Net sales fell 8.3% Y/Y to $275.4 million, beating the consensus of $245.8 million. Comparable sales were down 8% in the third quarter.

Gross profit margin contracted to 33.2% from 34.0% a year ago due to a decrease in PLCC Funds and a deleveraging of store occupancy costs.

Adjusted EBITDA was $19.4 million, or 7.0% of net sales, versus $32.1 million, or 10.7% of net sales last year.

EPS loss of $(0.03) came above the consensus of $(0.05).

In Q3, the company opened five Torrid stores and closed one Torrid store, with a total store count at quarter end of 643 stores.

As of October 28, 2023, cash and equivalents stood at $16 million.

Lisa Harper, Chief Executive Officer, said, "Our third quarter results came in ahead of our expectations on both the top and bottom lines. Our customers responded to our new collections, as well as to our new marketing initiatives, which drove improvements in our traffic trends in our stores and online, leading to sequential improvement in our comparable store sales."

The company now projects capital expenditures of $25 million-$30 million for the year, reflecting infrastructure and technology investments and new stores between 34 and 36 for the year.

Price Action: CURV shares are up 16.63% at $4.84 premarket on the last check Friday.