. Execution is now of utmost importance, and we will provide updates on a regular basis as to how we are tracking against these priorities.” Mr. Umair concluded, “We continue to focus on cost reduction and driving operational efficiencies and have actioned on $45 million of gross annualized benefits toward our goal of $60 million by fiscal year 2027, partially offset by approximately $10 million to $15 million in recurring operating costs. As part of our transformation strategy, we accomplished a significant milestone this quarter by exiting our third-party distribution facility. This logistical shift will simplify our distribution execution, reduce costs in our supply chain, and is expected to yield approximately $10 million in annualized savings towards our target.” First Quarter 2026 ResultsNet sales decreased $26.9 million, or 11.1%, to $215.2 million in the three months ended May 2, 2026, compared to $242.1 million in the three months ended May 3, 2025. The decrease in net sales was driven by a decrease in direct-to-consumer (“DTC”) sales of 10.2% due to lower traffic compared to the prior year period, as we work to stabilize our customer file. Despite this, our DTC business experienced a sequential improvement in sales trends versus the fourth quarter of fiscal year 2025 of 40 basis points (“bps”) and an improvement in trend versus the prior year of 460 bps. Comparable retail sales in our owned and operated DTC business decreased 8.3% for the quarter. Our consolidated results were also impacted by the planned reduction in shipments in our wholesale channel as we continue to work with our customers to ensure inventories are aligned with demand. While our shipments to this channel were down in the first quarter, retail sales to the end consumer were flat to the prior year. Gross profit decreased $17.4 million to $53.4 million in the three months ended May 2, 2026, compared to $70.8 million in the three months ended May 3, 2025. Gross margin decreased 440 bps to 24.8% during the three months ended May 2, 2026, compared to 29.2% in the prior year period. The decrease in gross margin was caused primarily by the impact of higher tariff costs on our product (360 bps), higher distribution costs due to a one-time charge to exit our third party distribution facility (170 bps) and a higher penetration of markdown sales and dilutions (140 bps), partially offset by favorable product mix (150 bps) and a reduction in inventory reserves (80 bps). Adjusted gross profit decreased $13.1 million to $57.6 million in the three months ended May 2, 2026, compared to $70.8 million in the three months ended May 3, 2025. Adjusted gross margin decreased 240 bps to 26.8% during the three months ended May 2, 2026, compared to 29.2% in the prior year period. Selling, general, and administrative expenses were $88.9 million in the three months ended May 2, 2026, up 2.5% compared to $86.7 million in the three months ended May 3, 2025, and deleveraged 550 bps to 41.3% of net sales. The increase was primarily due to an increase in store expenses as we grow the store fleet. Adjusted selling, general, and administrative expenses were $87.4 million in the three months ended May 2, 2026, up 1.0% compared to $86.5 million in the comparable period last year, and deleveraged 490 bps to 40.6% of net sales. Operating loss was $(42.2) million in the three months ended May 2, 2026, compared to $(24.1) million in the three months ended May 3, 2025 and deleveraged 960 bps to (19.6)% of net sales. Adjusted operating loss was $(36.1) million in the three months ended May 2, 2026, compared to $(24.0) million in the comparable period last year, and deleveraged 690 bps to (16.8)% of net sales. Net interest expense was $9.7 million in the three months ended May 2, 2026, compared to $8.6 million in the three months ended May 3, 2025. The increase was due to the amortization of financing costs associated with the monetization of our tariff refund claims and income tax receivable claim, partially offset by lower average borrowings and interest rates on our debt facilities. Provision for income taxes was $1.3 million in the three months ended May 2, 2026 and during the three months ended May 3, 2025. Net loss was $(53.2) million, or $(2.40) per diluted share, in the three months ended May 2, 2026, compared to $(34.0) million, or $(1.57) per diluted share, in the three months ended May 3, 2025. Adjusted net loss was $(44.3) million, or $(2.00) per diluted share, compared to $(32.8) million, or $(1.52) per diluted share, in the comparable period last year. Store Update The Company opened 1 and closed 2 stores in the three months ended May 2, 2026, and ended the quarter with 497 stores, compared to 495 stores as of May 3, 2025. Balance Sheet and Cash FlowAs of May 2, 2026, the Company had $4.8 million in cash and cash equivalents, $38.0 million in borrowing availability under its revolving credit facility and an additional $40.0 million of availability under the unsecured Commitment Letter provided by Mithaq, representing total liquidity of $82.8 million. The Company had $150.0 million outstanding on its revolving credit facility and has not drawn down on its Mithaq credit facility. Additionally, the Company used $(53.8) million in operating cash flows in the three months ended May 2, 2026, compared to $(43.0) million in the three months ended May 3, 2025. Inventories were $326.4 million as of May 2, 2026, compared to $422.2 million as of May 3, 2025. These reduced inventory levels were a result of improved inventory management as the Company continues to align its inventory levels with anticipated demand, and better balance the mix of fashion and basic product. Non-GAAP ReconciliationThe Company’s results are reported in this press release on a GAAP and as adjusted, non-GAAP basis. Adjusted net income (loss), adjusted net income (loss) per diluted share, adjusted gross profit, adjusted selling, general, and administrative expenses, and adjusted operating income (loss) are non-GAAP measures, and are not intended to replace GAAP financial information, and may be different from non-GAAP measures reported by other companies. The Company believes the income and expense items excluded as non-GAAP adjustments are not reflective of the performance of its core business, and that providing this supplemental disclosure to investors will facilitate comparisons of the past and present performance of its core business. Please refer to the “Reconciliation of Non-GAAP Financial Information to GAAP” later in this press release, which sets forth the non-GAAP operating adjustments for the 13-week periods ended May 2, 2026 and May 3, 2025. About The Children’s PlaceThe Children’s Place is one of the only pure-play children’s specialty retailers in North America with an omni-channel presence. Its global retail and wholesale network includes two digital storefronts, 497 stores in North America, wholesale marketplaces and distribution in 13 countries through nine international franchise and wholesale partners. The Children’s Place designs, contracts to manufacture, and sells fashionable, high-quality, head-to-toe outfits predominantly at value prices, primarily under its proprietary brands: “The Children’s Place” and “Gymboree”. For more information, visit: www.childrensplace.com and www.gymboree.com. Forward-Looking StatementsThis press release contains or may contain forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to statements relating to the Company’s strategic initiatives and results of operations, including adjusted net income (loss) per diluted share. Forward-looking statements typically are identified by use of terms such as “may,” “will,” “should,” “plan,” “project,” “expect,” “anticipate,” “estimate,” “believe” and similar words, although some forward-looking statements are expressed differently. These forward-looking statements are based upon the Company’s current expectations and assumptions and are subject to various risks and uncertainties that could cause actual results and performance to differ materially. Some of these risks and uncertainties are described in the Company’s filings with the Securities and Exchange Commission, including in the “Part