Sales at Citi Trends vacation stores increased 14.8%; opening of 45 stores in 2022

Citi Trends is on track to expand its store presence in the short and long term despite slowing post-holiday traffic amid rising COVID cases.

The clothing, accessories and home goods retailer, primarily aimed at African American and Latin families, said its total sales for the nine-week holiday period ended Jan. 1 increased by 20.1 % to reach $ 204.8 million. Comparable store sales increased 14.8%.

In addition, Citi Trends said it continues to increase its gross margin, primarily driven by higher full-price sales and lower markdowns.

“After a strong holiday selling season, we have seen a drop in traffic attributed to macroeconomic trends, mainly due to the increase in COVID-19 cases impacting the wider consumer landscape,” said CEO David Makuen. “Despite the recent drop in traffic, which we believe is transient in nature, we are seeing high conversion rates, which indicates that our customers continue to find our assortment attractive. Looking ahead, we remain confident in the long-term trajectory of the company. “

For fiscal 2022, Citi Trends plans to open approximately 45 stores and also renovate 45 stores, all reflecting its improved format. The current retailer operates 602 locations in 33 states.

Its long-term strategic plans, including growing the fleet at a compound annual growth rate of 8% to 10% for a total potential of over 1,000 locations, and renovating at least 150 stores by the end of the year. year-end 2024. It also plans investments in infrastructure improvements with a focus on merchandising and supply chain.

Based on the recent disruption caused by the increase in COVID-19 cases, Citi Trends now expects its total sales for the year 2021 to be between $ 990.0 and $ 995.0 million, this which, in the middle of the range, reflects an increase of 26.7%. compared to fiscal 2020 and an increase of 26.9% over fiscal 2019. Diluted earnings per share should now be in the range of $ 6.70 to $ 6.85, compared to $ 2.00. $ 32 for fiscal 2020 and $ 1.41 for fiscal 2019.

Citi Trends, Inc. is a growing specialty retailer of clothing, accessories and home trends that spends much less, primarily for African American and Latin American families in the United States. The company For more information, visit cititrends.com or your local store.