Attached files
| file | filename |
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| EX-99.1 - EX-99.1 - TILLY'S, INC. | tlys2020holidaycompsalespr.htm |
| 8-K - 8-K - TILLY'S, INC. | tlys-20210111.htm |
2 0 2 1 I C R C O N F E R E N C E I N V E S T O R P R E S E N T A T I O N
SAFE HARBOR STATEMENT 2 This presentation, and responses to certain questions about this presentation, will contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, particularly with regard to future financial and operating expectations, business plans and key initiatives. All such statements are subject to risks and uncertainties that could cause actual results or events to differ materially from those indicated by such forward- looking statements. Please see “Risk Factors” in our Annual and Quarterly Reports on Forms 10-K and 10-Q filed with the Securities and Exchange Commission for a description of such risks and uncertainties. We urge you not to place undue reliance on these forward-looking statements, which speak only as of the date of this presentation. We do not undertake any obligation to update or alter any forward-looking statements, whether as a result of new information, future events or otherwise. This presentation should be read in conjunction with our financial statements and notes thereto contained in our most recent Form 10-K for the fiscal year ended February 1, 2020 and our Form 10-Qs for the fiscal quarters ended May 2, August 1, and October 31, 2020.
T ILLYS AT A GLANCE 3 • L e a d i n g s p e c i a l t y r e t a i l e r o f f e r i n g a p p a r e l , f o o t w e a r , a c c e s s o r i e s a n d h a r d g o o d s f o r y o u n g a d u l t s , t e e n s a n d c h i l d r e n • U n p a r a l l e l e d b l e n d o f i c o n i c g l o b a l , e m e r g i n g , a n d p r o p r i e t a r y b r a n d s • 2 3 9 s t o r e s i n 3 3 s t a t e s a v e r a g i n g ~ 7 ,5 0 0 s q u a r e f e e t • P r o f i t a b l e , g r o w i n g e - c o m m e r c e b u s i n e s s r e p r e s e n t e d 1 6 % o f f i s c a l 2 0 1 9 n e t s a l e s (p r e - p a n d e m i c ) a n d 3 2 % o f f i s c a l 2 0 2 0 Y T D n e t s a l e s (p a n d e m i c - a i d e d ) • H Q i n I r v i n e , C A a n d f o u n d e d i n 1 9 8 2
4 OUR CORE CUSTOMERS P r e - t e e n s , t e e n s a n d y o u n g a d u l t s A c t i v e , c o n n e c t e d , c r e a t i v e a n d a d v e n t u r o u s P a s s i o n a t e a b o u t a n a c t i v e l i f e s t y l e ( s p o r t s , m u s i c , a r t a n d f a s h i o n ) H i g h l y e n g a g e d o n s o c i a l m e d i a c h a n n e l s
5 CONSTANTLY EVOLVING MERCHANDISE MIX E m e r g i n g b r a n d s a n d n e w m e r c h a n d i s e f r o m e s t a b l i s h e d b r a n d s E x c l u s i v e s t y l e s f r o m p o p u l a r b r a n d s t h a t a r e l i m i t e d o r n o t o f f e r e d a t o t h e r r e t a i l e r s N e w l y a d d e d c a t e g o r i e s A n a l y z e a n d a d j u s t t o p e r f o r m a n c e t r e n d s w i t h i n d i f f e r e n t m a r k e t s S h i p p r o d u c t s t o s t o r e s m u l t i p l e t i m e s p e r w e e k
6 DEST INAT ION RETAILER WITH A BROAD AND DIFFERENT IATED ASSORTMENT • 4 0 0 + 3 r d - p a r t y l i f e s t y l e b r a n d s i n a g i v e n y e a r w i t h a v a r i e t y o f s t y l e s , c o l o r s , s i z e s a n d p r i c e p o i n t s . O n l y o n e 3 r d- p a r t y b r a n d > 4 % o f t o t a l s a l e s . • O u r o w n b r a n d s = 2 6 % o f Y T D s a l e s , i n c l u d i n g 2 o f o u r t o p 3 b r a n d s o v e r a l l . • S t o r e s a r e f r e q u e n t l y r e m o d e l e d / r e f r e s h e d
7 MERCHANDISING PRIORITIES FOR FY2021-22 P R I V A T E L A B E L E X P A N S I O N • N e w D e s i g n / T e c h t e a m f o r d e n i m a n d p l u s - s i z e e x p a n s i o n S U S T A I N A B I L I T Y • T i l l y s s u s t a i n a b l e s i t e e x p e r i e n c e • R S Q s u s t a i n a b l e d e n i m l a u n c h I N V E N T O R Y M A N A G E M E N T • S h o r t e n L e a d T i m e s • I m p r o v e F l o w • R e d u c e M a r k d o w n s D I G I T A L F I R S T • E x c l u s i v e s & e x p a n d e d o n l i n e a s s o r t m e n t • I m p l e m e n t p r i n t - o n - d e m a n d • L a u n c h d r o p s h i p N E W A N D E X P A N D E D C A T E G O R I E S • S u r f h a r d g o o d s / g e a r • A c t i v e • N e w b r a n d s a n d g e a r • H o m e / D o r m • P l u s - s i z e s l a u n c h