I, Item1A. Risk Factors” section of its annual report on Form 10-K for the fiscal year ended January 31, 2026. Included among the risks and uncertainties that could cause actual results and performance to differ materially are the risk that the Company will be unable to achieve operating results at levels sufficient to fund and/or finance the Company’s current level of operations and repayment of indebtedness, the risk that changes in trade policy and tariff regimes, including newly imposed U.S. tariffs and any responsive non-U.S. tariffs, may impact the Company’s international manufacturing and operations or customers’ discretionary spending habits, the risk that the Company will be unsuccessful in gauging fashion trends and changing consumer preferences, the risks resulting from the highly competitive nature of the Company’s business and its dependence on consumer spending patterns, which may be affected by changes in economic conditions (including inflation), the risk that changes in the Company’s plans and strategies with respect to pricing, capital allocation, capital structure, investor communications and/or operations may have a negative effect on the Company’s business, the risk that the Company’s strategic initiatives to increase sales and margin, improve operational efficiencies, enhance operating controls, decentralize operational authority and reshape the Company’s culture are delayed or do not result in anticipated improvements, the risk of delays, interruptions, disruptions and higher costs in the Company’s global supply chain, including resulting from disease outbreaks, foreign sources of supply in less developed countries, more politically unstable countries, or countries where vendors fail to comply with industry standards or ethical business practices, including the use of forced, indentured or child labor, the risk that the cost of raw materials or energy prices will increase beyond current expectations or that the Company is unable to offset cost increases through value engineering or price increases, various types of litigation, including class action litigation brought under securities, consumer protection, employment, and privacy and information security laws and regulations, risks related to the existence of a controlling stockholder, and the uncertainty of weather patterns, as well as other risks discussed in the Company’s filings with the SEC from time to time. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date they were made. The Company undertakes no obligation to release publicly any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Contact: Investor Relations (201) 558-2400 ext. 14500 (1) The tax effects of the non-GAAP items are calculated based on the statutory rate of the jurisdiction in which the discrete item resides, adjusted for the impact of any valuation allowance. * Derived from the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended January 31, 2026.

Improvement in Operating Cash Flows by $126 million during Fiscal 2025 versus Fiscal 2024 SECAUCUS, N.J., April 10, 2026 (GLOBE NEWSWIRE) -- The Children’s Place, Inc. (Nasdaq: PLCE), one of the only pure-play children’s specialty retailers in North America with an omni-channel presence, today announced financial results for the Company’s fourth fiscal quarter and the full fiscal year ended January 31, 2026. Muhammad Umair, President and Chief Executive Officer said, “While our fourth quarter results were disappointing, we are taking decisive action to turn this business around. The Children's Place brand remains strong, recently ranked 21st in TIME’s survey of “America’s most iconic companies”, and we are leveraging that foundation to drive our transformation. We are reigniting what makes our brand unique by delivering compelling product, design, and branding, with the consumer at the center of every decision we make.” Mr. Umair continued, “We have moved aggressively to address our ecommerce challenges and in February 2026, we migrated to the Salesforce Customer Cloud platform, which we expect to stabilize our customer file and drive increased traffic through faster execution, sharper segmentation, and a superior customer experience. This was essential to evolving our tech platform, and we acted swiftly.” Mr. Umair concluded, “Our transformation is creating real operating leverage. We are focused on reducing costs, margin expansion opportunities, and prioritizing free cash flow generation. We have strengthened our liquidity position and now have the financial flexibility to make the strategic investments needed to succeed during our critical back-to-school season. We know what needs to be done, we have a clear plan, and we are executing with urgency.” The Company’s Executive Chairman, Turki S. AlRajhi, provides further details on the Company’s strategic initiatives and other business priorities, in his letter to shareholders that can be found on the Company’s corporate website at: https://corporate.childrensplace.com/chairmans-letters. Fourth Quarter 2025 Results Net sales decreased $79.3 million, or 19.4%, to $329.2 million in the three months ended January 31, 2026, compared to $408.6 million in the three months ended February 1, 2025. The decrease in net sales was driven by a decrease in e-commerce sales due to lower traffic and conversion compared to the prior year period, primarily due to challenges the Company experienced with its performance marketing strategies and execution, and a decrease in wholesale revenue due to the planned reduction in shipments to Amazon during the quarter to rebalance their inventory levels. Comparable retail sales decreased 10.7% for the quarter. Gross profit decreased $39.2 million to $77.4 million in the three months ended January 31, 2026, compared to $116.6 million in the three months ended February 1, 2025. Gross margin decreased 500 basis points (“bps”) to 23.5% during the three months ended January 31, 2026, compared to 28.5% in the prior year period. The decrease in gross margin was caused by the impact of higher tariffs on the Company’s product (330 bps), a higher penetration of markdown sales and dilutions (200 bps), and higher inventory reserves (160 bps), partially offset by favorable product costs (290 bps) as the Company shifted strategies to respond to the impact of higher tariff costs. Selling, general, and administrative expenses were $106.3 million in the three months ended January 31, 2026, compared to $100.6 million in the three months ended February 1, 2025, and deleveraged 770 basis points to 32.3% of net sales. The increase was primarily due to increases in marketing expenses, as the Company continues to refine its marketing strategy transformation. Adjusted selling, general, and administrative expenses were $106.1 million in the three months ended January 31, 2026, compared to $99.5 million in the comparable period last year, and deleveraged 780 basis points to 32.2% of net sales. Operating loss was $(40.9) million in the three months ended January 31, 2026, compared to Operating income of $6.8 million in the three months ended February 1, 2025 and deleveraged 1,410 basis points to (12.4)% of net sales. Adjusted operating loss was $(38.7) million in the three months ended January 31, 2026, compared to Adjusted operating income of $8.3 million in the comparable period last year, and deleveraged 1,380 basis points to 11.8% of net sales. Net interest expense was $8.4 million in the three months ended January 31, 2026, compared to $8.7 million in the three months ended February 1, 2025. The decrease was due to lower average borrowings and interest rates on the Company’s revolving credit facility with Wells Fargo, partially offset by the write-off of deferred financing costs associated with the refinancing of the revolving credit facility. Provision (benefit) for income taxes was a benefit of $(4.7) million in the three months ended January 31, 2026, compared to a provision of $6.1 million during the three months ended February 1, 2025. The change is primarily due to the impact of favorable provision to return adjustments and a reduction in reserves for unrecognized income tax benefits. The Company continues to adjust its valuation allowance