Q3 2024 Kirkland’s Inc Earnings Call – Latest Updates

Good morning, everyone! Thanks for joining us today to chat about Kirkland’s financial results for the third quarter that ended on August 3, 2024. We’ve got some exciting updates from Kirkland’s Home CEO, Amy Sullivan; EVP and CFO, Mike Madden; and the company’s External Director of Investor Relations, Caitlin Churchill. After their remarks, we’ll open up the floor for your questions.

Before we dive in, Caitlin will go over the company’s Safe Harbor statement, which basically means there are risks and uncertainties involved that might cause Kirkland’s actual results to be different from what we’re predicting. The nitty-gritty details are in Kirkland’s filings with the Securities and Exchange Commission, but if you miss something, don’t worry- there will be a webcast replay available on the company’s website.

Amy Sullivan, Kirkland’s CEO, shared some exciting news about a strategic partnership with Beyond that helped Kirkland’s pay off some debt, boost their financial health, and set them up for growth. This partnership is not only about the money but also about working together to give the Bed Bath & Beyond brand a fresh makeover.

In the third quarter, Kirkland’s saw some positive vibes with a 1.6% increase in sales in their stores, despite some challenges from hurricanes Helene and Milton. Online sales took a bit of a hit, balancing out the total sales decrease to 3%. But, the good news is, they saw an improvement in profits, with adjusted EBITDA going up by $3.7 million and turning back on the positive EBITDA switch.

Kirkland’s team has been busy reviving the brand, reeling in old customers, and keeping new ones engaged through exciting events and product launches. They’re keeping an eye on their spending, aiming for efficiency and impact in all their marketing efforts. And with a stronger financial position on the horizon, post-Beyond deal, Kirkland’s is looking forward to spreading their wings and exploring new growth opportunities.

As they focus on reconnecting with customers, refreshing their product lineup, and leveraging the power of the Beyond partnership, Kirkland’s is optimistic about the road ahead. They’re all about delivering results, building customer loyalty, and embracing newness in all aspects of their business. Keep an eye out for more exciting updates as Kirkland’s continues to bloom and grow!