Share this article:

Irvine-based Tilly's Inc. shares fell in after-hours trading Wednesday after the retailer said it expects business to be tough in the current quarter.

Tilly's shares were down about 6% to a market value of $358.57 million.

The company operates a chain of nearly 200 stores selling clothing, footwear and accessories inspired by action sports, music and art.

Get the latest OC business and Coronavirus updates

Tilly's said it expects "volatile and weak traffic trends and a highly promotional environment in teen retail" to continue for its current quarter. It said it expects comparable store sales for the period to be down in the mid-single digits.

The company projected net income for the current quarter in the range of flat to $1.14 million. That's down from the $2.3 million it reported a year ago and off from the $2.56 million analysts had projected.

Tilly's did not provide revenue guidance. Analysts expect net sales of $118.67 million.

The guidance followed results for the quarter ended Feb. 1 that included net income of $5.4 million, edging past the $5.12 million Wall Street analysts expected.

February quarter revenue fell less than 1% to $139.9 million, slightly higher than the $139.75 million analysts projected.

Quarterly same-store sales were off 4.9%.

“While fourth-quarter results were as expected, we are not satisfied with this level of financial performance,” said Tilly's President and Chief Executive Daniel Griesemer in a statement. “I am, however, pleased with how we navigated the challenging retail environment, which reflects the disciplined execution by our team.”

Tilly's had full-year net sales of $495.8 million, up 6.1%.

The company's net income fell to $18.1 million for the fiscal year, compared to $23.9 million a year ago.

Comparable sales for the year rose 1.9%.