Citi Trends Inc (NASDAQ:CTRN) reported third-quarter FY21 sales growth of 14.5% year-on-year, to $227.96 million, beating the analyst consensus of $220.67 million. EPS of $1.03 beat the analyst consensus of $0.45.

• The comparable store sales increased 13.1% versus last year.
• The gross margin of 40.3% fell 150 basis points Y/Y and expanded 290 basis points against Q3 FY19.
• The operating margin was 5.1%, and operating income for the quarter rose 23.9% to $11.6 million.
• The company held $47.5 million in cash and equivalents as of October 30, 2021.
• Quarter-end total inventory increased 10.9% versus last year.
• In addition, the company's board authorized a $30.0 million share repurchase program.
• "Looking ahead to fiscal 2022, we are excited to continue our transformation and remain confident in the trajectory of the business," said CEO David Makuen.
• Outlook: Citi Trends raised FY21 sales outlook to $1.0 billion - $1.05 billion (prior view $990 million - $1.01 billion) versus the consensus of $1.0 billion.
• The company also raised FY21 EPS guidance to $6.95 - $7.10 (previously $6.30 - $6.50), above the consensus of $6.54.
• Price Action: CTRN shares are trading higher by 6.71% at $83.5 in premarket on the last check Tuesday.