Citi Trends, Inc. reported unaudited results for the first quarter of fiscal 2018.

Financial Highlights – First quarter ended May 5, 2018

Total sales in the first quarter ended May 5, 2018 increased 5.5% to $211.0 million compared with $200.0 million in the first quarter ended April 29, 2017. Comparable store sales increased 2.1%, comparing the 13 weeks ended May 5, 2018 with the 13 weeks ended May 6, 2017.

Net income in the first quarter of 2018 was $11.3 million, compared with net income in last year’s first quarter of $8.9 million on a GAAP basis, or $10.0 million when adjusted for proxy contest-related expenses*. Earnings per diluted share in this year’s first quarter were $0.83, compared with earnings per diluted share in the first quarter of 2017 of $0.60 on a GAAP basis, or $0.68 when adjusted for proxy contest-related expenses*.

Bruce Smith, President and Chief Executive Officer, commented, “We are very pleased with the 22% increase in adjusted earnings per share in the first quarter which reflected solid top-line growth, as well as benefits from a lower income tax rate due to the enactment of the Tax Cuts and Jobs Act, and a lower share count resulting from share repurchases since last year’s first quarter under the Company’s expanded capital return program.”

Smith further noted, “Within the quarter, comparable store sales fluctuated somewhat due to an earlier Easter and a later start to spring. However, by the end of the quarter, we were pleased with the results, and we are now excited with our early second quarter sales, as the later spring is driving sales of warm-weather merchandise. As we enter the second quarter, our sales momentum continues, with comparable store sales increasing 10% thus far in the fiscal month of May.”

During the first quarter, the Company opened five new stores, expanded one store and closed one store.

Guidance

The Company reaffirmed its previous guidance of earnings per diluted share in the range of $1.55 to $1.70 for fiscal 2018.

Capital Return Program

The Company announced that its Board of Directors has declared a quarterly dividend of $0.08 per common share, payable on June 19, 2018, to shareholders of record as of the close of business on June 5, 2018.

During the first quarter of 2018, the Company repurchased 86,000 shares of its common stock at an aggregate cost of $2.7 million. At May 5, 2018, $22.3 million remained available under the existing stock repurchase authorization.