Tilly's posts first comparable sales growth since 2021, narrows Q3 loss

Tilly’s, Inc. announced financial results for the third quarter of fiscal 2025, reporting its first period of comparable net sales growth (up 2 percent) since the fourth quarter of fiscal 2021, signaling an effective strategic turnaround. While total net sales decreased by 2.7 percent to 139.6 million dollars, the company significantly improved its bottom line, reducing its net loss to 1.4 million dollars (5 cents per share) compared to a 12.9 million dollars loss (loss of 43 cents per share) in the prior year.

This improved performance, the company said, was largely driven by robust operational efficiencies, including a 390 basis point improvement in product margins due to higher initial markups and lower markdowns, and a substantial 6.7 million dollars decrease in SG&A expenses.

President and CEO Nate Smith highlighted the results as exceeding expectations and demonstrating the team's ability to execute, further noting that the positive momentum has continued into the fourth quarter, with comparable net sales up 6.7 percent through early December.

For the full fourth quarter, Tilly’s currently projects net sales between 146 million dollars and 151 million dollars, anticipating a further narrowing of the net loss to a range of 19 cents to 12 cents per share.