Torrid Q1 net sales fall; closes 20 stores
Torrid Q1 net sales fall; closes 20 stores
Overview
U.S. plus-size apparel retailer's Q1 net sales fell 7.6% but beat analyst expectations
Q1 adjusted EBITDA missed analyst expectations and declined from prior year
Company closed 20 stores in Q1 as part of store optimization program
Outlook
Torrid expects Q2 net sales between $232 mln and $240 mln
Company sees Q2 adjusted EBITDA between $12 mln and $16 mln
Torrid forecasts full-year net sales of $940 mln to $960 mln
Company expects full-year adjusted EBITDA of $65 mln to $75 mln
Result Drivers
SUB-BRANDS LAUNCH - Co said its portfolio of five sub-brands contributed positively to Q1 performance
OPENING PRICE POINT STRATEGY - Co said lower-priced offerings helped drive customer conversion and larger basket sizes
STORE OPTIMIZATION - Co closed 20 stores in Q1 as part of its store footprint optimization program
Company press release: ID:nBw4bH6TZa
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q1 Net sales | Beat | $245.80 mln | $241.56 mln (6 Analysts) |
Q1 Net Income |
| $414,000 |
|
Q1 Adjusted EBITDA | Miss | $17.64 mln | $20.08 mln (6 Analysts) |
Q1 Gross Profit |
| $86.82 mln |
|
Q1 Pretax Profit |
| $871,000 |
|
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 4 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the apparel & accessories retailers peer group is "buy."
Wall Street's median 12-month price target for Torrid Holdings Inc is $1.66, about 19.4% above its June 3 closing price of $1.39
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)