Exhibit 99.1

CONTACT:
Jeff Unger
Vice President Investor Relations
(561) 482-9715

Destination XL Group, Inc. Reports Second-Quarter 2015 Financial Results

+11.9% DXL Comparable Sales Increase, Building On +11.3% Comp Increase in Second Quarter 2014;

Company Affirms Guidance for Fiscal 2015

CANTON, Mass., August 27, 2015 – Destination XL Group, Inc. (NASDAQ: DXLG), the largest omni-channel specialty retailer of big and tall men's apparel, today reported operating results for the second quarter of fiscal 2015.

Second-Quarter Fiscal 2015 Highlights

Management Comments

“Our outstanding second-quarter results continue to demonstrate that our long-term plan is working, as we delivered improvements in both sales and profitability,” said President and CEO David Levin. “Once again, our DXL retail stores produced a double-digit sales comp increase of +11.9%, on top of +11.3% from the second quarter last year. In fact, sales growth accelerated through the quarter, from the combination of favorable weather, increased store traffic, higher average transaction and greater sales to end-of-rack customers.

“EBITDA for the quarter was $6.8 million – a 116% increase from the second quarter of 2014. Our new DXL stores are exceeding our expectations, and our total customer growth for the first six months of 2015 has already outpaced our total customer count growth for all of fiscal 2014.  We are trending to the higher end of our guidance for fiscal 2015, and we remain on track with our fiscal 2016 projections for sales of $470 million and EBITDA of $35 million,” Levin said.

“We also are very excited to announce that after a detailed analysis of our existing Casual Male and DXL store portfolio, we have identified approximately 400 DXL store opportunities nationwide, compared with our previous estimate of 250. Increasing brand awareness, the success of our smaller footprint stores and the introduction of the DXL outlet stores enable us to expand our reach beyond previous estimates. We are generating sufficient free cash flow to fund the planned expanded roll-out, and we anticipate healthy returns on invested capital based on our experience to date. Consequently, we now expect to open 30 to 40 DXL stores per year through fiscal 2020, which we believe will translate into higher revenue and profitability than previously forecast, beginning in 2017,” Levin concluded.

Second-Quarter 2015 Results

Sales

For the second quarter of fiscal 2015, total sales rose 9.6% to $114.1 million from $104.2 million in the second quarter of fiscal 2014. The increase of $9.9 million in total sales was primarily the result of higher sales at DXL stores of $16.9 million. On a comparable basis, total transactions in the Company’s DXL stores were up 9.2% over the prior-year second quarter. The DXL stores are experiencing increased store traffic, as well as improved conversion of store traffic to top-line sales, both of which contributed to the overall increase in transactions.

Gross Margin

For the second quarter of fiscal 2015, gross margin, inclusive of occupancy costs, was 47.2%, compared with gross margin of 46.3% for the second quarter of fiscal 2014. The increase of 90 basis points was the result of a 30-basis-point improvement in occupancy costs as a percentage of total sales, due to the leveraging of sales, and a 60-basis-point improvement in merchandise margin, primarily due to lower markdowns as a result of the Company’s low clearance inventory levels.    

Selling, General & Administrative

SG&A expenses for the second quarter of fiscal 2015 were 41.3% of sales, compared with 43.3% in the second quarter of fiscal 2014. On a dollar basis, SG&A expense increased $2.0 million from the same quarter a year ago. Increased payroll, sales and corporate expenses this quarter were partially offset by a decrease in marketing expense, which was largely driven by improved advertising rates during the Company’s spring campaign. The results for the second quarter of fiscal 2015 include DXL transition costs of approximately $0.9 million, compared with $0.8 million for the second quarter of the prior year.

EBITDA from Continuing Operations

Earnings before interest, taxes, depreciation and amortization (EBITDA) from continuing operations, a non-GAAP measure, for the second quarter of fiscal 2015 were $6.8 million, compared with $3.1 million for the second quarter of fiscal 2014. The improvement was primarily driven by an increase in sales from the same quarter of the prior year.

Net Loss

Net loss for the second quarter of fiscal 2015 was $(1.0) million, or $(0.02) per diluted share, compared with a net loss of $(4.0) million, or $(0.08) per diluted share, for the second quarter of fiscal 2014. On a non-GAAP basis, assuming a normalized tax rate of 40%, adjusted net loss for the second quarter of

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fiscal 2015 was $(0.01) per diluted share, compared with $(0.05) per diluted share for the second quarter of fiscal 2014.

Cash Flow

Cash flow provided by operations for the first six months of fiscal 2015 was $6.7 million, compared with cash flow used for operations of $(2.7) million in the same period of fiscal 2014. After capital expenditures, free cash flow, a non-GAAP measure, for the first six months of fiscal 2015 improved by $11.3 million to $(10.3) million from $(21.6) million for the same period of fiscal 2014.

Capital expenditures for the first six months of fiscal 2015 were $17.0 million, compared with $18.9 million for the same period of the prior year. All capital expenditures are subject to ROIC (“Return on Invested Capital”) hurdles.

Non-GAAP measures

EBITDA from continuing operations, adjusted net loss per share and free cash flow are non-GAAP financial measures.  Please see “Non-GAAP Measures” below and a reconciliation of these non-GAAP measures to the comparable GAAP measures that follows the table below.

