Retro rally: Playboy is bringing back a Playmate of the Month and a new Playboy Club Concept

[Hefner Flies In]
Central Press/Hulton Archive via Getty Images

Playboy (NASDAQ:PLBY [https://seekingalpha.com/symbol/PLBY]) rallied 16% in Wednesday morning trading after reporting second quarter results.

Total revenue was up 13% during the quarter compared to a year ago to $28.1 million. The increase was due to a 105% increase in licensing revenue, which more than offset the loss of revenue from Playboy’s (NASDAQ:PLBY [https://seekingalpha.com/symbol/PLBY]) legacy digital business and a 14% increase in revenue from Honey Birdette.

During the earnings conference, Playboy (PLBY [https://seekingalpha.com/symbol/PLBY]) management said the company is now in a strong financial position with over $30 million in cash on hand and a clear plan to continue reducing debt and lowering the cost of capital. Notably, the balance sheet strength was said to give Playboy (PLBY [https://seekingalpha.com/symbol/PLBY]) the flexibility to invest confidently in the next stage of its growth.

Playboy (PLBY [https://seekingalpha.com/symbol/PLBY]) said it is working with one of the top brand agencies in the world to bring the iconic brand to life through compelling content and unforgettable experiences. The company is reintroducing the Playmate of the Month for its print publication and has launched the "Great Playmate Search." In addition, Playboy (PLBY [https://seekingalpha.com/symbol/PLBY]) is planning to relocate its corporate headquarters to Miami Beach and is developing a new Playboy Club concept there in partnership with a leading hospitality company. The location is expected to blend a luxury dining experience with an exclusive private club, designed to be as iconic as the original Playboy Mansion. "We believe Experiences will become another significant revenue driver for us in the future as we expand this concept to major markets around the world," updated PLBY.

Following the developments, Roth Capital kept a Buy rating on Playboy (PLBY [https://seekingalpha.com/symbol/PLBY]) and a price target of $3 in place. Analyst George Kelly said the transition for Playboy (PLBY [https://seekingalpha.com/symbol/PLBY]) continues as he pushed 2025-2026 estimates higher on the media stock. "Our thesis is unchanged after PLBY's 2Q report. The company continues to execute its asset-light transition and develop new license/media revenue lines, and we see potential for the balance sheet to de-leverage in the coming quarters," wrote Kelly.

Playboy was founded in 1953 in Chicago by Hugh Hefner with the help of a $1,000 loan from his mother. From the start, Playboy was both celebrated and criticized. It was seen as a symbol of sexual liberation and sophistication but also faced backlash from feminists and conservative groups who argued that it objectified women and promoted unrealistic standards of beauty. Playboy’s popularity peaked in the 1970s, with a circulation reaching 4 million and a vast business empire including merchandise and licensing. In the late 1990s, the rise of the Internet made explicit content instantly and privately available, eroding the core value proposition of Playboy’s print magazine.

MORE ON PLAYBOY

* Playboy, Inc. (PLBY) Q2 2025 Earnings Call Transcript [https://seekingalpha.com/article/4812876-playboy-inc-plby-q2-2025-earnings-call-transcript]
* Playboy: Licensing Growth Is A Major Lifeline (Rating Upgrade) [https://seekingalpha.com/article/4797868-playboy-licensing-growth-is-a-major-lifeline-rating-upgrade]
* PLBY Group, Inc. (PLBY) Q1 2025 Earnings Call Transcript [https://seekingalpha.com/article/4787437-plby-group-inc-plby-q1-2025-earnings-call-transcript]
* Playboy outlines asset-light strategy and plans for new Miami Beach club as licensing revenue jumps 105% [https://seekingalpha.com/news/4484369-playboy-outlines-asset-light-strategy-and-plans-for-new-miami-beach-club-as-licensing-revenue]
* Remember Playboy? Shares have perked up since the company returned to its roots [https://seekingalpha.com/news/4466514-remember-playboy-shares-have-perked-up-since-the-company-returned-to-its-roots]