Citi Trends Provides Business Update

Citi Trends, Inc. (NASDAQ: CTRN), a growing specialty value retailer of apparel, accessories and home trends primarily for African American and Latinx families in the United States, today provided a business update.

Business Update

• Total sales for the first quarter through April 3, 2021 increased 77.2% compared to the same period in the prior year, and 36.3% compared to the same period in 2019, exceeding internal expectations.
• Comparable store sales for the first quarter through April 3, 2021 increased 74.5% compared to the same period in 2020.
• For comparison purposes, first quarter 2020 sales were significantly impacted by the COVID-19 pandemic, which caused the temporary closure of the Company’s stores beginning March 20, 2020.
• First quarter 2021 earnings per share expected to be in the range of $2.75 to $2.90.

David Makuen, Chief Executive Officer, said, “We are very pleased with our first quarter topline performance through April 3^rd, which has exceeded our expectations. Our positive momentum has been driven by the loyalty of our existing customer base as well as the attraction of new customers, the strength of our brand, and our on-trend assortment, combined with the Federal Government stimulus that started during the third week of March. We are also very encouraged by the meaningful merchandise margin expansion we are seeing in the business, while we also remain disciplined in our expense management. As a result of our impressive performance and the increased demand for our merchandise, we expect to end the first quarter strong, resulting in total sales of $280 to $285 million.”

Makuen further commented, “As we look forward, the environment remains uncertain and there is no assurance that our first quarter trends will continue, particularly as we approach the significant positive performance after reopening our stores in the second quarter of 2020. Therefore, while we remain confident that we can meet our forecast for the remainder of the year, we expect the environment to continue to be volatile in the weeks and months ahead. Additionally, we are sensitive to the ongoing tensions occurring in Minneapolis and other cities and will continue to support our communities and prioritize the safety and wellbeing of our customers and associates.”