NASHVILLE, Tenn., Feb. 19, 2021 /PRNewswire/ -- Kirkland's, Inc.
(NASDAQ: KIRK) today announced certain preliminary unaudited
results for its fourth fiscal quarter ended January 30, 2021.
"Our expected fourth quarter earnings per share are the highest
we have achieved as a public company and are a fitting end to an
extraordinary year for Kirkland's," said Woody Woodward, Chief Executive
Officer. "These record earnings results reflect the appeal of
our merchandise assortments with customers and the earnings
leverage in the business from our cost and infrastructure changes.
The strength of the omni-channel strategy was evident as e-commerce
revenues were able to offset the weaker store traffic in December
caused by higher COVID cases, inventory shortages and early
sell-through of holiday product. With cash expected to be
approximately $100 million and total
liquidity of $140 million, we are
well positioned to fund our continued growth and deploy capital
strategically."
Preliminary Financial Results
The Company is in the process of finalizing its financial
results for the fourth quarter and fiscal year ended January 30, 2021. Accordingly, the preliminary
financial results and estimates contained in this release are based
on current estimates and remain subject to change. The Company and
its external auditors have not completed their normal closing and
related audit procedures. There can be no assurance that final
results for the quarter will not differ from the preliminary
results and estimates, including as a result of year-end closing
procedures or audit adjustments. In addition, these preliminary
results should not be viewed as a substitute for full financial
statements prepared in accordance with GAAP that have been audited
by the Company's external auditors.
Investor Conference Call and Web Simulcast
Kirkland's will issue its earnings release for the fourth
quarter before the market opens on Friday,
March 12, 2021, and will host a conference call on the same
day at 9:00 a.m. ET. The number to
call for the interactive teleconference is (412) 542-4163. A replay
of the conference call will be available through Friday, March 19, 2021, by dialing (412) 317-0088
and entering the confirmation number, 10152224.
A live webcast of Kirkland's quarterly conference call will be
available online on the Company's Investor Relations Page on
March 12, 2021, beginning at
9:00 a.m. ET. The online replay will follow shortly after the
call and continue for one year.
About Kirkland's, Inc.
Kirkland's, Inc. is a specialty retailer of home décor in
the United States, currently
operating 372 stores in 35 states as well as an e-commerce website,
www.kirklands.com. The Company's stores present a curated selection
of distinctive merchandise, including holiday décor, furniture,
wall décor, art, textiles, mirrors, fragrances, lamps and other
home decorating items. The Company's stores offer an extensive
assortment of holiday merchandise during seasonal periods. The
Company provides its customers an engaging shopping experience
characterized by casual, comfortable merchandise with a southern
feel and a modern flair at a discernible value. This combination of
quality and stylish merchandise, value pricing and a stimulating
online and store experience has led the Company to develop a loyal
customer base. More information can be found at
www.kirklands.com.
Forward-Looking Statements
Except for historical information contained herein, the
statements in this release, including all statements related to
future initiatives, financial goals and expectations or beliefs
regarding any future period, are forward-looking and made pursuant
to the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995 and are subject to the finalization of the
Company's quarterly financial and accounting procedures.
Forward-looking statements involve known and unknown risks and
uncertainties, which may cause Kirkland's actual results to differ
materially from forecasted results. Those risks and uncertainties
include, among other things, risks associated with the Company's
progress and anticipated progress towards its long-term objective
and the success of its plans in response to the novel coronavirus
("COVID-19"), the spread of COVID-19 and its impact on the
Company's revenues and supply chain, risks associated with COVID-19
and the governments responses to it, the impact of store closures,
the effectiveness of the Company's marketing campaigns, risks
related to changes in U.S. policy related to imported merchandise,
particularly with regard to the impact of tariffs on goods imported
from China and strategies
undertaken to mitigate such impact, the Company's ability to retain
its senior management team, continued volatility in the price of
the Company's common stock, the competitive environment in the home
décor industry in general and in Kirkland's specific market areas,
inflation, fluctuations in cost and availability of products,
interruptions in supply chain and distribution systems, including
our e-commerce systems and channels, the ability to control
employment and other operating costs, availability of suitable
retail locations and other growth opportunities, disruptions in
information technology systems including the potential for security
breaches of Kirkland's or its customers' information, seasonal
fluctuations in consumer spending, and economic conditions in
general. Those and other risks are more fully described in
Kirkland's filings with the Securities and Exchange Commission,
including the Company's Annual Report on Form 10-K filed
on April 10, 2020 and subsequent
reports. Forward-looking statements included in this release are
made as of the date of this release. Any changes in assumptions or
factors on which such statements are based could produce materially
different results. Kirkland's disclaims any obligation to update
any such factors or to publicly announce results of any revisions
to any of the forward-looking statements contained herein to
reflect future events or developments.
Non-GAAP Financial Measures
This release contains expected adjusted earnings per diluted
share, which is a non-GAAP financial measure. This measure is not
in accordance with, and is not intended as an alternative to, GAAP.
The Company uses this non-GAAP financial measure internally in
analyzing our financial results and believes that it provides
useful information to analysts and investors, as a supplement to
GAAP earnings per diluted share, in evaluating our operational
performance.
The Company defines adjusted earnings per diluted share by
adjusting the applicable GAAP measure for non-GAAP
adjustments. The Company's non-GAAP adjustments include closed
store lease termination costs, asset impairment charges,
stock-based compensation expense, severance charges, executive
transition costs, removing the impact of the valuation allowance
against deferred tax assets and removing changes related to federal
net operating losses that can be carried back to prior periods
under the CARES Act. Non-GAAP measures are intended to provide
additional information only and do not have any standard meanings
prescribed by GAAP. Use of these terms may differ from similar
measures reported by other companies. Each non-GAAP measure has its
limitations as an analytical tool, and you should not consider them
in isolation or as a substitute for analysis of the Company's
results as reported under GAAP.
Contact: Kirkland's
|
Kirkland's
|
Nicole
Strain
|
Investor
Relations
|
(615)
872-4800
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IR@Kirklands.com
|
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(615)
872-4898
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SOURCE Kirkland's, Inc.