Torrid Reports Fourth Quarter and Fiscal 2024 Results and Initiates Fiscal 2025 Guidance
Torrid Holdings (NYSE: CURV) reported Q4 and fiscal 2024 results, showing mixed performance. Q4 net sales decreased 6.1% to $275.6 million, with a narrowed net loss of $3.0 million compared to $4.1 million last year. Comparable sales declined 0.8%, while gross profit margin decreased to 33.6%.
For full fiscal 2024, net sales decreased 4.2% to $1,103.7 million, though net income improved to $16.3 million ($0.16 per share) from $11.6 million. The company ended the year with $48.5 million in cash and total liquidity of $158.0 million.
Looking ahead, Torrid projects Q1 fiscal 2025 net sales between $264-274 million and full-year fiscal 2025 net sales of $1.080-1.100 billion. The company closed 35 stores and opened 14 new locations in 2024, ending with 634 total stores.
Torrid Holdings (NYSE: CURV) ha riportato i risultati del quarto trimestre e dell'anno fiscale 2024, mostrando una performance mista. Le vendite nette del quarto trimestre sono diminuite del 6,1% a 275,6 milioni di dollari, con una perdita netta ridotta a 3,0 milioni di dollari rispetto ai 4,1 milioni dell'anno precedente. Le vendite comparabili sono diminuite dello 0,8%, mentre il margine di profitto lordo è sceso al 33,6%.
Per l'intero anno fiscale 2024, le vendite nette sono diminuite del 4,2% a 1.103,7 milioni di dollari, sebbene il reddito netto sia migliorato a 16,3 milioni di dollari (0,16 dollari per azione) rispetto agli 11,6 milioni. L'azienda ha chiuso l'anno con 48,5 milioni di dollari in contante e una liquidità totale di 158,0 milioni di dollari.
Guardando al futuro, Torrid prevede vendite nette nel primo trimestre dell'anno fiscale 2025 tra 264 e 274 milioni di dollari e vendite nette per l'intero anno fiscale 2025 tra 1,080 e 1,100 miliardi di dollari. L'azienda ha chiuso 35 negozi e aperto 14 nuove sedi nel 2024, chiudendo con un totale di 634 negozi.
Torrid Holdings (NYSE: CURV) informó sobre los resultados del cuarto trimestre y del año fiscal 2024, mostrando un desempeño mixto. Las ventas netas del cuarto trimestre disminuyeron un 6.1% a 275.6 millones de dólares, con una pérdida neta reducida a 3.0 millones de dólares en comparación con 4.1 millones del año pasado. Las ventas comparables cayeron un 0.8%, mientras que el margen de ganancia bruta disminuyó al 33.6%.
Para el año fiscal completo 2024, las ventas netas disminuyeron un 4.2% a 1,103.7 millones de dólares, aunque el ingreso neto mejoró a 16.3 millones de dólares (0.16 dólares por acción) desde 11.6 millones. La empresa terminó el año con 48.5 millones de dólares en efectivo y una liquidez total de 158.0 millones de dólares.
De cara al futuro, Torrid proyecta ventas netas en el primer trimestre del año fiscal 2025 entre 264 y 274 millones de dólares y ventas netas para el año fiscal 2025 de entre 1.080 y 1.100 mil millones de dólares. La empresa cerró 35 tiendas y abrió 14 nuevas ubicaciones en 2024, terminando con un total de 634 tiendas.
토리드 홀딩스 (NYSE: CURV)는 2024 회계연도 4분기 및 전체 결과를 보고하며 혼합된 실적을 보였습니다. 4분기 순매출은 2억 7560만 달러로 6.1% 감소하였고, 순손실은 작년 410만 달러에서 300만 달러로 축소되었습니다. 동Comparable 매출은 0.8% 감소하였고, 총 이익률은 33.6%로 하락했습니다.
2024 회계연도의 전체 순매출은 11억 3700만 달러로 4.2% 감소하였지만, 순이익은 1160만 달러에서 1630만 달러(주당 0.16달러)로 개선되었습니다. 회사는 연말에 4850만 달러의 현금과 총 유동성 1억 5800만 달러를 보유하고 있었습니다.
앞으로 토리드는 2025 회계연도 1분기 순매출을 2억 6400만~2억 7400만 달러로 예상하며, 2025 회계연도 전체 순매출은 10억 8000만~11억 달러로 예상하고 있습니다. 이 회사는 2024년에 35개의 매장을 폐쇄하고 14개의 새로운 매장을 열어 총 634개의 매장으로 마감했습니다.
