Tilly’s, a destination specialty retailer of casual apparel, footwear and accessories, posted 40.7 per cent decline in its net sales to $77.3 million in the first quarter (Q1) FY20 ended on May 2, 2020, compared to sales of $130.3 million in same period prior year. Company reported a net loss of $17.3 million compared to net income of $0.67 million in Q1 FY19.
Gross profit for the quarter decreased to $1.5 million (Q1 FY19: 35.6 million). Selling, general and administrative expenses were $29.9 million ($35.5 million). Tilly’s reported operating loss during the quarter of $28.4 million compared to operating income of $0.14 million in same period prior year.
“The first quarter was severely impacted by the Covid-19 pandemic, resulting in the temporary closure of all 239 of our stores halfway through the quarter and the painful decision to furlough 91 per cent of our employee population,” Ed Thomas, president and chief executive officer, said in a press release.
Sales from physical stores for the first quarter fell 57.5 per cent to $47.0 million ($110.6 million). However, sales from e-commerce grew 54.2 per cent to $30.3 million ($19.7 million).
During the second quarter of fiscal 2020 ending August 1, 2020, company reported that in accordance with the latest guidelines from local, state and federal governments and health organisations, and with new health and safety protocols in place, including significant restrictions on customer traffic, Tilly’s has reopened 160 of its total 239 stores as of June 2, 2020.