8 S K A T E H A R D G O O D S O n l i n e l a u n c h F e b 2 0 2 0 2 0 s t o r e s O c t 2 0 2 0 8 0 s t o r e s f o r 2 0 2 1 R S Q S k a t e s t o r e S N O W H A R D G O O D S O n l i n e l a u n c h O c t 2 0 2 0 B I K E S O n l i n e l a u n c h O c t 2 0 2 0
9 FLEXIBLE REAL ESTATE STRATEGY ACROSS REAL ESTATE VENUES AND GEOGRAPHIES • 2 3 9 t o t a l s t o r e s a c r o s s 3 3 s t a t e s , • M u l t i p l e f o r m a t s : i n d o o r m a l l s , p o w e r , n e i g h b o r h o o d , l i f e s t y l e a n d o u t l e t c e n t e r s , s t r e e t - f r o n t l o c a t i o n s • S t r a t e g y o f c l u s t e r i n g s t o r e s i n p r o m i s i n g m a r k e t s t o e n h a n c e b r a n d a w a r e n e s s IRVINE SPECTRUM, CALIFORNIA OFF-MALL LOCATION ARROWHEAD, ARIZONA IN-MALL LOCATION S T O R E C O U N T B Y L O C A T I O N T Y P E REGIONAL MALL OFF-MALL OUTLET 5 7 % 6 % 3 7 %
10 PROFITABLE AND GROWING E-COM BUSINESS E - c o m s a l e s , s a l e s p e n e t r a t i o n , a n d p r o f i t a b i l i t y c o n t i n u e s t o g r o w . Y T D F Y 2 0 e - c o m s a l e s h a v e g r o w n b y 6 8 % v s f u l l F Y 1 9 . E - c o m = 3 2 % o f F Y 2 0 Y T D t o t a l s a l e s (a i d e d b y t e m p o r a r y p a n d e m i c - r e l a t e d s t o r e s h u t d o w n s ) v s . 1 6 % o f F Y 1 9 t o t a l s a l e s . E - c o m p r o d u c t m a r g i n s a n d o p e r a t i n g m a r g i n h a v e i m p r o v e d m e a n i n g f u l l y d u r i n g F Y 2 0 w i t h t h e i n c r e a s e d s a l e s v o l u m e i n f l u e n c e d b y t h e p a n d e m i c .
11 A s h a v e m a n y o t h e r r e t a i l e r s , w e h a v e e x p e r i e n c e d a s u b s t a n t i a l r a t e o f e - c o m g r o w t h d u r i n g t h e 2 0 2 0 p a n d e m i c p e r i o d , c e r t a i n l y a i d e d b y p e r i o d s o f s t o r e c l o s u r e s .
14 MANAGING THROUGH THE PANDEMIC • $ 1 6 9 M i n c a s h / i n v e s t m e n t s ( i n c l u d i n g $ 2 . 3 M i n w i t h h e l d s t o r e r e n t s ) a n d n o d e b t a s o f J a n u a r y 4 , 2 0 2 1 c o m p a r e d t o $ 1 6 6 M i n c a s h / i n v e s t m e n t s a n d n o d e b t a t s a m e t i m e l a s t y e a r • I n v e n t o r y l e v e l s w e l l c o n t r o l l e d a n d m a n a g e d t o c o n s e r v a t i v e s a l e s a s s u m p t i o n s • T o t a l o c c u p a n c y c o s t s r e d u c e d b e l o w L Y l e v e l s e a c h q u a r t e r o f f i s c a l 2 0 2 0 d e s p i t e h a v i n g m o r e s t o r e s t h a n L Y • S G & A m a n a g e d m i l l i o n s o f d o l l a r s b e l o w L Y l e v e l s e a c h q u a r t e r o f f i s c a l 2 0 2 0 • E s t a b l i s h e d n e w $ 6 5 M a s s e t - b a c k e d c r e d i t f a c i l i t y f o r g r e a t e r p r o t e c t i o n a g a i n s t a d d i t i o n a l p o t e n t i a l p a n d e m i c s h u t d o w n s i n e a r l y N o v e m b e r 2 0 2 0 • A m p l i f y i n g e - c o m m e r c e e f f o r t s a n d c u s t o m e r - c o n v e n i e n c e o p t i o n s (c u r b s i d e p i c k u p , s a m e - d a y d e l i v e r y , s h i p f r o m s t o r e )
12 INVESTING IN CUSTOMER CONVENIENCE (O M N I - C H A N N E L) • B u y o n l i n e , p i c k u p i n s t o r e • S h i p f r o m s t o r e • C u r b s i d e p i c k u p i n c e r t a i n l o c a t i o n s • S a m e - d a y d e l i v e r y i n c e r t a i n a r e a s • O n l i n e o r d e r b r o k e r i n g t o s t o r e s w h e n i t e m s a r e o u t o f s t o c k i n e - c o m • C o l l e c t i v e l y , o m n i - c h a n n e l i n i t i a t i v e s > 1 0 % o f t o t a l s a l e s i n F Y 2 0 . • A f t e r p a y l a u n c h e d o n l i n e , r e p r e s e n t s > 1 0 % o f o n l i n e t r a n s a c t i o n s w i t h m e a n i n g f u l l y h i g h e r A O V c o m p a r e d t o c o m p a n y a v e r a g e t r a n s a c t i o n v a l u e .
13 NEW RSQ SKATE STORE • Opened October 29, 2020 in Irvine Spectrum. • RSQ Skate is a curated collection of skate-centric brands for a core, yet commercial consumer in an inclusive, easy to shop environment. • Pillars of RSQ include Skateboarding, Music, Art and Fashion. • Skateboarding is booming…but the retail landscape is severely lacking. • 4 key pillars of the store: hardgoods, footwear, graphics/apparel/accessories, RSQ apparel • Blend of global and local brands • Authentic support of the skate community through artists, ambassadors and grass roots events
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