Torrid Holdings (NYSE: CURV) a publié les résultats du quatrième trimestre et de l'exercice 2024, montrant une performance mitigée. Les ventes nettes du quatrième trimestre ont diminué de 6,1 % pour atteindre 275,6 millions de dollars, avec une perte nette réduite à 3,0 millions de dollars par rapport à 4,1 millions l'année dernière. Les ventes comparables ont baissé de 0,8 %, tandis que la marge brute a chuté à 33,6 %.
Pour l'ensemble de l'exercice 2024, les ventes nettes ont diminué de 4,2 % pour atteindre 1,103,7 millions de dollars, bien que le résultat net se soit amélioré à 16,3 millions de dollars (0,16 dollar par action) contre 11,6 millions. L'entreprise a terminé l'année avec 48,5 millions de dollars en liquidités et une liquidité totale de 158,0 millions de dollars.
Pour l'avenir, Torrid prévoit des ventes nettes au premier trimestre de l'exercice 2025 entre 264 et 274 millions de dollars et des ventes nettes pour l'ensemble de l'exercice 2025 entre 1,080 et 1,100 milliard de dollars. L'entreprise a fermé 35 magasins et ouvert 14 nouveaux emplacements en 2024, pour un total de 634 magasins.
Torrid Holdings (NYSE: CURV) hat die Ergebnisse für das 4. Quartal und das Geschäftsjahr 2024 veröffentlicht, die eine gemischte Leistung zeigen. Die Nettoumsätze im 4. Quartal sanken um 6,1% auf 275,6 Millionen Dollar, während der Nettoverlust auf 3,0 Millionen Dollar im Vergleich zu 4,1 Millionen Dollar im Vorjahr verringert wurde. Die vergleichbaren Verkaufszahlen fielen um 0,8%, während die Bruttogewinnmarge auf 33,6% sank.
Für das gesamte Geschäftsjahr 2024 sanken die Nettoumsätze um 4,2% auf 1.103,7 Millionen Dollar, obwohl der Nettogewinn auf 16,3 Millionen Dollar (0,16 Dollar pro Aktie) von 11,6 Millionen Dollar anstieg. Das Unternehmen beendete das Jahr mit 48,5 Millionen Dollar in bar und einer Gesamtl liquidität von 158,0 Millionen Dollar.
Für die Zukunft prognostiziert Torrid Nettoumsätze im 1. Quartal des Geschäftsjahres 2025 zwischen 264 und 274 Millionen Dollar und Nettoumsätze für das gesamte Geschäftsjahr 2025 zwischen 1,080 und 1,100 Milliarden Dollar. Das Unternehmen schloss 35 Filialen und eröffnete 14 neue Standorte im Jahr 2024 und schloss mit insgesamt 634 Filialen ab.
- Net loss improved to $3.0M in Q4 from $4.1M year-over-year
- Full-year net income increased to $16.3M from $11.6M
- Strong financial position with $158.0M in total liquidity
- Improved full-year gross profit margin to 37.5% from 35.2%
- Operating cash flow increased to $77.4M from $42.8M
- Q4 net sales declined 6.1% to $275.6M
- Q4 comparable sales decreased 0.8%
- Full-year net sales decreased 4.2% to $1,103.7M
- Q4 gross profit margin declined 90 basis points to 33.6%
- Net store count decreased by 21 locations in fiscal 2024
Insights
Torrid's Q4 and FY2024 results reveal a strategic transition despite top-line pressure. The company delivered Q4 net sales of $275.6 million (above guidance but down 6.1% year-over-year) and reduced quarterly net loss to
The improved profitability metrics are noteworthy. Full-year net income increased to
Torrid's liquidity position has strengthened considerably, with
The FY2025 guidance suggests caution, projecting net sales of
Torrid's results reflect a deliberate pivot toward optimizing their retail footprint while enhancing margin performance. The company closed 22 stores in Q4 alone and 35 stores for the full year versus opening only 14, ending with 634 total locations. This active store portfolio management is likely contributing to the improved profitability metrics despite the sales decline.
The emphasis on "high-growth, higher margin sub-brands" represents a sophisticated merchandising approach for a plus-size specialty retailer. By developing distinct sub-brands, Torrid is creating multiple entry points for customers within their size 10-30 demographic, potentially capturing different style preferences and price points. Management specifically noted these initiatives are attracting "new and younger customer engagement" – critical for long-term brand health in specialty apparel.
The "halo effect" mentioned suggests these sub-brands are driving increased interest across their core offerings. This cross-shopping behavior typically leads to higher average order values and increased purchase frequency. The company's reference to "incremental lifestyle purchases" indicates they're successfully expanding their share of wallet among existing customers.