based upon its ongoing operating results. Net loss was $(44.6) million, or $(2.01) per diluted share, in the three months ended January 31, 2026, compared to $(8.0) million, or $(0.62) per diluted share, in the three months ended February 1, 2025. Adjusted net loss was $(41.2) million, or $(1.86) per diluted share, compared to $(9.6) million, or $(0.75) per diluted share, in the comparable period last year. Fiscal Year-To-Date 2025 Results Net sales decreased $177.4 million, or 12.8%, to $1.209 billion in the twelve months ended January 31, 2026, compared to $1.386 billion in the twelve months ended February 1, 2025. The decrease in net sales was driven by a decrease in e-commerce sales due to lower traffic and conversion. The Company also experienced a decrease in brick-and-mortar revenue from lower sales volume due to lower traffic, particularly in the first half of the fiscal year. The Company’s stores and e-commerce sales were both impaired by the current macroeconomic environment, including the impact of tariffs, which has negatively affected the Company’s target consumer. The Company also experienced a decrease in wholesale revenue due to the planned reduction in shipments to Amazon during the year to rebalance their inventory levels. Comparable retail sales decreased 8.4% for the twelve months ended January 31, 2026. Gross profit decreased $97.9 million to $361.6 million in the twelve months ended January 31, 2026, compared to $459.5 million in the twelve months ended February 1, 2025. Gross margin decreased 320 basis points to 29.9% during the twelve months ended January 31, 2026, compared to 33.1% in the prior year period. The decrease in gross margin was caused primarily by an increase in inventory reserves (200 bps), the impact of higher tariffs on the Company’s product (140 bps), and a higher penetration of markdown sales and dilutions (70 bps), partially offset by favorable product costs (100 bps) as the Company shifted strategies to respond to the impact of higher tariff costs. Selling, general, and administrative expenses were $383.7 million in the twelve months ended January 31, 2026, compared to $405.6 million in the twelve months ended February 1, 2025 and deleveraged 240 basis points to 31.7% of net sales. The decrease was due to a reduction in one-time costs incurred in the prior year, primarily associated with the Company’s change of control and restructuring costs, partially offset by an increase in marketing expenses. Adjusted selling, general, and administrative expenses were $381.1 million in the twelve months ended January 31, 2026, compared to $370.3 million in the prior year, and deleveraged 480 basis points to 31.5% of net sales. Operating loss was $(57.2) million in the twelve months ended January 31, 2026, compared to $(13.7) million in the twelve months ended February 1, 2025. Adjusted operating loss was $(52.6) million in the twelve months ended January 31, 2026, compared to Adjusted operating income of $52.7 million in the comparable period last year. Net interest expense was $33.1 million in the twelve months ended January 31, 2026, compared to $35.7 million in the twelve months ended February 1, 2025. The decrease was due to lower average borrowings and interest rates on the Company’s revolving credit facility with Wells Fargo, partially offset by the write-off of deferred financing costs associated with the refinancing of the revolving credit facility and the partial paydown of the first term loan entered into with the Company’s majority shareholder, Mithaq Capital SPC (“Mithaq”) as a result of the Company’s rights offering which was completed during the first quarter. Provision (benefit) for income taxes was a benefit of $(2.0) million in the twelve months ended January 31, 2026, compared to a provision of $8.4 million during the twelve months ended February 1, 2025. The change is primarily due to shifts in earnings mix and a higher pretax loss for the twelve months ended January 31, 2026, in addition to the impact of favorable provision to return adjustments and a reduction in reserves for unrecognized income tax benefits. The Company continues to adjust its valuation allowance based upon its ongoing operating results. Net loss was $(88.3) million, or $(4.01) per diluted share, in the twelve months ended January 31, 2026, compared to $(57.8) million, or $(4.53) per diluted share, in the twelve months ended February 1, 2025. Adjusted net loss was $(81.4) million, or $(3.70) per diluted share, compared to Adjusted net income of $5.5 million, or $0.43 per diluted share, in the prior year. Store Update During the fourth quarter, the Company opened 10 and closed 11 stores in the three months ended January 31, 2026, and ended the year with 498 stores, compared to 495 stores as of the end of the prior fiscal year. Balance Sheet and Cash Flow As of January 31, 2026, the Company had $5.5 million in cash and cash equivalents, $44.4 million in borrowing availability under its revolving credit facility and an additional $40.0 million of availability under the unsecured Commitment Letter provided by Mithaq, representing total liquidity of $89.9 million. The Company had $131.1 million outstanding on its revolving credit facility and has not drawn down on its Mithaq credit facility. Additionally, the Company generated $8.1 million in operating cash flows in the twelve months ended January 31, 2026, compared to $(117.6) million in the twelve months ended February 1, 2025, reflecting a significant improvement of $125.7 million, as the Company improved its working capital management with a reduction in inventory balances of $74.5 million compared to the prior year. Inventories were $325.1 million as of January 31, 2026, compared to $399.6 million as of February 1, 2025. Non-GAAP Reconciliation The Company’s results are reported in this press release on a GAAP and as adjusted, non-GAAP basis. Adjusted net income (loss), adjusted net income (loss) per diluted share, adjusted gross profit, adjusted selling, general, and administrative expenses, and adjusted operating income (loss) are non-GAAP measures, and are not intended to replace GAAP financial information, and may be different from non-GAAP measures reported by other companies. The Company believes the income and expense items excluded as non-GAAP adjustments are not reflective of the performance of its core business, and that providing this supplemental disclosure to investors will facilitate comparisons of the past and present performance of its core business. Please refer to the “Reconciliation of Non-GAAP Financial Information to GAAP” later in this press release, which sets forth the non-GAAP operating adjustments for the 13-week periods and 52-week periods ended January 31, 2026 and February 1, 2025. About The Children’s Place The Children’s Place is one of the only pure-play children’s specialty retailers in North America with an omni-channel presence. Its global retail and wholesale network includes two digital storefronts, 498 stores in North America, wholesale marketplaces and distribution in 12 countries through nine international franchise and wholesale partners. The Children’s Place designs, contracts to manufacture, and sells fashionable, high-quality, head-to-toe outfits predominantly at value prices, primarily under its proprietary brands: “The Children’s Place” and “Gymboree”. For more information, visit: www.childrensplace.com and www.gymboree.com. Forward-Looking Statements This press release contains or may contain forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to statements relating to the Company’s strategic initiatives and results of operations, including adjusted net income (loss) per diluted share. Forward-looking statements typically are identified by use of terms such as “may,” “will,” “should,” “plan,” “project,” “expect,” “anticipate,” “estimate,” “believe” and similar words, although some forward-looking statements are expressed differently. These forward-looking statements are based upon the Company’s current expectations and assumptions and are subject to various risks and uncertainties that could cause actual results and performance to differ materially. Some of these risks