J Jill Stock Price, News & Analysis

J.Jill (NYSE:JILL), a leading omnichannel retailer, announced the 'You Choose' trade-in experience starting June 11, 2024. This initiative allows women to trade in gently worn clothing for a $100 gift card, a necklace, and a special gift from J.Jill. The traded items will be donated to Bottomless Closet through the J.Jill Compassion Fund. The goal is to help women replace unworn clothes with quality, versatile pieces. A survey by Wakefield Research revealed that women aged 40-65 often waste money on clothes they don't wear, with 36% of their wardrobe going unused. J.Jill's new campaign, 'One Wardrobe, No Limits,' aims to provide women with versatile and comfortable clothing suitable for various occasions.

J.Jill (NYSE: JILL) reported its financial results for Q1 FY2024, highlighting a net sales increase of 7.5% to $161.5 million, and a 3.1% rise in comparable sales compared to Q1 FY2023. Gross margin improved to 72.9%, up by 80 basis points. Operating income increased to $28.4 million, with a margin expansion of 70 basis points. Net income surged to $16.7 million, translating to $1.16 per diluted share, compared to $0.32 in Q1 FY2023.

The company paid down $60 million in debt and initiated a quarterly dividend program. Cash flow from operations grew to $21.5 million. However, the company forecasts flat to slightly declining net sales for Q2 FY2024 and a minor decline in adjusted EBITDA for the full year.

J.Jill plans to invest in marketing, systems, and new stores, expecting sales to grow between 1%-3%. Adjusted EBITDA is projected to drop by 1%-3% due to the loss of the 53rd week in FY2023. The company ended the quarter with a $77.1 million cash balance and plans to increase its store count by up to 5 stores by year-end.

J.Jill announces it has paid down $60.4 million of its $175 million term loan, reducing the debt to $108 million. The payment included a required $2.2 million and a voluntary $58.2 million prepayment. After the prepayment, the company's cash balance is $28.2 million.

The Board of Directors initiated a quarterly dividend program with an initial payout of $0.07 per share, payable on June 12, 2024, to stockholders as of May 29, 2024. Quarterly dividends will continue, subject to market conditions and Board approval.

For Q1 FY24, J.Jill expects net sales of $160 million, a 7% increase from Q1 FY23, and an Adjusted EBITDA between $33 million and $34 million, surpassing prior guidance.

Full financial results for Q1 FY24 will be released on June 7, 2024, with a conference call to discuss the results.

J.Jill, Inc. launches the One Wardrobe. No Limits. campaign to celebrate women's dynamic lifestyles, offering a fabric-first approach online and in stores. The brand transformation champions inclusivity and versatility, reflecting customers' needs for versatile, high-quality clothing. The campaign aims to address the frustration women face when choosing what to wear by providing versatile, stylish, and comfortable pieces that support every aspect of their lives.