Off Pricer Citi Trends Sees Shoes as Double-digit Growth Category

Citi Trends Inc. volition apt commencement this year's 3rd 4th with a coagulated back-to-school (BTS) selling season, helped by an adjacent bigger footwear assortment and a young men's inclination section.

Footwear is simply a cardinal maturation class for Citi Trends. In a UBS presumption successful March, the retailer's president and main enforcement serviceman Kenneth Seipel told attendees the institution volition "improve store productivity by expanding efforts successful cardinal categories with double-digit maturation similar footwear, positive size, large man, and young men," naming a enactment of absorption areas.

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And past period erstwhile the retailer hosted its archetypal 4th net league call, footwear was again highlighted for continued income momentum.

"Family footwear continued its momentum from Q4 with customers responding enthusiastically to expanded branded offerings astatine exceptional worth crossed each genders," Seipel said. "In footwear, off-price and utmost worth strategy continues to summation momentum, driving some postulation and handbasket growth."

If past year's 3rd 4th study provides immoderate hint of what's to come, this year's bts play could beryllium adjacent bigger pursuing the off-pricer's physique retired of its store categories. Seipel told investors astatine the firm's 3rd 4th league telephone successful December that it began the 4th with a "strong bts season." He besides called retired beardown momentum connected women's footwear.

Because it is an disconnected pricer, brands alteration from store-to-store, according to income associates who answered telephone calls astatine assorted Citi Trend doors. Some brands mentioned that are presently sold astatine those locations see Fubu, Southpole, Ed Hardy and Juicy Couture, portion the sneaker brands mentioned were Fila, Reebok, New Balance and Puma.

The Savannah, Ga.-based retailer has of yearly income astir $820 million, with 592 stores successful 33 states that has a beardown beingness successful the Southeast. Its besides an off-pricer that focuses chiefly connected the African-American consumer.

First 4th results for the play ended May 3 saw nett income astatine $7.8 million, oregon 95 cents a share, versus nett income of $871,000, oregon 11 cents, a twelvemonth ago. Net income were up 14.4 percent to $230.9 cardinal from $201.7 million. Comparable store income accrued 13.9 percent successful the quarter.

Seipel says the retailer's consumers are trendsetters and aboriginal adopters who recognize that "value is not conscionable astir price."