Torrid Holdings Inc. Fair Value Disclosure
| January 31, 2026 | Quoted Prices in Active Markets for Identical Items (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||
| Assets: | |||||||||||||||||||||||
| Money market funds (cash equivalent) | $ | 124 | $ | 124 | $ | — | $ | — | |||||||||||||||
| Total assets | $ | 124 | $ | 124 | $ | — | $ | — | |||||||||||||||
| Liabilities: | |||||||||||||||||||||||
| Unvested RCU liability (current) | $ | 631 | $ | 631 | $ | — | $ | — | |||||||||||||||
| Deferred compensation plan liability (current) | 153 | — | 153 | — | |||||||||||||||||||
| Deferred compensation plan liability (noncurrent) | 4,039 | — | 4,039 | — | |||||||||||||||||||
| Total liabilities | $ | 4,823 | $ | 631 | $ | 4,192 | $ | — | |||||||||||||||
| February 1, 2025 | Quoted Prices in Active Markets for Identical Items (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||
| Assets: | |||||||||||||||||||||||
| Money market funds (cash equivalent) | $ | 31,727 | $ | 31,727 | $ | — | $ | — | |||||||||||||||
| Total assets | $ | 31,727 | $ | 31,727 | $ | — | $ | — | |||||||||||||||
| Liabilities: | |||||||||||||||||||||||
| Unvested RCU liability (current) | $ | 2,874 | $ | 2,874 | $ | — | $ | — | |||||||||||||||
| Deferred compensation plan liability (current) | 1,767 | — | 1,767 | — | |||||||||||||||||||
| Deferred compensation plan liability (noncurrent) | 3,913 | — | 3,913 | — | |||||||||||||||||||
| Total liabilities | $ | 8,554 | $ | 2,874 | $ | 5,680 | $ | — | |||||||||||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2026 | Mar 31, 2026 | Showing above |
| 2025 | Apr 1, 2025 | |
| 2024 | Apr 2, 2024 | |
| 2023 | Mar 28, 2023 | |
| 2022 | Mar 30, 2022 | |
About Fair Value Disclosures
Fair value disclosures classify all assets and liabilities measured at fair value into a three-level hierarchy: Level 1 (quoted market prices), Level 2 (observable inputs like yield curves), and Level 3 (unobservable inputs requiring management estimates). The proportion of Level 3 assets directly reflects how much of the balance sheet depends on internal models rather than market evidence.
Key signals: a growing Level 3 balance relative to total fair-value assets increases valuation uncertainty and earnings volatility risk. Watch for transfers between levels — assets moving from Level 2 to Level 3 often signal deteriorating market liquidity. Unrealized gains and losses on Level 3 positions flow through earnings or other comprehensive income, so large swings deserve scrutiny. For financial institutions, examine the sensitivity disclosures that show how Level 3 valuations change under alternative assumptions. Compare the fair value of debt against its carrying amount to gauge hidden leverage.