QUINCY, Mass. - J.Jill, Inc. (NYSE:JILL) announced its financial results for the fourth quarter, ending February 3, 2024, with earnings and revenue surpassing analyst expectations.
The women's apparel company reported an adjusted EPS of $0.23, significantly outperforming the consensus estimate of $0.03. Fourth-quarter revenue also exceeded forecasts, coming in at $149.4 million against the anticipated $147.38 million.
The company's robust performance in the fourth quarter is attributed to a disciplined operating model that supported a strong margin profile and cash generation. President and CEO Claire Spofford highlighted the company's success in refining its financial and operational foundation while setting the stage for future growth.
Despite a cautious outlook due to the uncertain macro environment, Spofford expressed confidence in continuing to execute their disciplined operating model and investing in initiatives to drive profitable sales growth.
J.Jill's fourth-quarter net sales saw a 1.2% increase compared to the same period last year, with direct-to-consumer net sales, accounting for 51.2% of the total, rising by 4.0%. The company's gross margin improved to 67.3%, up from 64.4% in the previous year's quarter.
Looking ahead, J.Jill provided guidance for fiscal 2024, expecting net sales to remain flat or increase in the low-single digits, with adjusted EBITDA projected to decrease in the mid-single digits compared to the 53-week fiscal 2023. This forecast accounts for the impact of losing the 53rd week from the previous fiscal year, which contributed $7.9 million to net sales and $2.2 million to adjusted EBITDA. For the first quarter of fiscal 2024, the company anticipates net sales to grow in the low to mid-single-digits, with adjusted EBITDA expected to range between $29.0 million and $33.0 million.
The company's financial outlook reflects a strategic approach to growth and profitability in the face of an evolving retail landscape. J.Jill's focus on enhancing omnichannel capabilities and expanding its store count by up to 5 stores by the end of fiscal 2024 underscores its commitment to adapt and thrive in a competitive market.
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