Citi Trends Slips To Loss In Q2; Cuts FY22 Sales Forecast - Quick Facts

(RTTNews) - Citi Trends, Inc. (CTRN), a specialty value retailer of apparel, accessories and home trends, reported Wednesday that its second-quarter net loss was $2.54 million or $0.31 per share, compared to last year's net income of $12.49 million or $1.36 per share.

On average, four analysts polled by Thomson Reuters expected earnings of $0.09 per share for the quarter. Analysts' estimates typically exclude special items.

Total net sales was $185.01 million, down 22.0 percent from $237.28 last year. Analysts estimated sales of $199.59 million for the quarter.

Comparable sales decreased 24.9 percent.

Looking ahead for the second half, the company expects low single digit increase in total sales compared to first half total sales. Gross margin would remain in the high 30s to low 40s range, and operating income to be approximately in line with the second half of 2019.

Further, the company updated guidance for 2022, which includes the impact of the sale-leaseback of the Roland distribution center.

For the full year, total sales are now expected to decline 8 percent to 10 percent from the mid-point of previous guidance of $870 million. Analysts expect full-year sales of $864.02 million.

The company previously expected full- year earnings per share of $2.25 to $2.75, and sales of $860 million to $880 million.