Citi Trends, Inc. (NASDAQ: CTRN) today reported results for the
fourth quarter and fiscal year ended January 31, 2009.
Financial Highlights � Fourth
quarter ended January 31, 2009
Total sales in the fourth quarter ended January 31, 2009
increased 8.9% to $146.6 million compared with $134.6 million in
the quarter ended February 2, 2008. Comparable store sales
decreased 1.9% in the fourth quarter.
Net income in the fourth quarter of 2008 increased 20.0% to
$10.1 million compared with $8.4 million in last year�s fourth
quarter. Earnings per diluted share increased to $0.70 in the
fourth quarter of 2008 compared with $0.59 in the fourth quarter of
2007. Strong control of inventory levels resulted in a significant
reduction in merchandise markdowns in this year�s fourth quarter,
more than offsetting the negative comparable store sales.
The Company opened 16 stores in the fourth quarter of 2008,
reaching a total store count of 357 at the end of the year.
Financial Highlights � Fiscal
year ended January 31, 2009
Total sales in the fiscal year ended January 31, 2009 increased
11.6% to $488.2 million compared with $437.5 million in fiscal
2007. Comparable store sales were flat for the full year.
Net income increased 22.3% to $17.4 million in 2008 compared
with $14.2 million in 2007. Earnings per diluted share increased to
$1.22 in 2008 compared with $1.00 in the prior year.
The Company opened 39 stores, relocated or expanded 9 others,
and closed 1 store in fiscal 2008.
Fiscal 2009
Outlook
The Company estimates 2009 earnings of approximately $1.30 per
diluted share. This guidance includes an anticipated 2009
comparable store sales increase of approximately 3%. For the year,
the Company expects to increase selling square footage by at least
15%. Tax-free interest income is expected to decline based on
existing market rates.
The Company reminds investors of the complexity of accurately
assessing future results given the difficulty in predicting fashion
trends, consumer preferences and general economic conditions and
the impact of other business variables. See �Forward-Looking
Statements� below for more information regarding these
uncertainties.
Investor Conference Call and
Webcast
Citi Trends will host a conference call today at 5:00 p.m. ET.
The number to call for the live interactive teleconference is
(303)�228-2960. A replay of the conference call will be available
until April 1, 2009, by dialing (303)�590-3000 and entering the
passcode, 11124062#. The live broadcast of Citi Trends' quarterly
conference call will be available online at the Company's website,
www.cititrends.com, as well as http://ir.cititrends.com/events.cfm,
beginning today at 5:00 p.m. ET. The online replay will follow
shortly after the call and continue until April 1, 2009.
During the conference call, the Company may discuss and answer
questions concerning business and financial developments and
trends. The Company�s responses to questions, as well as other
matters discussed during the conference call, may contain or
constitute information that has not been disclosed previously.
About Citi
Trends
Citi Trends, Inc. is a value-priced retailer of urban fashion
apparel and accessories for the entire family. The Company
currently operates 361 stores located in 22 states in the
Southeast, Mid-Atlantic and Midwest regions and the state of Texas.
Citi Trends� website address is www.cititrends.com. CTRN-E
Forward-Looking Statements
All statements other than historical facts contained in this
news release, including statements regarding our future financial
results and position, business policy and plans and objectives of
management for future operations, are forward-looking statements
that are subject to material risks and uncertainties. The words
"believe," "may," "could," "plans," "estimate," "continue,"
"anticipate," "intend," "expect" and similar expressions, as they
relate to Citi Trends, are intended to identify forward-looking
statements. Statements with respect to earnings guidance are
forward-looking statements. Investors are cautioned that any such
forward-looking statements are subject to the finalization of the
Company�s year-end financial and accounting procedures, are not
guarantees of future performance or results and are inherently
subject to risks and uncertainties, some of which cannot be
predicted or quantified. Actual results or developments may differ
materially from those included in the forward-looking statements,
as a result of various factors which are discussed in Citi Trends,
Inc. filings with the Securities and Exchange Commission. These
risks and uncertainties include, but are not limited to,
uncertainties relating to economic conditions, growth risks,
consumer spending patterns, competition within the industry,
competition in our markets and the ability to anticipate and
respond to fashion trends. Except as required by applicable law,
including the securities laws of the United States and the rules
and regulations of the Securities and Exchange Commission, Citi
Trends does not undertake to publicly update any forward-looking
statements in this news release or with respect to matters
described herein, whether as a result of any new information,
future events or otherwise.
CITI TRENDS, INC. CONDENSED STATEMENTS OF INCOME
(unaudited) (in thousands, except per share data) � �
�
Thirteen Weeks Ended Thirteen Weeks Ended
January 31, 2009 February 2, 2008 (unaudited)
(unaudited) Net sales $ 146,603 $ 134,571 Cost of sales � 90,695 �
� 87,145 � Gross profit 55,908 47,426 Selling, general and
administrative expenses 37,409 32,892 Depreciation and amortization
� 4,346 � � 3,488 � Income from operations 14,153 11,046 Interest
income 280 680 Interest expense � (51 ) � (97 ) Income before
income tax expense 14,382 11,629 Income tax expense � 4,326 � �
3,251 � Net income $ 10,056 � $ 8,378 � � Basic net income per
common share $ 0.71 $ 0.60 Diluted net income per common share $
0.70 $ 0.59 � Weighted average number of shares outstanding Basic
14,241 14,034 Diluted 14,290 14,188
CITI TRENDS, INC.
CONDENSED STATEMENTS OF INCOME (unaudited) (in
thousands, except per share data) � � �
Fifty-Two Weeks
Ended Fifty-Two Weeks Ended January 31, 2009
February 2, 2008 (unaudited) (unaudited) Net sales $ 488,202
$ 437,515 Cost of sales � 301,867 � � 278,783 � Gross profit
186,335 158,732 Selling, general and administrative expenses
147,009 127,470 Depreciation and amortization � 16,261 � � 12,583 �
Income from operations 23,065 18,679 Interest income 2,495 2,383
Interest expense � (307 ) � (469 ) Income before income tax expense
25,253 20,593 Income tax expense � 7,870 � � 6,379 � Net income $
17,383 � $ 14,214 � � Basic net income per common share $ 1.23 $
1.02 Diluted net income per common share $ 1.22 $ 1.00 � Weighted
average number of shares outstanding Basic 14,131 13,946 Diluted
14,269 14,223
CITI TRENDS, INC. CONDENSED BALANCE
SHEETS (unaudited) (in thousands) � �
January
31, 2009 February 2, 2008 (unaudited) (unaudited)
Assets: Cash and cash equivalents $ 33,516 $ 6,203 Investment
securities - current --- 56,165 Inventory 86,259 82,420 Other
current assets 14,072 8,726 Property and equipment, net 58,861
52,207 Investment securities - noncurrent 43,825 --- Other
noncurrent assets � 4,256 � 4,456 Total assets $ 240,789 $ 210,177
� Liabilities and Stockholders' Equity: Accounts payable $ 52,295 $
43,566 Accrued liabilities 18,992 17,089 Other current liabilities
2,649 3,370 Noncurrent liabilities � 8,646 � 8,005 Total
liabilities 82,582 72,030 � Total stockholders' equity � 158,207 �
138,147 Total liabilities and stockholders' equity $ 240,789 $
210,177
Citi Trends (NASDAQ:CTRN)
Historical Stock Chart
From Sep 2024 to Oct 2024
Citi Trends (NASDAQ:CTRN)
Historical Stock Chart
From Oct 2023 to Oct 2024