Young adult apparel retailer Tilly’s (NYSE: TLYS) will be reporting earnings tomorrow after the bell. Here’s what to expect.
Tilly's missed analysts’ revenue expectations by 7.9% last quarter, reporting revenues of $147.3 million, down 14.9% year on year. It was a slower quarter for the company, with revenue guidance for next quarter missing analysts’ expectations significantly and a significant miss of analysts’ EPS estimates.
Is Tilly's a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Tilly’s revenue to decline 6.6% year on year to $108.2 million, in line with the 6.3% decrease it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.66 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Tilly's has missed Wall Street’s revenue estimates four times over the last two years.
Looking at Tilly’s peers in the apparel retailer segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Urban Outfitters delivered year-on-year revenue growth of 10.7%, beating analysts’ expectations by 2.5%, and Gap reported revenues up 2.2%, topping estimates by 1.3%. Urban Outfitters traded up 23% following the results while Gap was down 20.1%.
Read our full analysis of Urban Outfitters’s results here and Gap’s results here.
There has been positive sentiment among investors in the apparel retailer segment, with share prices up 10.1% on average over the last month. Tilly's is up 3.7% during the same time and is heading into earnings with an average analyst price target of $2.50 (compared to the current share price of $1.41).
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