Press release
Citi Trends Announces Second Quarter 2023 Results
Total sales of $173.6 million Significant sequential comparable store sales improvement from Q1 2023 Strong gross margin of 38.2%, expansion of 150 basis
About this update from Citi Trends, Inc.
[{"type":"text","content":"\nTotal sales of $173.6 million\n\n\nSignificant sequential comparable store sales improvement from Q1 2023\n\n\nStrong gross margin of 38.2%, expansion of 150 basis points from Q1 2023\n\n\nTotal liquidity of approximately $141 million and no debt\n\n\nCompany reiterates fiscal year 2023 guidance\n\n\n SAVANNAH, Ga.--(BUSINESS WIRE)--\nCiti Trends, Inc. (NASDAQ: CTRN), a leading specialty value retailer of apparel, accessories and home trends for way less spend primarily for African American and multicultural families in the United States, today reported results for the second quarter ended July 29, 2023.\n\n\nFinancial Highlights – Second Quarter 2023\n\n\n\nTotal sales of $173.6 million decreased 6.2% vs. Q2 2022; Comparable store sales decreased 5.3% compared to Q2 2022, an 880 bps improvement to Q1 2023\n\n\n\nGross margin of 38.2% vs. 38.1% in Q2 2022; 150 bps increase to Q1 2023\n\n\n\nOperating loss of $7.9 million, or a loss of $7.8 million as adjusted*, compared to operating loss of $3.3 million in Q2 2022\n\n\n\nNet loss per share of ($0.61), or adjusted net loss per share* of ($0.60), vs. net loss per share of ($0.31) in Q2 2022\n\n\n\nQuarter-end total dollar inventory decreased 5.4% compared to Q2 2022\n\n\n\nTotal liquidity of approximately $141 million at the end of the quarter, made up of $65.8 million of cash, no borrowings under a $75 million credit facility, and no debt\n\n\n\nDuring Q2 2023, the Company opened 5 new stores, closed 2 underperforming locations and remodeled 8 stores, ending the quarter with 611 stores\n\n\n\nFinancial Highlights – 26 weeks ended July 29, 2023\n\n\n\nTotal sales of $353.2 million decreased 10.2% vs. 2022; Comparable store sales decreased 10.0% compared to 2022\n\n\n\nGross margin of 37.5%, or 37.6% as adjusted*, vs. 38.6% in 2022\n\n\n\nOperating loss of $17.4 million, or a loss of $15.7 million as adjusted*, compared to operating income of $36.3 million in 2022, or $1.4 million as adjusted*\n\n\n\nNet loss of $11.7 million, or $10.4 million as adjusted*, compared to net income of $27.7 million in 2022, or $1.0 million as adjusted*\n\n\n\nAdjusted EBITDA* of ($6.3) million vs $12.1 million in 2022\n\n\n\nNet loss per share of ($1.42), or adjusted net loss per share* of ($1.27), vs. diluted earnings per share of $3.34 in 2022, or $0.12 as adjusted*\n\n\n\nChief Executive Officer...