Benzinga | Sep 3, 2021 06:04AM EDT

Tilly's Q2 Earnings Smashes Estimates

* Tilly's Inc (NYSE:TLYS) reported second-quarter FY21 sales growth of 48.7% year-on-year, to $201.95 million, beating the analyst consensus of $187.97 million.

* Sales from physical stores increased 96.3% Y/Y, representing 81.5% of total net sales.

* Comparable sales rose 18.3%.

* Gross profit climbed 79.1% Y/Y to $74.7 million with a gross margin of 37%, a 630 basis points expansion Y/Y.

* The operating margin was 13.1%, and operating income for the quarter rose 242.8% to $26.4 million.

* The company held $81.9 million in cash and equivalents as of July 31, 2021.

* Cash provided by operating activities totaled $37.4 million.

* EPS of $0.66 beat the analyst consensus of $0.43.

* Outlook: Tilly's sees Q3 sales of $187 million - $193 million versus the consensus $170.04 million.

* The company expects Q3 EPS of $0.30 - $0.34 versus the consensus of $0.23.

* Price Action: TLYS shares closed lower by 0.38% at $15.74 on the last check Thursday.