KIRK - Kirkland's plunges on missing EPS revenue estimates

Kirkland's (KIRK -29.3%) Q3 reported a 2% drop in net sales to $143.6M which was driven by 3.1% fewer stores; comparable sales decreased 0.7%, including an e-commerce increase of 7.3%. Store count at end of quarter stood at 369; company believes ideal store count should be ~350 stores with additional opportunities for more favorable rent terms during ongoing lease renewals. During Black Friday, the company saw in-store traffic remain relatively flat on Y/Y basis, but there was a meaningful decline in e-commerce traffic, which led to a total sales comp decline for the first month of Q4. Gross profit margin narrowed 140 basis points to 34.7%, led by stripping away the incremental freight costs in its supply chain. EBITDA stood at $14.1M compared to $18.9M in year ago quarter; adj. EBITDA was $14.8M compared to $18.7M. Operating income stood at $9M compared to $13.1M. Net income narrowed to $7.3M from $12.3M in year ago quarter. During

For further details see:

Kirkland's plunges on missing EPS, revenue estimates