Kirkland’s Produces Mixed Q3 Results

Kirkland’s produced mixed results in the third quarter, posting a wider net loss and a slight advance in comps.

Comparable store sales, including e-commerce revenues, advanced 0.7% in the third quarter year over year. Without the impact of Hurricanes Harvey and Irma, the company noted, comps increased 2% in the quarter. Net sales for the quarter gained 4.9% to $145 million.

For the third quarter ended October 28, Kirkland’s reported a net loss of $2.4 million, or 15 cents per diluted share, versus a net loss of $800,000, or five cents per diluted share, for the year-earlier quarter. The total estimated earnings impact of Hurricanes Harvey and Irma, including lost sales and property losses, was five cents per diluted share for the quarter. Analysts polled by MarketBeat expected a nine cents loss per diluted share on average in the quarter.

“We’re pleased with our third quarter performance given the significant challenges we faced,” said Mike Madden, CEO, Kirkland’s. “Initiatives to control SKUs, optimize promotional activity and rework targeted areas of our assortment are driving positive results, and we achieved a gain in comparable store sales despite disruptions from Hurricanes Harvey and Irma. The e-commerce channel continued its strong momentum, with sales at up approximately 40% as we focus on improving the omnichannel experience, the online assortment and our fulfillment operation.”