Their planned capital expenditures (
- Delivered Fourth Quarter Net Sales above guidance
-
Fourth Quarter Net Loss of
compared to prior year’s Net Loss of$3.0 million $4.1 million - Exceeded Fourth Quarter Adjusted EBITDA(1) guidance
-
Financial condition strong with year-end cash of
and liquidity of$48.5 million $158.0 million - Initiates Fiscal 2025 Guidance
Lisa Harper, Chief Executive Officer, stated, “We successfully closed fiscal 2024 with positive results, fueled by product innovation in our core assortment and strong customer response to the launch of our high-growth, higher margin sub-brands. Thoughtful growth of our well received sub-brands set the stage for elevated, new and younger customer engagement, incremental lifestyle purchases, as well as creating a halo effect across the business. Combining our successful sub-brand assortment initiatives with our commitment to modernizing and evolving our core Torrid offerings gives me great confidence in the long-term health and growth prospects of our business.”
Harper continued, “As we enter 2025, our strategic priorities are clear: enhancing our product assortment, driving customer growth, and executing our store optimization plan. Our ongoing store optimization strategy includes balancing our fleet, enhancing store economics, refreshing store environments, and aligning our sales channels more closely with customer demand—allowing us to further accelerate customer growth.”
“Our fiscal first quarter was off to a choppy start; however, trends have been steadily improving as the quarter has progressed. Our disciplined inventory management, targeted marketing investments, and our diversified supply chain, coupled with our strong financial condition provides us the confidence and flexibility to navigate the current dynamic macro environment, while strategically investing in areas of our business which we believe will fuel long-term profitable growth,” concluded Harper.
Financial Highlights for the Fourth Quarter of Fiscal 2024
-
Net sales decreased
6.1% to compared to$275.6 million for the fourth quarter of last year. Comparable sales(2) decreased$293.5 million 0.8% in the fourth quarter. As a reminder, last year included an additional in sales for the 53rd week.$21.7 million -
Gross profit margin was
33.6% compared to34.5% in the fourth quarter of last year. The 90-bps decline was primarily driven by lower sales. -
Net loss of
, or ($3.0 million ) per share, compared to a net loss of$0.03 , or ($4.1 million ) per share, in the fourth quarter of last year.$0.04 -
Adjusted EBITDA(1) was
, or$16.7 million 6.1% of net sales, compared to , or$16.4 million 5.6% of net sales, in the fourth quarter of last year. Last year included for the 53rd week.$2.3 million - In the fourth quarter, we opened 1 Torrid store and closed 22 Torrid stores. The total store count at quarter end was 634 stores.
Financial Highlights for the Full Year of Fiscal 2024
-
Net sales decreased
4.2% to compared to$1,103.7 million last year. Comparable sales(2) decreased$1,151.9 million 4.5% compared to last year. -
Gross profit margin was
37.5% compared to35.2% last year. -
Net income of
, or$16.3 million per share, compared to net income of$0.16 , or$11.6 million per share last year.$0.11 -
Adjusted EBITDA(1) was
, or$109.1 million 9.9% of net sales, compared to , or$106.2 million 9.2% of net sales, last year. - Opened 14 Torrid stores and closed 35 Torrid stores. The total store count at year end was 634 stores.
Full Year Fiscal 2024 Financial and Operating Metrics
|
Fiscal Year Ended |
||||||
|
(in thousands, except number of stores and percentages) |
||||||
|
February 1, 2025 |
February 3, 2024 |
Year over Year Change |
||||
Net sales |
$ |
1,103,737 |
|
$ |
1,151,945 |
|
(4)% |
Comparable sales(A) |
|
(5 |
)% |
|
(12 |
)% |
|
Number of stores (as of end of period) |
|
634 |
|
|
655 |
|
|
Net income |
$ |
16,318 |
|
$ |
11,619 |
|
|
Adjusted EBITDA(B) |
$ |
109,120 |
|
$ |
106,219 |
|
|
(A) The computation of fiscal 2024 comparable sales compares sales in fiscal 2024 to sales in the 52-week period ended February 3, 2024. The computation of fiscal 2023 comparable sales compares sales in fiscal 2023 to sales in the 53-week period ended February 4, 2023. (B) Please refer to "Non-GAAP Reconciliation" below for a reconciliation of Net (loss) income to Adjusted EBITDA. |
Balance Sheet and Cash Flow
Cash and cash equivalents at the end of fiscal 2024 totaled
Cash flow from operations for the twelve-month period ended February 1, 2025 was
Outlook
For the first quarter of fiscal 2025 the Company expects:
-
Net sales between
and$264 million .$274 million -
Adjusted EBITDA(1) between
and$24 million .$28 million
For the full year fiscal 2025 the Company expects:
-
Net sales between
and$1.08 0 billion .$1.10 0 billion -
Adjusted EBITDA(1) between
and$100 million .$110 million -
Capital expenditures between
and$15 million reflecting infrastructure and technology investments as well as between 4 and 8 new stores for the year.$20 million
The above outlook is based on several assumptions, including, but not limited to, the macroeconomic challenges in the industry in fiscal 2025 as well as higher labor costs. The above outlook does not take into consideration the volatility of tariff changes or its impact on inflation or consumer demand. See “Forward-Looking Statements” for additional information.