and uncertainties are described in the Company’s filings with the Securities and Exchange Commission, including in the “Part I, Item1A. Risk Factors” section of its annual report on Form 10-K for the fiscal year ended January 31, 2026. Included among the risks and uncertainties that could cause actual results and performance to differ materially are the risk that the Company will be unable to achieve operating results at levels sufficient to fund and/or finance the Company’s current level of operations and repayment of indebtedness, the risk that changes in trade policy and tariff regimes, including newly imposed U.S. tariffs and any responsive non-U.S. tariffs, may impact the Company’s international manufacturing and operations or customers’ discretionary spending habits, the risk that the Company will be unsuccessful in gauging fashion trends and changing consumer preferences, the risks resulting from the highly competitive nature of the Company’s business and its dependence on consumer spending patterns, which may be affected by changes in economic conditions (including inflation), the risk that changes in the Company’s plans and strategies with respect to pricing, capital allocation, capital structure, investor communications and/or operations may have a negative effect on the Company’s business, the risk that the Company’s strategic initiatives to increase sales and margin, improve operational efficiencies, enhance operating controls, decentralize operational authority and reshape the Company’s culture are delayed or do not result in anticipated improvements, the risk of delays, interruptions, disruptions and higher costs in the Company’s global supply chain, including resulting from disease outbreaks, foreign sources of supply in less developed countries, more politically unstable countries, or countries where vendors fail to comply with industry standards or ethical business practices, including the use of forced, indentured or child labor, the risk that the cost of raw materials or energy prices will increase beyond current expectations or that the Company is unable to offset cost increases through value engineering or price increases, various types of litigation, including class action litigation brought under securities, consumer protection, employment, and privacy and information security laws and regulations, risks related to the existence of a controlling stockholder, and the uncertainty of weather patterns, as well as other risks discussed in the Company’s filings with the SEC from time to time. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date they were made. The Company undertakes no obligation to release publicly any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Contact: Investor Relations (201) 558-2400 ext. 14500 (1) In connection with the completion of the rights offering on February 6, 2025, the Company’s weighted average common shares outstanding and basic and diluted loss per share were retroactively adjusted for all prior periods presented by a factor of 1.002. (1) The tax effects of the non-GAAP items are calculated based on the statutory rate of the jurisdiction in which the discrete item resides, adjusted for the impact of any valuation allowance. THE CHILDREN’S PLACE, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands) (Unaudited) * Derived from the audited consolidated financial statements included in the Company's Annual Report on Form 10-K for the fiscal year ended February 1, 2025.

Announces $450 Million Refinancing Transaction SECAUCUS, N.J., Dec. 16, 2025 (GLOBE NEWSWIRE) -- The Children’s Place, Inc. (Nasdaq: PLCE), one of the only pure-play children’s specialty retailers in North America with an omni-channel portfolio of brands and an industry-leading digital-first model, today announced financial results for the Company’s third fiscal quarter ended November 1, 2025. Muhammad Umair, President and Chief Executive Officer said, “Our third quarter results reflect the challenges we are experiencing in our ecommerce business, with periods of high volatility as we implement our strategic transformation. Separately, our marketing efficiency was also impeded during the quarter in our transition to a new marketing agency and a heightened promotional strategy. Our new operating model envisions an increased physical store presence, and a merchandising reset that adds a more balanced mix of fashion and basics to our product assortment. Our brick-and-mortar business capitalized on its momentum from our second quarter and generated a 2% growth in comparable sales, and as we continue to invest in our real estate portfolio with operational and financial discipline, our new stores are generating results that are outperforming the rest of the fleet. We believe our increased store base will strengthen our omni-channel proposition to our customers that love to experience our beloved brands, both in-store or online.” Mr. Umair continued, “We opened five new stores during the third quarter, with another 11 store openings slated for the fourth quarter. Looking ahead, we plan to open an additional 15 to 20 new stores in the first half of fiscal year 2026, ahead of our critical back-to-school season to drive revenue growth and profitability, with more store openings in the back-half of fiscal year 2026 and beyond. We also plan to refresh our store layouts, and in conjunction with our revamped My Place Rewards loyalty program, we are excited for the enhanced experience this will create for our new and existing customer file.” Financing Update John Szczepanski, Chief Financial Officer said, “We’re also pleased to announce that we have successfully completed the refinancing of a $350 million asset-based lending credit facility with Wells Fargo, supplemented by a $100 million FILO term loan with SLR Credit Solutions. The five-year financing transactions increase our maximum borrowing capacity by up to $17 million and improve our liquidity position by $35 million to $40 million on a proforma basis as of the end of the third quarter. The new financing arrangement will provide us with additional capital to implement our growth strategies, thus strengthening our financial position and balance sheet, and helping to generate long-term shareholder value with the support of our financing partners.” Additional information about the financing transactions is contained in the Company’s Current Report on Form 10-Q filed with the Securities and Exchange Commission on December 16, 2025. Tariff & Transformation Update Mr. Umair said, “Tariff pressures continue to affect our bottom line, and we now expect the impact of tariffs to result in incremental expenses of approximately $15 million to $20 million for fiscal year 2025, a reduction from our previously estimated impact of $20 million to $25 million. We further expect an incremental impact of $25 million to $30 million in the first half of fiscal year 2026, the majority of which will be mitigated through our strategic initiatives. We remain focused on controlling our costs, and we are increasing the estimate of gross benefits from our previously announced transformation initiative from $40 million to $50 million over the next three years. The Company has already implemented cost actions that will result in over $25 million in gross annualized benefits, offset by approximately $5 million to $10 million in one-time costs. As part of our transformation efforts, we officially opened our new office in Pakistan during the quarter, that will realize cost efficiencies and set the foundation for further cost-saving initiatives. We are confident that these initiatives will improve our cost structure and set us up for long-term success.” Third Quarter 2025 Results Net sales decreased $50.7 million, or 13.0%, to $339.5 million in the three months ended November 1, 2025, compared to $390.2 million in the three months ended November 2, 2024. The decrease in net sales was driven by a decrease in wholesale revenue due to lower order commitments as a result of higher purchases earlier in the fiscal year, and a decrease in e-commerce sales due to lower traffic and conversion compared to the comparable period last year, in addition to challenges the