Irvine retailer Tilly’s Inc. (Nasdaq: TLYS) got off to a slow start with its fiscal third quarter but has managed to reverse that more recently.
A late start to the back-to-school selling period and pandemic-related restrictions on store operations drove Tilly’s declines in the quarter ended Oct. 31. However, the company reported “positive momentum” towards the end of the period that it said has continued into the current quarter.
Tilly’s reported net sales of $140.3 million in the October quarter, down 9.4% from the year-ago period. Analysts on average expected sales of $130.9 million.
Net income for the quarter totaled $2.1 million, down from $6.4 million a year ago. Analysts expected earnings to be flat in the quarter.
Black Friday traffic was impacted by COVID restrictions, but the retailer said sales at its stores since then have ticked up.
The company said it expects net sales to be down in the current quarter compared with the year-ago period’s net sales of $172.5 million.
Tilly’s shares were down 4% to $9 in after-hours trading Thursday, following the quarterly results release. The company had a recent market cap of $280 million.