Conference Call Details
A conference call to discuss the Company’s fourth quarter and fiscal 2024 results is scheduled for March 20, 2025, at 4:30 p.m. ET. Those who wish to participate in the call may do so by dialing (877) 407-9208 or (201) 493-6784 for international callers. The conference call will also be webcast live at https://investors.torrid.com. For those unable to participate, a replay of the conference call will be available approximately three hours after the conclusion of the call until March 27, 2025.
Notes
(1) |
|
Adjusted EBITDA is a non-GAAP financial measure. See “Non-GAAP Financial Measures” and “Non-GAAP Reconciliation” for additional information on non-GAAP financial measures and the accompanying table for a reconciliation to the most comparable GAAP measure. The Company does not provide reconciliations of the forward-looking non-GAAP measures of Adjusted EBITDA to the most directly comparable forward-looking GAAP measure because the timing and amount of excluded items are unreasonably difficult to fully and accurately estimate. For the same reasons, the Company is unable to address the probable significance of the unavailable information, which could be material to future results. |
|
|
|
(2) |
|
Comparable sales for any given period are defined as the sales of Torrid’s e-Commerce operations and stores that it has included in its comparable sales base during that period. The Company includes a store in its comparable sales base after it has been open for 15 full fiscal months. If a store is closed during a fiscal year, it is only included in the computation of comparable sales for the full fiscal months in which it was open. Partial fiscal months are excluded from the computation of comparable sales. Fiscal 2024 comparable sales compares sales in fiscal 2024 to sales in the 52-week period ended February 3, 2024. Fiscal 2023 comparable sales compares sales in fiscal 2023 to sales in the 53-week period ended February 4, 2023. Comparable sales allow the Company to evaluate how its unified commerce business is performing exclusive of the effects of new store openings. The Company applies current year foreign currency exchange rates to both current year and prior year comparable sales to remove the impact of foreign currency fluctuation and achieve a consistent basis for comparison. |
About Torrid
TORRID is a direct-to-consumer brand in
Non-GAAP Financial Measures
In addition to results determined in accordance with accounting principles generally accepted in
Adjusted EBITDA is a supplemental measure of our operating performance that is neither required by, nor presented in accordance with, GAAP and our calculations thereof may not be comparable to similarly titled measures reported by other companies. Adjusted EBITDA represents GAAP net income (loss) plus interest expense less interest income, net of other expense (income), plus provision for (benefit from) income taxes, depreciation and amortization (“EBITDA”), and share-based compensation, non-cash deductions and charges, and other expenses.
We believe Adjusted EBITDA facilitates operating performance comparisons from period to period by isolating the effects of certain items that vary from period to period without any correlation to ongoing operating performance. We also use Adjusted EBITDA as one of the primary methods for planning and forecasting the overall expected performance of our business and for evaluating on a quarterly and annual basis, actual results against such expectations.
Further, we recognize Adjusted EBITDA as a commonly used measure in determining business value and, as such, use it internally to report and analyze our results and as a benchmark to determine certain non-equity incentive payments made to executives.
Adjusted EBITDA has limitations as an analytical tool. This measure is not a measurement of our financial performance under GAAP and should not be considered in isolation or as an alternative to or substitute for net income (loss), income (loss) from operations, earnings (loss) per share or any other performance measures determined in accordance with GAAP or as an alternative to cash flows from operating activities as a measure of our liquidity. Our presentation of Adjusted EBITDA should not be construed as an inference that our future results will be unaffected by unusual or non-recurring items.
Forward-Looking Statements
Certain statements made in this earnings release are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”) and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and are subject to the safe harbor created thereby under the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical or current fact included in this earnings release are forward-looking statements. Forward-looking statements reflect our current expectations and projections relating to our financial condition, results of operations, plans, objectives, future performance and business. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. These statements may include words such as “anticipate,” “estimate,” “expect,” “project,” “plan,” “intend,” “believe,” “may,” “will,” “should,” “can have,” “likely” and other words and terms of similar meaning (including their negative counterparts or other various or comparable terminology).