Company experienced with transitioning to a new marketing agency during the quarter. Comparable retail sales decreased 5.4% for the quarter. Gross profit decreased $26.0 million to $112.3 million in the three months ended November 1, 2025, compared to $138.3 million in the three months ended November 2, 2024. Gross margin decreased 240 basis points (“bps”) to 33.1% during the three months ended November 1, 2025, compared to 35.5% in the comparable period last year. The decrease in gross margin was caused by a higher penetration of markdown sales (200 bps), the impact of higher tariffs on the Company’s product (55 bps), and an increase in inventory reserves (50 bps), partially offset by favorable channel and product mix. Selling, general, and administrative expenses were $101.3 million in the three months ended November 1, 2025, compared to $99.8 million in the three months ended November 2, 2024. The increase was primarily due to an increase in marketing expenses as the Company ramped up its spend towards the end of the quarter to drive incremental e-commerce demand, expenses incurred to revamp the My Place Rewards loyalty program, costs to support the Company’s new stores strategy, and an increase in donations as the Company further develops its inventory lifecycle process, partially offset by one-time costs incurred in the prior year. Adjusted selling, general, and administrative expenses were $101.0 million in the three months ended November 1, 2025, compared to $93.8 million in the comparable period last year, and deleveraged 570 basis points to 29.7% of net sales. Operating income was $3.7 million in the three months ended November 1, 2025, compared to $29.3 million in the three months ended November 2, 2024. Adjusted operating income was $4.0 million in the three months ended November 1, 2025, compared to $35.3 million in the comparable period last year. Net interest expense was $8.1 million in the three months ended November 1, 2025, compared to $10.1 million in the three months ended November 2, 2024. The decrease was due to lower average borrowings and interest rates on the Company’s revolving credit facility with Wells Fargo and other bank lenders. Benefit for income taxes was $(0.1) million in the three months ended November 1, 2025, compared to $(0.9) million during the three months ended November 2, 2024. The Company continues to adjust its valuation allowance based on ongoing operating results. Net loss was $(4.3) million, or $(0.19) per diluted share, in the three months ended November 1, 2025, compared to net income of $20.1 million, or $1.57 per diluted share, in the three months ended November 2, 2024. Adjusted net loss was $(4.0) million, or $(0.18) per diluted share, compared to an Adjusted net income of $26.1 million, or $2.04 per diluted share, in the comparable period last year. Fiscal Year-To-Date 2025 Results Net sales decreased $98.1 million, or 10.0%, to $879.6 million in the nine months ended November 1, 2025, compared to $977.7 million in the nine months ended November 2, 2024. The decrease in net sales was driven by a decrease in e-commerce sales due to lower traffic and conversion. The Company also experienced a decrease in brick-and-mortar revenue due to a lower store count and lower sales volume, particularly in the first half of the fiscal year. Our stores and e-commerce sales were both negatively impacted by the current macroeconomic environment, including uncertainty around tariffs, which has negatively affected consumer sentiment. The Company also experienced a decrease in wholesale revenue as the Company shifted its strategy towards selling higher margin product to improve profitability. Comparable retail sales decreased 7.5% for the nine months ended November 1, 2025. Gross profit decreased $58.5 million to $284.4 million in the nine months ended November 1, 2025, compared to $342.9 million in the nine months ended November 2, 2024. Gross margin decreased 280 basis points to 32.3% during the nine months ended November 1, 2025, compared to 35.1% in the prior year period. The decrease in gross margin was caused primarily by a higher penetration of markdown sales (140 bps), an increase in inventory reserves (110 bps), and the impact of higher tariffs on our product (50 bps). Selling, general, and administrative expenses were $277.6 million in the nine months ended November 1, 2025, compared to $305.0 million in the nine months ended November 2, 2024. The decrease was due to a reduction in one-time costs incurred in the prior year, primarily associated with the Company’s change of control and broken financing deal costs. Adjusted selling, general, and administrative expenses were $275.1 million in the nine months ended November 1, 2025, compared to $270.8 million in the comparable period last year, and deleveraged 360 basis points to 31.3% of net sales. Operating loss was $(16.3) million in the nine months ended November 1, 2025, compared to $(20.5) million in the nine months ended November 2, 2024. Adjusted operating loss was $(13.9) million in the nine months ended November 1, 2025, compared to Adjusted operating income of $44.4 million in the comparable period last year. Net interest expense was $24.7 million in the nine months ended November 1, 2025, compared to $27.0 million in the nine months ended November 2, 2024. The decrease in interest expense was due to lower average borrowings and interest rates on the Company’s revolving credit facility, partially offset by the write-off of deferred financing costs associated with the partial paydown of the first term loan entered into with the Company’s majority shareholder, Mithaq Capital SPC (“Mithaq”) as a result of the Company’s rights offering which was completed during the first quarter. Provision for income taxes was $2.7 million in the nine months ended November 1, 2025, compared to $2.3 million during the nine months ended November 2, 2024. The Company continues to adjust its valuation allowance based on ongoing operating results. Net loss was $(43.7) million, or $(1.99) per diluted share, in the nine months ended November 1, 2025, compared to $(49.8) million, or $(3.91) per diluted share, in the nine months ended November 2, 2024. Adjusted net loss was $(40.2) million, or $(1.83) per diluted share, compared to Adjusted net income of $15.1 million, or $1.18 per diluted share, in the prior year. Store Update During the third quarter, the Company opened five stores and ended the quarter with 499 stores. The store count at the end of the third quarter of 2024 was 510. Balance Sheet and Cash Flow As of November 1, 2025, the Company had $7.3 million in cash and cash equivalents, $46.1 million in borrowing availability under its revolving credit facility and an additional $40.0 million in availability under the unsecured Commitment Letter provided by Mithaq, representing total liquidity of $93.4 million. The Company had $297.2 million outstanding on its revolving credit facility and has not drawn down on its Mithaq credit facility. Additionally, the Company used $67.2 million in operating cash flows in the nine months ended November 1, 2025, compared to $238.9 million in the comparable period last year. Inventories were $390.3 million as of November 1, 2025, compared to $491.6 million as of November 2, 2024. These reduced inventory levels were a result of improved inventory management as the Company continues to align its inventory levels with its growth and product strategy, and better balance the mix of fashion and basic product. Non-GAAP Reconciliation The Company’s results are reported in this press release on a GAAP and as adjusted, non-GAAP basis. Adjusted net income (loss), adjusted net income (loss) per diluted share, adjusted gross profit, adjusted selling, general, and administrative expenses, and adjusted operating income (loss) are non-GAAP measures, and are not intended to replace GAAP financial information, and may be different from non-GAAP measures reported by other companies. The Company believes the income and expense items excluded as non-GAAP adjustments are not reflective of the performance of its core business, and that providing this supplemental disclosure to investors will facilitate