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Michaels Crafts an Unlikely Comeback Under Apollo

Financial Post - Banking - 2026-07-07

AI Summary

Michaels has undergone a significant turnaround under Apollo's ownership, marked by strategic acquisitions and store re-imagining to enhance customer experience. The company's bonds have recovered significantly, and first-quarter sales and adjusted EBITDA showed double-digit growth. While leverage remains a credit consideration, positive free cash flow is projected for 2026.

Key takeaways

  • Michaels' bonds recovered from distressed levels to near par.
  • The company reported double-digit growth in sales and EBITDA.
  • Positive free cash flow is anticipated for 2026.

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