For example, all statements we make relating to our expected first quarter of fiscal 2025, our full year fiscal 2025 performance and our plans and objectives for future operations, growth or initiatives are forward-looking statements. All forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those that we expected, including:
- changes in consumer spending and general economic conditions;
- the negative impact on interest expense as a result of high interest rates;
- inflationary pressures with respect to labor and raw materials and global supply chain constraints that could increase our expenses;
- the adverse impact of rulemaking changes implemented by the Consumer Financial Protection Bureau on our income streams, profitability and results of operations;
- our ability to identify and respond to new and changing product trends, customer preferences and other related factors;
- our dependence on a strong brand image;
- increased competition from other brands and retailers;
- our reliance on third parties to drive traffic to our website;
- the success of the shopping centers in which our stores are located;
- our ability to adapt to consumer shopping preferences and develop and maintain a relevant and reliable omni-channel experience for our customers;
- our dependence upon independent third parties for the manufacture of all of our merchandise;
- availability constraints and price volatility in the raw materials used to manufacture our products;
- interruptions of the flow of our merchandise from international manufacturers causing disruptions in our supply chain;
-
our sourcing a significant amount of our products from
China ; - shortages of inventory, delayed shipments to our e-Commerce customers and harm to our reputation due to difficulties or shut-down of our distribution facility;
- our reliance upon independent third-party transportation providers for substantially all of our product shipments;
- our growth strategy;
- our failure to attract and retain employees that reflect our brand image, embody our culture and possess the appropriate skill set;
- damage to our reputation arising from our use of social media, email and text messages;
- our reliance on third parties for the provision of certain services, including real estate management;
- our dependence upon key members of our executive management team;
- our reliance on information systems;
- system security risk issues that could disrupt our internal operations or information technology services;
- unauthorized disclosure of sensitive or confidential information, whether through a breach of our computer system, third-party computer systems we rely on, or otherwise;
- our failure to comply with federal and state laws and regulations and industry standards relating to privacy, data protection, advertising and consumer protection;
- payment-related risks that could increase our operating costs or subject us to potential liability;
- claims made against us resulting in litigation;
- changes in laws and regulations applicable to our business;
- regulatory actions or recalls arising from issues with product safety;
- our inability to protect our trademarks or other intellectual property rights;
- our substantial indebtedness and lease obligations;
- restrictions imposed by our indebtedness on our current and future operations;
- changes in tax laws or regulations or in our operations that may impact our effective tax rate;
- the possibility that we may recognize impairments of definite-lived assets;
- our failure to maintain adequate internal control over financial reporting; and
- the threat of war, terrorism or other catastrophes, including natural disasters, that could negatively impact our business.
The outcome of the events described in any of our forward-looking statements are also subject to risks, uncertainties and other factors described in the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Annual Report on Form 10-K filed with the Securities and Exchange Commission (“SEC”) on April 2, 2024 and in our other filings with the SEC and public communications. You should evaluate all forward-looking statements made in this communication in the context of these risks and uncertainties.
We derive many of our forward-looking statements from our operating budgets and forecasts, which are based upon many detailed assumptions. While we believe that our assumptions are reasonable, we caution that it is very difficult to predict the effect of known factors, and it is impossible for us to anticipate all factors that could affect our actual results. We caution you that the important factors referenced above may not include all of the factors that are important to you. In addition, we cannot assure you that we will realize the results or developments we expect or anticipate or, even if substantially realized, that they will result in the outcomes or affect us or our operations in the way we expect. The forward-looking statements included in this earnings release are made only as of the date hereof. We undertake no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise except to the extent required by law. Our forward-looking statements do not reflect the potential impact of any future acquisitions, mergers, dispositions, joint ventures or investments.
Investors and others should note that we may announce material information to our investors using our investor relations website (https://investors.torrid.com), SEC filings, press releases, public conference calls and webcasts. We use these channels, as well as social media, to communicate with our investors and the public about our company, our business and other issues. It is possible that the information that we post on social media could be deemed to be material information. We therefore encourage investors to visit these websites from time to time. The information contained on such websites and social media posts is not incorporated by reference into this filing. Further, our references to website URLs in this filing are intended to be inactive textual references only.