comparisons of the past and present performance of its core business. Please refer to the “Reconciliation of Non-GAAP Financial Information to GAAP” later in this press release, which sets forth the non-GAAP operating adjustments for the 13-week periods and 39-week periods ended November 1, 2025 and November 2, 2024. About The Children’s Place The Children’s Place is one of the only pure-play children’s specialty retailers in North America with an omni-channel portfolio of brands and an industry-leading digital-first model. Its global retail and wholesale network includes two digital storefronts, 499 stores in North America, wholesale marketplaces and distribution in 12 countries through nine international franchise and wholesale partners. The Children’s Place designs, contracts to manufacture, and sells fashionable, high-quality, head-to-toe outfits predominantly at value prices, primarily under its proprietary brands: “The Children’s Place”, “Gymboree”, “Sugar & Jade”, and “PJ Place”. For more information, visit: www.childrensplace.com and www.gymboree.com. Forward-Looking Statements This press release contains or may contain forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to statements relating to the Company’s strategic initiatives and results of operations, including adjusted net income (loss) per diluted share. Forward-looking statements typically are identified by use of terms such as “may,” “will,” “should,” “plan,” “project,” “expect,” “anticipate,” “estimate,” “believe” and similar words, although some forward-looking statements are expressed differently. These forward-looking statements are based upon the Company’s current expectations and assumptions and are subject to various risks and uncertainties that could cause actual results and performance to differ materially. Some of these risks and uncertainties are described in the Company’s filings with the Securities and Exchange Commission, including in the “Part 1, item1A. Risk Factors” section of its annual report on Form 10-K for the fiscal year ended February 1, 2025. Included among the risks and uncertainties that could cause actual results and performance to differ materially are the risk that the Company will be unable to achieve operating results at levels sufficient to fund and/or finance the Company’s current level of operations and repayment of indebtedness, the risk that changes in trade policy and tariff regimes, including newly imposed U.S. tariffs and any responsive non-U.S. tariffs, may impact our international manufacturing and operations or our customers’ discretionary spending habits, the risk that the Company will be unsuccessful in gauging fashion trends and changing consumer preferences, the risks resulting from the highly competitive nature of the Company’s business and its dependence on consumer spending patterns, which may be affected by changes in economic conditions (including inflation), the risk that changes in the Company’s plans and strategies with respect to pricing, capital allocation, capital structure, investor communications and/or operations may have a negative effect on the Company’s business, the risk that the Company’s strategic initiatives to increase sales and margin, improve operational efficiencies, enhance operating controls, decentralize operational authority and reshape the Company’s culture are delayed or do not result in anticipated improvements, the risk of delays, interruptions, disruptions and higher costs in the Company’s global supply chain, including resulting from disease outbreaks, foreign sources of supply in less developed countries, more politically unstable countries, or countries where vendors fail to comply with industry standards or ethical business practices, including the use of forced, indentured or child labor, the risk that the cost of raw materials or energy prices will increase beyond current expectations or that the Company is unable to offset cost increases through value engineering or price increases, various types of litigation, including class action litigation brought under securities, consumer protection, employment, and privacy and information security laws and regulations, risks related to the existence of a controlling shareholder, and the uncertainty of weather patterns, as well as other risks discussed in the Company’s filings with the SEC from time to time. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date they were made. The Company undertakes no obligation to release publicly any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Contact: Investor Relations (201) 558-2400 ext. 14500 (1) In connection with the completion of the rights offering on February 6, 2025, the Company’s weighted average common shares outstanding and basic and diluted loss per share were retroactively adjusted for all prior periods presented by a factor of 1.002. (1) The tax effects of the non-GAAP items are calculated based on the statutory rate of the jurisdiction in which the discrete item resides, adjusted for the impact of any valuation allowance. (2) In connection with the completion of the rights offering on February 6, 2025, the Company’s weighted average common shares outstanding and basic and diluted loss per share were retroactively adjusted for all prior periods presented by a factor of 1.002. * Derived from the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended February 1, 2025.

Announces Transformation Initiative SECAUCUS, N.J., Sept. 05, 2025 (GLOBE NEWSWIRE) -- The Children’s Place, Inc. (Nasdaq: PLCE), the largest pure-play children’s specialty retailer in North America with an omni-channel portfolio of brands and an industry-leading digital-first model, today announced financial results for the Company’s second fiscal quarter ended August 2, 2025. Muhammad Umair, President and Interim Chief Executive Officer said, “This quarter began with operating results that reflected the difficulties we faced in the previous quarter, including unusually cold and wet weather early in the quarter that dampened seasonal demand. However, we ended the quarter with strong momentum for our back-to-school season, and we saw a significant improvement in comparable sales relative to the start of the year. The expansion of licensing, a greater emphasis on fashion-forward assortments, and new partnerships are resonating strongly with our core customer, helping to reinforce our brand promise of delivering amazing fashion at a great value for parents. While we continue to be challenged by the macroeconomic environment, we remain laser-focused on driving profitability in the near and long term.” Mr. Umair continued, “July marked the first month in the last 18 months in which the Company’s owned and operated direct-to-consumer business generated positive comparative sales growth. We are encouraged by this positive trend shift during the back-to-school period, and we have experienced further increased momentum in underlying demand in August, driven primarily through our stores channel. We have also improved our inventory position with a $78 million reduction from the prior year, as we prioritize working capital management and free cash flow generation. We have been quick to assess and react to the evolving environment, enabling us to make informed business decisions. We have confidence in our long-term plan to revitalize our business and optimize our distribution channels, particularly through investment in new wholesale partnerships. However, our focus remains on long-term investment decisions, and large-scale changes to our business model will still take time. Our progress will continue to be gradual as we reinvest in every way to delight our customers and deliver a great customer experience, by investing in our stores and real estate portfolio, as we return to our true omni-channel retailing identity.” Company Announces Transformation Initiative John Szczepanski, Chief Financial Officer said, “We will be implementing an in-depth long-range plan that will better streamline the Company’s operations to yield over $40 million of gross benefits over the next three years. We will be focused on reducing unnecessary corporate office costs, optimizing our distribution