Torrid Holdings has posted a sales decline in the third quarter, which management said was below expectations due to both internal and external factors.

The plus-size womenswear brand reported sales of $263.8 million for the quarter ended November 2, a 4.2 per cent decrease year-on-year. Comparable sales also fell 6.5 per cent.

CEO Lisa Harper said the results were below expectations as the brand’s fall assortments did not offer enough newness and novelty.

The environment changed meaningfully from the end of September and into October, which also affected sales, Harper added.

On the bottom line, the company saw a net loss of $1.2 million, compared to net loss of $2.7 million in the year-ago period. This is the first time the firm was in the red this year after reporting net income of $8.3 million in the second quarter and $12.2 million in the first quarter.

Meanwhile, adjusted EBITDA remained flat year-on-year at $19.6 million.

The brand opened two new stores but closed four during the quarter, ending the period with 655 locations across the US, Puerto Rico and Canada.

For the full year, Torrid expects sales to be in the range of $1.083 billion to $1.098 billion.

“Given the volatility we have seen in our business, and recognizing that there is still a considerable amount of the quarter ahead of us, we are taking a prudent approach to our fourth quarter outlook,” said Harper.