|
|||||||||||||||
TORRID HOLDINGS INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS) INCOME (UNAUDITED) (In thousands, except per share data) |
|||||||||||||||
|
Three Months Ended |
|
Twelve Months Ended |
||||||||||||
|
February 1,
|
|
February 3,
|
|
February 1,
|
|
February 3,
|
||||||||
Net sales |
$ |
275,562 |
|
|
$ |
293,539 |
|
|
$ |
1,103,737 |
|
|
$ |
1,151,945 |
|
Cost of goods sold |
|
182,927 |
|
|
|
192,382 |
|
|
|
690,266 |
|
|
|
745,967 |
|
Gross profit |
|
92,635 |
|
|
|
101,157 |
|
|
|
413,471 |
|
|
|
405,978 |
|
Selling, general and administrative expenses |
|
73,829 |
|
|
|
80,631 |
|
|
|
302,032 |
|
|
|
293,331 |
|
Marketing expenses |
|
15,356 |
|
|
|
16,511 |
|
|
|
54,231 |
|
|
|
55,499 |
|
Income from operations |
|
3,450 |
|
|
|
4,015 |
|
|
|
57,208 |
|
|
|
57,148 |
|
Interest expense |
|
8,330 |
|
|
|
10,372 |
|
|
|
35,633 |
|
|
|
39,203 |
|
Interest income, net of other expense (income) |
|
348 |
|
|
|
(328 |
) |
|
|
(28 |
) |
|
|
(90 |
) |
(Loss) income before (benefit from) provision for income taxes |
|
(5,228 |
) |
|
|
(6,029 |
) |
|
|
21,603 |
|
|
|
18,035 |
|
(Benefit from) provision for income taxes |
|
(2,240 |
) |
|
|
(1,959 |
) |
|
|
5,285 |
|
|
|
6,416 |
|
Net (loss) income |
$ |
(2,988 |
) |
|
$ |
(4,070 |
) |
|
$ |
16,318 |
|
|
$ |
11,619 |
|
|
|
|
|
|
|
|
|
||||||||
Net (loss) earnings per share: |
|
|
|
|
|
|
|
||||||||
Basic |
$ |
(0.03 |
) |
|
$ |
(0.04 |
) |
|
$ |
0.16 |
|
|
$ |
0.11 |
|
Diluted |
$ |
(0.03 |
) |
|
$ |
(0.04 |
) |
|
$ |
0.15 |
|
|
$ |
0.11 |
|
Weighted average number of shares: |
|
|
|
|
|
|
|
||||||||
Basic |
|
104,137 |
|
|
|
104,137 |
|
|
|
104,564 |
|
|
|
103,990 |
|
Diluted |
|
104,137 |
|
|
|
104,137 |
|
|
|
105,684 |
|
|
|
104,400 |
|
|
|
|
|
|
|
|
|
||||||||
Other comprehensive (loss) income: |
|
|
|
|
|
|
|
||||||||
Foreign currency translation adjustment |
|
(311 |
) |
|
|
162 |
|
|
|
(585 |
) |
|
|
(52 |
) |
Total other comprehensive (loss) income |
|
(311 |
) |
|
|
162 |
|
|
|
(585 |
) |
|
|
(52 |
) |
Comprehensive (loss) income |
$ |
(3,299 |
) |
|
$ |
(3,908 |
) |
|
$ |
15,733 |
|
|
$ |
11,567 |
|
TORRID HOLDINGS INC. CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (In thousands, except share and per share data) |
|||||||
|
February 1,
|
|
February 3,
|
||||
Assets |
|
|
|
||||
Current assets: |
|
|
|
||||
Cash and cash equivalents |
$ |
48,523 |
|
|
$ |
11,735 |
|
Restricted cash |
|
399 |
|
|
|
399 |
|
Inventory |
|
148,493 |
|
|
|
142,199 |
|
Prepaid expenses and other current assets |
|
24,507 |
|
|
|
22,229 |
|
Prepaid income taxes |
|
4,244 |
|
|
|
2,561 |
|
Total current assets |
|
226,166 |
|
|
|
179,123 |
|
Property and equipment, net |
|
77,669 |
|
|
|
103,516 |
|
Operating lease right-of-use assets |
|
140,651 |
|
|
|
162,444 |
|
Deposits and other noncurrent assets |
|
18,935 |
|
|
|
14,783 |
|
Deferred tax assets |
|
16,620 |
|
|
|
8,681 |
|
Intangible asset |
|
8,400 |
|
|
|
8,400 |
|
Total assets |
$ |
488,441 |
|
|
$ |
476,947 |
|
Liabilities and stockholders' deficit |
|
|
|
||||
Current liabilities: |
|
|
|
||||
Accounts payable |
$ |
72,378 |
|
|
$ |
46,183 |
|
Accrued and other current liabilities |
|
125,743 |
|
|
|
107,750 |
|
Operating lease liabilities |
|
40,505 |
|
|
|
42,760 |
|
Borrowings under credit facility |
|
— |
|
|
|
7,270 |
|
Current portion of term loan |
|