network, and rightsizing non-merchandise and third-party spending. In addition, these expense savings will further support our changing business model, including the Company’s strategic shift from closing stores to opening stores instead, as we revitalize the look, feel and experience for our customers when they enter our stores and visit our website, with a focus on improving top-line sales.” Mr. Szczepanski continued, “Our transformation efforts also include a review of our corporate cost structure, to seek further opportunities to augment our staffing and optimize our corporate payroll, which peaked above $120 million at the beginning of fiscal year 2023 and is planned to be below an $80 million run rate in fiscal year 2026. These transformation efforts are expected to incur certain one-time costs amounting to approximately $5 million to $10 million. The savings from these actions will allow us to reinvest in our business, including the launch of our new loyalty program in the third quarter to drive retention and enhance lifetime value. We are excited and energized by these plans to grow top-line sales and profitability. We plan to further review our long-range plan for the business and other strategic initiatives during the Sidoti Fall Virtual Small Cap Conference, with further information for all investors to be posted to our website following the conference on September 18, 2025.” Tariff Update Mr. Umair said, “The tariff environment remains unpredictable. Based on the current environment we are projecting approximately $20 million to $25 million in additional tariff and duty expenses for fiscal year 2025. However, we believe we are well-positioned to manage these impacts, having plans to mitigate approximately 80% of the effects of these tariffs through a range of strategic initiatives. Our diversified sourcing strategy, strong vendor partnerships, and improvements in inbound ocean rates will all contribute to offset the additional tariff and duty expenses. These proactive measures are critical to minimizing the impacts of tariffs on profitability, strengthening our foundation for continued resilience to drive long-term success, and ensuring we can deliver exceptional value with minimal increases in ticket prices for our customers.” Second Quarter 2025 Results Net sales decreased $21.7 million, or 6.8%, to $298.0 million in the three months ended August 2, 2025, compared to $319.7 million in the three months ended August 3, 2024. The decrease in net sales was driven by a decrease in brick-and-mortar revenue due to a lower store count and lower sales volume due to lower traffic. The Company also experienced a decrease in e-commerce sales due to lower traffic and conversion compared to the comparable period last year, however these trends have improved since the first quarter of fiscal year 2025, due to shifts in our marketing strategies combined with the impact of our new product strategies. Our stores and e-commerce sales were both negatively impacted by the current macroeconomic environment, including uncertainty around potential tariffs, which has negatively affected consumer sentiment. Comparable retail sales decreased 4.7% for the quarter. Gross profit decreased $10.5 million to $101.3 million in the three months ended August 2, 2025, compared to $111.8 million in the three months ended August 3, 2024. Gross margin decreased 100 basis points to 34.0% during the three months ended August 2, 2025, compared to 35.0% in the prior year. The decrease in gross margin was caused by adjustments associated with our decrease in inventory balance compared to the prior year and shifts in channel mix, partially offset by favorable product margins and improvements in product mix, pricing and promotions. Selling, general, and administrative expenses were $89.6 million in the three months ended August 2, 2025, compared to $96.1 million in the three months ended August 3, 2024. The decrease was primarily due to a reduction in one-time restructuring costs incurred in the prior year due to the departure of certain members of the senior leadership team, partially offset by an increase in marketing expense as we continue to invest in top of funnel and brand building initiatives. Adjusted selling, general, and administrative expenses were $87.6 million in the three months ended August 2, 2025, compared to $88.3 million in the comparable period last year, and deleveraged 180 basis points to 29.4% of net sales, due to lower sales. Operating income was $4.1 million in the three months ended August 2, 2025, compared to an operating loss of $(21.8) million in the three months ended August 3, 2024. The prior year operating loss included an impairment charge of $28.0 million on the Gymboree tradename. Adjusted operating income was $6.1 million in the three months ended August 2, 2025, compared to $14.2 million in the comparable period last year. Net interest expense was $8.0 million in the three months ended August 2, 2025, compared to $9.2 million in the three months ended August 3, 2024. The decrease was due to lower average borrowings on the Company’s revolving credit facility with Wells Fargo and other bank lenders, in addition to lower average interest rates during the quarter. Provision for income taxes was $1.5 million in the three months ended August 2, 2025, compared to $1.1 million during the three months ended August 3, 2024. The Company continues to adjust its valuation allowance based on ongoing operating results. Net loss was $(5.4) million, or $(0.24) per diluted share, in the three months ended August 2, 2025, compared to $(32.1) million, or $(2.51) per diluted share, in the three months ended August 3, 2024. Adjusted net loss was $(3.4) million, or $(0.15) per diluted share, compared to an Adjusted net income of $3.9 million, or $0.30 per diluted share, in the comparable period last year. Fiscal Year-To-Date 2025 Results Net sales decreased $47.4 million, or 8.1%, to $540.1 million in the six months ended August 2, 2025, compared to $587.5 million in the six months ended August 3, 2024. The decrease in net sales was driven by a decrease in e-commerce sales due to lower traffic and conversion. The Company also experienced a decrease in brick-and-mortar revenue due to a lower store count and lower sales volume. Our stores and e-commerce sales were both negatively impacted by the current macroeconomic environment, including uncertainty around potential tariffs, which has negatively affected consumer sentiment. This was partially offset by an increase in wholesale revenue. Comparable retail sales decreased 8.9% for the six months ended August 2, 2025. Gross profit decreased $32.5 million to $172.1 million in the six months ended August 2, 2025, compared to $204.5 million in the six months ended August 3, 2024. Gross margin decreased 290 basis points to 31.9% during the six months ended August 2, 2025, compared to 34.8% in the prior year period. The decrease in gross margin was caused by adjustments associated with our decrease in inventory balance compared to the prior year and shifts in channel mix from the higher penetration of wholesale sales, partially offset by favorable product margins and improvements in pricing and promotions. Selling, general, and administrative expenses were $176.3 million in the six months ended August 2, 2025, compared to $205.2 million in the six months ended August 2, 2024. The decrease was due to a reduction in one-time costs incurred in the prior year, primarily associated with the Company’s change of control and broken financing deal costs. Adjusted selling, general, and administrative expenses were $174.2 million in the six months ended August 2, 2025, compared to $177.0 million in the prior year, and deleveraged 210 basis points to 32.2% of net sales. Operating loss was $(20.0) million in the six months ended August 2, 2025, compared to $(49.8) million in the six months ended August 3, 2024. Adjusted operating loss was $(17.9) million in the six months ended August 2, 2025, compared to Adjusted operating income of $9.2 million in the comparable period last year. Net interest expense was $16.6 million in the six months ended August 2, 2025, compared to $17.0 million in