Balance Sheet & Liquidity

At August 1, 2015, the Company had cash and cash equivalents of $5.8 million. Total debt at August 1, 2015 consisted of $34.1 million outstanding under the Company’s credit facility, net of unamortized debt issuance costs, and approximately $29.8 million outstanding under its term loan and equipment financing notes, net of unamortized debt issuance costs. At August 1, 2015, the Company had $73.9 million of excess availability under its credit facility.  

Inventory was $123.6 million at August 1, 2015, compared with $115.2 million at January 31, 2015 and $116.0 million at August 2, 2014. The increase in inventory over both year end and last year’s second quarter is due to an increase in total store square footage and the higher mix of branded product due to having more DXL stores open. Clearance inventory represented 7.2% of total inventory in the second quarter of 2015, compared with 8.4% of total inventory in the second quarter of 2014.

Retail Store Information

The following is a summary of the store count, with respective square footage by store concept:

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Fiscal 2015 Outlook

The Company is affirming its previous earnings guidance for fiscal 2015.  The Company expects:

Conference Call

The Company will hold a conference call to review its financial results today, Thursday, August 27, 2015 at 9:00 a.m. ET. To listen to the live webcast, visit the "Investor Relations" section of the Company's website. The live call also can be accessed by dialing: (888) 417-8465. Please reference conference ID: 7785076. An archived version of the webcast may be accessed by visiting the "Events" section of the Company's website for up to one year.

During the conference call, the Company may discuss and answer questions concerning business and financial developments and trends. The Company’s responses to questions, as well as other matters

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discussed during the conference call, may contain or constitute information that has not been disclosed previously.

Non-GAAP Measures

In addition to financial measures prepared in accordance with U.S. generally accepted accounting principles (“GAAP”), this press release refers to free cash flow, EBITDA from continuing operations and adjusted net loss per diluted share. The presentation of these non-GAAP measures is not in accordance with GAAP, and should not be considered superior to or as a substitute for net income (loss), earnings (loss) per diluted share, income (loss) from continuing operations or cash flows from operating activities or any other measure of performance derived in accordance with GAAP. In addition, all companies do not calculate non-GAAP financial measures in the same manner and, accordingly, the non-GAAP measures presented in this release may not be comparable to similar measures used by other companies. The Company believes the inclusion of these non-GAAP measures helps investors gain a better understanding of the Company’s performance, especially when comparing such results to previous periods, and that they are useful as an additional means for investors to evaluate the Company's operating results, when reviewed in conjunction with the Company's GAAP financial statements.  

The Company calculates free cash flow as cash flow from operating activities less capital expenditures and less discretionary store asset acquisitions, if applicable.  EBITDA is calculated as earnings before interest, taxes, depreciation and amortization. EBITDA from continuing operations is calculated as EBITDA before discontinued operations.  Adjusted net loss per diluted share has been adjusted for a normal tax rate, assuming 40%.  Reconciliations of these non-GAAP measures to their comparable GAAP measures are provided in the tables below.

About Destination XL Group, Inc.

Destination XL Group, Inc. is the largest omni-channel specialty retailer of big & tall men's apparel with store locations throughout the United States and London, England. The retailer operates under five brands: Destination XL®, Casual Male XL, Rochester Clothing, ShoesXL and LivingXL. The Company also operates e-commerce sites at www.destinationxl.com and www.bigandtall.com. With more than 2,000 private label and name brand styles to choose from, big and tall customers are provided with a unique blend of wardrobe solutions not available at traditional retailers. The Company is headquartered in Canton, Massachusetts. For more information, please visit the Company’s investor relations website: http://investor.destinationxl.com.

Forward-Looking Statements

Certain statements and information contained in this press release constitute forward-looking statements under the federal securities laws, including statements regarding the Company’s expectations with respect to its projected sales and EBITDA for fiscal 2016 and cash flows, operating and gross profit margins, store counts, pace of store openings, costs, capital expenditures, borrowings, sales, EBITDA, profitability and earnings expectations for fiscal 2015. The discussion of forward-looking information requires management of the Company to make certain estimates and assumptions regarding the Company's strategic direction and the effect of such plans on the Company's financial

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results. The Company's actual results and the implementation of its plans and operations may differ materially from forward-looking statements made by the Company. The Company encourages readers of forward-looking information concerning the Company to refer to its filings with the Securities and Exchange Commission, including without limitation, its Annual Report on Form 10-K filed on March 25, 2015, that set forth certain risks and uncertainties that may have an impact on future results and direction of the Company, including risks relating to the Company’s execution of its DXL strategy and ability to grow its market share, its ability to predict customer tastes and fashion trends, its ability to forecast sales growth trends  and its ability to compete successfully in the United States men’s big and tall apparel market.

Forward-looking statements contained in this press release speak only as of the date of this release. Subsequent events or circumstances occurring after such date may render these statements incomplete or out of date. The Company undertakes no obligation and expressly disclaims any duty to update such statements.

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CERTAIN COLUMNS IN THE FOLLOWING TABLES MAY NOT FOOT DUE TO ROUNDING.

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