16,144 |
|
|
|
16,144 |
|
Due to related parties |
|
8,362 |
|
|
|
9,329 |
|
Income taxes payable |
|
— |
|
|
|
2,671 |
|
Total current liabilities |
|
263,132 |
|
|
|
232,107 |
|
Noncurrent operating lease liabilities |
|
134,481 |
|
|
|
155,825 |
|
Term loan |
|
272,409 |
|
|
|
288,553 |
|
Deferred compensation |
|
3,913 |
|
|
|
5,474 |
|
Other noncurrent liabilities |
|
5,595 |
|
|
|
6,705 |
|
Total liabilities |
|
679,530 |
|
|
|
688,664 |
|
Stockholders' deficit: |
|
|
|
||||
Preferred shares: |
|
— |
|
|
|
— |
|
Common shares: |
|
1,049 |
|
|
|
1,043 |
|
Additional paid-in capital |
|
140,029 |
|
|
|
135,140 |
|
Accumulated deficit |
|
(331,269 |
) |
|
|
(347,587 |
) |
Accumulated other comprehensive loss |
|
(898 |
) |
|
|
(313 |
) |
Total stockholders' deficit |
|
(191,089 |
) |
|
|
(211,717 |
) |
Total liabilities and stockholders' deficit |
$ |
488,441 |
|
|
$ |
476,947 |
|
TORRID HOLDINGS INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (In thousands) |
|||||||||||
Fiscal Year Ended |
|||||||||||
|
February 1,
|
|
February 3,
|
|
January 28,
|
||||||
OPERATING ACTIVITIES |
|
|
|
|
|
||||||
Net income |
$ |
16,318 |
|
|
$ |
11,619 |
|
|
$ |
50,209 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
|
|
||||||
Write down of inventory |
|
1,779 |
|
|
|
4,577 |
|
|
|
2,297 |
|
Operating right-of-use assets amortization |
|
40,574 |
|
|
|
41,366 |
|
|
|
41,839 |
|
Depreciation and other amortization |
|
37,239 |
|
|
|
38,002 |
|
|
|
37,592 |
|
Share-based compensation |
|
7,634 |
|
|
|
8,042 |
|
|
|
9,980 |
|
Deferred taxes |
|
(7,939 |
) |
|
|
(5,670 |
) |
|
|
1,863 |
|
Other |
|
(1,092 |
) |
|
|
(2,436 |
) |
|
|
(1,209 |
) |
Changes in operating assets and liabilities: |
|
|
|
|
|
||||||
Inventory |
|
(7,615 |
) |
|
|
33,182 |
|
|
|
(12,028 |
) |
Prepaid expenses and other current assets |
|
(2,278 |
) |
|
|
(2,179 |
) |
|
|
(5,364 |
) |
Prepaid income taxes |
|
(1,683 |
) |
|
|
(480 |
) |
|
|
4,264 |
|
Deposits and other noncurrent assets |
|
(4,314 |
) |
|
|
(6,296 |
) |
|
|
(1,712 |
) |
Accounts payable |
|
26,999 |
|
|
|
(30,293 |
) |
|
|
(1,241 |
) |
Accrued and other current liabilities |
|
18,148 |
|
|
|
(1,721 |
) |
|
|
(29,659 |
) |
Operating lease liabilities |
|
(40,352 |
) |
|
|
(43,532 |
) |
|
|
(42,912 |
) |
Other noncurrent liabilities |
|
(829 |
) |
|
|
(1,897 |
) |
|
|
3,900 |
|
Deferred compensation |
|
(1,561 |
) |
|
|
1,228 |
|
|
|
(2,627 |
) |
Due to related parties |
|
(967 |
) |
|
|
(3,412 |
) |
|
|
(1,881 |
) |
Income taxes payable |
|
(2,671 |
) |
|
|
2,671 |
|
|
|
— |
|
Net cash provided by operating activities |
|
77,390 |
|
|
|
42,771 |
|
|
|
53,311 |
|
INVESTING ACTIVITIES |
|
|
|
|
|
||||||
Purchases of property and equipment |
|
(14,392 |
) |
|
|
(26,002 |
) |
|
|
(23,369 |
) |
Net cash used in investing activities |
|
(14,392 |
) |
|
|
(26,002 |
) |
|
|
(23,369 |
) |
FINANCING ACTIVITIES |
|
|
|
|
|
||||||
Proceeds from revolving credit facility |
|
62,780 |
|
|
|
592,775 |
|
|
|
832,635 |
|
Payments on revolving credit facility |
|
(70,050 |
) |
|
|
(593,885 |
) |
|
|
(824,255 |
) |
Principal payments on the Amended Term Loan Credit Agreement |
|
(17,500 |
) |
|
|
(17,500 |
) |
|
|
(21,875 |
) |
Proceeds from issuances under share-based compensation plans |
|
1,044 |
|
|
|
399 |
|
|
|
746 |
|