the six months ended August 3, 2024. The decrease in interest expense was due to lower average interest rates for the Company’s revolving credit facility, partially offset by the write-off of deferred financing costs associated with the partial paydown of the first term loan entered into with the Company’s majority shareholder, Mithaq Capital SPC (“Mithaq”) as a result of the Company’s rights offering which was completed during the first quarter. Provision for income taxes was $2.8 million in the six months ended August 2, 2025, compared to $3.2 million during the six months ended August 2, 2024. The Company continues to adjust its valuation allowance based on ongoing operating results. Net loss was $(39.4) million, or $(1.80) per diluted share, in the six months ended August 2, 2025, compared to $(69.9) million, or $(5.49) per diluted share, in the six months ended August 3, 2024. Adjusted net loss was $(36.3) million, or $(1.66) per diluted share, compared to $(11.0) million, or $(0.86) per diluted share, in the prior year. Store Update During the second quarter, the Company opened one store and closed two stores and ended the quarter with 494 stores. The store count at the end of the second quarter of 2024 was 515. Balance Sheet and Cash Flow As of August 2, 2025, the Company had $7.8 million in cash and cash equivalents, $43.8 million in borrowing availability under its revolving credit facility and an additional $40.0 million in availability under the unsecured Commitment Letter provided by Mithaq, representing total liquidity of $91.6 million. The Company had $294.4 million outstanding on its revolving credit facility and has not drawn down on its Mithaq credit facility. Additionally, the Company used $73.4 million in operating cash flows in the six months ended August 2, 2025. Inventories were $442.7 million as of August 2, 2025, compared to $520.6 million as of August 3, 2024. These reduced inventory levels were a result of improved inventory management as we continue to align our inventory levels with our growth and product strategy, and better balance the mix of fashion and basic product. Non-GAAP Reconciliation The Company’s results are reported in this press release on a GAAP and as adjusted, non-GAAP basis. Adjusted net income (loss), adjusted net income (loss) per diluted share, adjusted gross profit, adjusted selling, general, and administrative expenses, and adjusted operating income (loss) are non-GAAP measures, and are not intended to replace GAAP financial information, and may be different from non-GAAP measures reported by other companies. The Company believes the income and expense items excluded as non-GAAP adjustments are not reflective of the performance of its core business, and that providing this supplemental disclosure to investors will facilitate comparisons of the past and present performance of its core business. Please refer to the “Reconciliation of Non-GAAP Financial Information to GAAP” later in this press release, which sets forth the non-GAAP operating adjustments for the 13-week periods and 26-week periods ended August 2, 2025 and August 3, 2024. About The Children’s Place The Children’s Place is the largest pure-play children’s specialty retailer in North America with an omni-channel portfolio of brands and an industry-leading digital-first model. Its global retail and wholesale network includes two digital storefronts, 494 stores in North America, wholesale marketplaces and distribution in 12 countries through seven international franchise and wholesale partners. The Children’s Place designs, contracts to manufacture, and sells fashionable, high-quality, head-to-toe outfits predominantly at value prices, primarily under its proprietary brands: “The Children’s Place”, “Gymboree”, “Sugar & Jade”, and “PJ Place”. For more information, visit: www.childrensplace.com and www.gymboree.com. Forward-Looking Statements This press release contains or may contain forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to statements relating to the Company’s strategic initiatives and results of operations, including adjusted net income (loss) per diluted share. Forward-looking statements typically are identified by use of terms such as “may,” “will,” “should,” “plan,” “project,” “expect,” “anticipate,” “estimate,” “believe” and similar words, although some forward-looking statements are expressed differently. These forward-looking statements are based upon the Company’s current expectations and assumptions and are subject to various risks and uncertainties that could cause actual results and performance to differ materially. Some of these risks and uncertainties are described in the Company’s filings with the Securities and Exchange Commission, including in the “Part 1, item1A. Risk Factors” section of its annual report on Form 10-K for the fiscal year ended February 1, 2025. Included among the risks and uncertainties that could cause actual results and performance to differ materially are the risk that the Company will be unable to achieve operating results at levels sufficient to fund and/or finance the Company’s current level of operations and repayment of indebtedness, the risk that changes in trade policy and tariff regimes, including newly imposed U.S. tariffs and any responsive non-U.S. tariffs, may impact our international manufacturing and operations or our customers’ discretionary spending habits, the risk that the Company will be unsuccessful in gauging fashion trends and changing consumer preferences, the risks resulting from the highly competitive nature of the Company’s business and its dependence on consumer spending patterns, which may be affected by changes in economic conditions (including inflation), the risk that changes in the Company’s plans and strategies with respect to pricing, capital allocation, capital structure, investor communications and/or operations may have a negative effect on the Company’s business, the risk that the Company’s strategic initiatives to increase sales and margin, improve operational efficiencies, enhance operating controls, decentralize operational authority and reshape the Company’s culture are delayed or do not result in anticipated improvements, the risk of delays, interruptions, disruptions and higher costs in the Company’s global supply chain, including resulting from disease outbreaks, foreign sources of supply in less developed countries, more politically unstable countries, or countries where vendors fail to comply with industry standards or ethical business practices, including the use of forced, indentured or child labor, the risk that the cost of raw materials or energy prices will increase beyond current expectations or that the Company is unable to offset cost increases through value engineering or price increases, various types of litigation, including class action litigation brought under securities, consumer protection, employment, and privacy and information security laws and regulations, risks related to the existence of a controlling shareholder, and the uncertainty of weather patterns, as well as other risks discussed in the Company’s filings with the SEC from time to time. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date they were made. The Company undertakes no obligation to release publicly any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Contact: Investor Relations (201) 558-2400 ext. 14500 (1) In connection with the completion of the rights offering on February 6, 2025, the Company’s weighted average common shares outstanding and basic and diluted loss per share were retroactively adjusted for all prior periods presented by a factor of 1.002. (1) The tax effects of the non-GAAP items are calculated based on the statutory rate of the jurisdiction in which the discrete item resides, adjusted for the impact of any valuation allowance. (2) In connection with the completion of the rights offering on February 6, 2025, the Company’s weighted average common shares outstanding and basic and diluted loss per share were retroactively adjusted for all prior periods presented by a factor of 1.002. * Derived from the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended February 1, 2025.