2022 In Review Summary

from Vera Bradley Annual Report Project

& Their Locations Stores

Financial Summary

Refer to “The COVID-19 Pandemic” for additional information regarding the impacts of the pandemic on fiscal 2021 financial results.

• Net revenues were $540.5 million in fiscal 2022 compared to $468.3 million in fiscal 2021.

• Vera Bradley Direct (“VB Direct”) segment sales were $354.9 million in fiscal 2022 compared to $289.3 million in fiscal 2021.

• Vera Bradley Indirect (“VB Indirect”) segment sales were $66.0 million in fiscal 2022 compared to $66.5 million in fiscal 2021.

• Pura Vida segment sales were $119.6 million in fiscal 2022 compared to $112.5 million in fiscal 2021.

• Gross profit was $287.9 million (53.3% of net revenue) in fiscal 2022 compared to $265.5 million (56.7% of net revenue) in fiscal 2021. COVID-19-related purchase order cancellations totaled $1.3 million (0.3% of net revenue) during fiscal 2021.

• SG&A expenses were $262.0 million (48.5% of net revenue) in fiscal 2022 compared to $252.6 million (53.9% of net revenue) in fiscal 2021.

• During fiscal 2022, SG&A expenses included $3.1 million of Pura Vida intangible asset amortization and $0.1 million of store asset impairment charges.

• During fiscal 2021, SG&A expenses included $9.2 million of Pura Vida intangible asset amortization and other purchase-related charges; $7.4 million of store asset impairment charges; $2.7 million of charges related to Project Novus; and $0.2 million of COVID-19related charges.

• Operating income was $26.9 million (5.0% of net revenue) in fiscal 2022 compared to $13.1 million (2.8% of net revenue) in fiscal 2021.

• During fiscal 2022, operating income included $3.1 million of Pura Vida intangible asset amortization and $0.1 million of store asset impairment charges.

• During fiscal 2021, operating income included $9.2 million of Pura Vida intangible amortization and other purchase-related charges; $7.4 million of store asset impairment charges; $2.7 million of charges related to Project Novus; and $1.5 million of COVID-19related charges.

• Net income attributable to Vera Bradley, Inc. was $17.8 million in fiscal 2022 compared to $8.7 million in fiscal 2021.

• During fiscal 2022, net income attributable to Vera Bradley, Inc. included $1.8 million of Pura Vida intangible asset amortization and store impairment charges.

• During fiscal 2021, net income attributable to Vera Bradley, Inc. included $5.0 million of Pura Vida intangible asset amortization and purchase-related charges; $4.5 million of store asset impairment charges; $2.1 million of charges related to Project Novus; and $1.1 million of COVID-19related charges.

• Diluted net income per share was $0.52 in fiscal 2022 compared to $0.26 in fiscal 2021. The aforementioned charges impacted net income per share by $0.05 and $0.38 in fiscal 2022 and 2021, respectively.

• Cash, cash equivalents, and investments were $88.4 million at January 29, 2022 compared to $65.5 million at January 30, 2021.

• Capital expenditures for fiscal 2022 totaled $5.5 million compared to $5.7 million for fiscal 2021.

• Repurchases of common stock for fiscal 2022 totaled $7.7 million, or 0.9 million shares, compared to $2.9 million, or 0.4 million shares, in fiscal 2021.