Withholding tax payments related to vesting of restricted stock units and awards and exercise of non qualified stock options |
|
(774 |
) |
|
|
(306 |
) |
|
|
(668 |
) |
Repurchases and retirement of common stock |
|
— |
|
|
|
— |
|
|
|
(31,700 |
) |
Net cash used in financing activities |
|
(24,500 |
) |
|
|
(18,517 |
) |
|
|
(45,117 |
) |
Effect of foreign currency exchange rate changes on cash, cash equivalents and restricted cash |
|
(1,710 |
) |
|
|
(53 |
) |
|
|
(177 |
) |
Increase (decrease) in cash, cash equivalents and restricted cash |
|
36,788 |
|
|
|
(1,801 |
) |
|
|
(15,352 |
) |
Cash, cash equivalents and restricted cash at beginning of period |
|
12,134 |
|
|
|
13,935 |
|
|
|
29,287 |
|
Cash, cash equivalents and restricted cash at end of period |
$ |
48,922 |
|
|
$ |
12,134 |
|
|
$ |
13,935 |
|
SUPPLEMENTAL INFORMATION |
|
|
|
|
|
||||||
Cash paid during the period for interest related to the revolving credit facility and term loan |
$ |
35,077 |
|
|
$ |
34,195 |
|
|
$ |
29,564 |
|
Cash paid during the period for income taxes |
$ |
17,765 |
|
|
$ |
11,154 |
|
|
$ |
15,601 |
|
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES |
|
|
|
|
|
||||||
Property and equipment purchases included in accounts payable and accrued liabilities |
$ |
1,367 |
|
|
$ |
4,524 |
|
|
$ |
3,959 |
|
Non-GAAP Reconciliation
The following table provides a reconciliation of Net (loss) income to Adjusted EBITDA for the periods presented (dollars in thousands): |
|||||||||||||||
|
Three Months Ended |
|
Twelve Months Ended |
||||||||||||
|
February 1, 2025 |
|
February 3, 2024 |
|
February 1, 2025 |
|
February 3, 2024 |
||||||||
Net (loss) income |
$ |
(2,988 |
) |
|
$ |
(4,070 |
) |
|
$ |
16,318 |
|
|
$ |
11,619 |
|
Interest expense |
|
8,330 |
|
|
|
10,372 |
|
|
|
35,633 |
|
|
|
39,203 |
|
Interest income, net of other expense (income) |
|
348 |
|
|
|
(328 |
) |
|
|
(28 |
) |
|
|
(90 |
) |
(Benefit from) provision for income taxes |
|
(2,240 |
) |
|
|
(1,959 |
) |
|
|
5,285 |
|
|
|
6,416 |
|
Depreciation and amortization(A) |
|
9,017 |
|
|
|
9,381 |
|
|
|
35,721 |
|
|
|
36,484 |
|
Share-based compensation(B) |
|
3,103 |
|
|
|
2,061 |
|
|
|
7,634 |
|
|
|
8,042 |
|
Non-cash deductions and charges(C) |
|
168 |
|
|
|
462 |
|
|
|
347 |
|
|
|
816 |
|
Other expenses(D) |
|
979 |
|
|
|
509 |
|
|
|
8,210 |
|
|
|
3,729 |
|
Adjusted EBITDA |
$ |
16,717 |
|
|
$ |
16,428 |
|
|
$ |
109,120 |
|
|
$ |
106,219 |
|
____________________ (A) Depreciation and amortization excludes amortization of debt issuance costs and original issue discount that are reflected in interest expense. (B) Share-based compensation for the quarter and year ended February 1, 2025 includes (C) Noncash deductions and charges includes losses on property and equipment disposals and the net impact of noncash rent expense. (D) Other expenses include severance costs for certain key management positions, certain transaction and litigation fees (including certain settlement costs), and the reimbursement of certain management expenses, primarily for travel, incurred by Sycamore on our behalf, which are not considered to be part of our core business. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20250320570232/en/
Investors
Lyn Walther
IR@torrid.com
Media
Joele Frank, Wilkinson Brimmer Katcher
Michael Freitag / Arielle Rothstein / Lyle Weston
Media@torrid.com
Source: Torrid Holdings Inc.