Citi Trends, Inc. reported that its nine‑week holiday selling period ending January 3, 2026 generated $191.2 million in sales, a 9.6% year‑over‑year increase. Comparable store sales grew 9.3%, and the two‑year stack rose to 16.4%. Year‑to‑date sales reached $780.8 million, up 9.0% from the same period in 2024.
The company attributes the strong performance to a robust product assortment, high‑profile brand deals, and the “Joy Looks Good on You” marketing campaign, which has accumulated more than twelve million viral views and engagements. Management noted that the holiday results were driven by continued increases in both the number of transactions and the average basket size, underscoring the effectiveness of the company’s product and pricing strategy.
CEO Ken Seipel said, “I am pleased to report that the top‑line momentum we’ve seen over the last five quarters continued through the holiday season with comparable store sales growth of 9.3% as a result of continued increases in both the number of transactions and average basket size.” He added that the elevated product assortment and off‑price deals resonated strongly with customers and that the “Joy Looks Good on You” campaign further supported in‑store readiness.
Citi Trends reaffirmed its fiscal 2025 outlook, maintaining guidance for high‑single‑digit comparable store sales growth, a gross margin expansion of 40–41% for the fourth quarter, and an EBITDA of $10–12 million for that quarter. The company also reiterated that full‑year EBITDA is expected to be $24–26 million higher than 2024, with a full‑year gross margin expansion of 230 basis points and SG&A leverage improving by 90 basis points versus the prior year.
The results come as part of a broader transformation that has delivered five consecutive quarters of positive comparable sales. Citi Trends plans to open three new stores, close four, and remodel 62 locations in fiscal 2025, reinforcing its focus on an off‑price model that targets African‑American families and delivers trend‑right products at value prices.
Investors responded positively to the announcement, with analysts highlighting the robust sales momentum and the company’s confidence in its turnaround strategy. The reaffirmation of guidance signals continued execution strength and a clear path toward the company’s long‑term objectives.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.