Net sales of US retailer J.Jill at $604.7 mn in FY23

20 Mar '24

3 min read

Pic: JHVEPhoto - stock.adobe.com

Insights

J.Jill saw a slight sales decline to $604.7 million in FY23, with a minor decline in comparable and direct-to-consumer sales.
Despite this, the company's gross profit rose, and operating income improved to $86.1 million.
Net income fell to $36.2 million.
In Q4 FY23, J.Jill's net sales were up 1.2 per cent and net income rose to $4.8 million.

J.Jill, a US-based women's apparel retailer, has reported a slight dip in total net sales in fiscal 2023 (FY23), recording $604.7 million, a 1.7 per cent decrease compared to $615.3 million in the previous fiscal. The company's total comparable sales saw a minor decline of 1.4 per cent, while its direct-to-consumer segment, which constitutes a significant 46.5 per cent of total net sales, fell by 2.3 per cent.

The company achieved a gross profit of $427.4 million, up from $422.1 million, thanks to a gross margin increase to 70.7 per cent from 68.6 per cent.

Operating expenses remained stable at $341.2 million, slightly lower than the $341.9 million reported in the previous year. This fiscal discipline contributed to an increase in income from operations, which rose to $86.1 million, yielding an operating income margin of 14.2 per cent, compared to 12.8 per cent in fiscal 2022, the company said in a press release.

Net income for the year declined to $36.2 million from $42.2 million in FY22, with earnings per diluted share falling to $2.51 from $2.95.

Adjusted EBITDA for the year was slightly up at $112.2 million, compared to $109.4 million, with an adjusted EBITDA margin of 18.6 per cent, an improvement from 17.8 per cent. J.Jill ended the year with a modest expansion, opening 2 new stores and closing 1, bringing the total to 244 stores.

In the fourth quarter of fiscal 2023 (Q4 FY23), J.Jill saw some positive trends, with total net sales increasing by 1.2 per cent to $149.4 million. Direct to consumer sales notably grew by 4 per cent, representing 51.2 per cent of the total net sales. The gross margin improved significantly to 67.3 per cent, contributing to a net income of $4.8 million, a substantial rise from $1 million in the corresponding quarter of the previous fiscal year. Net income per diluted share for the quarter jumped to $0.33 from $0.07, and adjusted EBITDA increased to $17.6 million from $15 million.

“We are pleased with our strong end to 2023 which delivered fourth quarter and full year results above our expectations. Throughout 2023, we made great progress in strengthening our financial and operational foundation while planting the seeds for future growth. We successfully refinanced our debt, enhanced our omni-channel capabilities, delivered our first net new store opening year in over three years, and continued to identify and test new concepts within our assortment to drive growth,” said Claire Spofford, president and chief executive officer.

Fibre2Fashion News Desk (DP)

More J Jill Group Inc News... More Retail News - United States Of America...