Direct-to-consumer apparel brand Torrid has revealed its financial results for the fourth quarter and this fiscal year.
Net sales fell 6.1 per cent to $275.6 million, compared to $293.5 million in the fourth quarter of last year. The fourth-quarter net loss was $3 million, down from $4.1 million the previous year. The brand opened one Torrid store while closing 22 others during the quarter.
Net sales for the year fell 4.2 per cent to $1.1037 billion, compared to $1.1519 billion the previous year. Torrid opened 14 locations and closed 35. As of the end of the quarter, there were 634 stores.
“We successfully closed fiscal 2024 with positive results, fueled by product innovation in our core assortment and strong customer response to the launch of our high-growth, higher-margin sub-brands,” said CEO Lisa Harper.
“Thoughtful growth of our well-received sub-brands set the stage for elevated, new and younger customer engagement, incremental lifestyle purchases, as well as creating a halo effect across the business.”
According to the brand, its priorities for this year are to expand its product offering, drive client growth, and implement its shop optimisation strategy.
“Our fiscal first quarter was off to a choppy start; however, trends have been steadily improving as the quarter has progressed,” Harper added.
“Our disciplined inventory management, targeted marketing investments, and our diversified supply chain, coupled with our strong financial condition, provide us the confidence and flexibility to navigate the current dynamic macro environment while strategically investing in areas of our business which we believe will fuel long-term profitable growth.”
In December, Torrid Holdings posted a sales decline in the third quarter, which management said was below expectations due to internal and external factors.
