- Prachi Singh |
Destination XL Group, Inc. has announced 23.9 percent drop in its holiday sales to 78.4 million dollars. The company said in a statement that comparable sales in the omni-channel retail business for the same period decreased 24 percent, primarily due to a decrease in comparable store sales of 38.1 percent, which was partially offset by an increase in comparable sales from direct business of 12.7 percent. The company added that comparable increase in the direct business was driven by an increase in sales from DXL.com website of 28.4 percent.
“Our plans for fiscal 2021 include expected sales of approximately 385 million dollars to 402 million dollars, adjusted EBITDA of approximately 11 to 18 million dollars and positive free cash flow. We expect to achieve these results through continued penetration of our direct business, a modest recovery in store traffic during the course of the year, and a slight improvement in our wholesale business. We expect a 10.8 percent to 14.8 percent decline in comparable sales from fiscal 2019 levels, with comparable store sales down 23.8 percent to 27.8 percent and our direct business up 26.9 percent to 30.7 percent,” said Harvey Kanter, the company’s President and CEO.
Included in total sales are sales from the wholesale business of 4 million dollars for the 9-week holiday sales period compared to 3.4 million dollars for the same period last year.
Based on the holiday sales results and expectations for the remainder of the fourth quarter, the company expects total sales for fiscal 2020 of 317 million dollars to 319 million dollars, with comparable sales in omni-channel retail business for the full year to be down 32.6 percent to 32.9 percent. The company also expects adjusted EBITDA of negative 26 million dollars to 27 million dollars.
Picture:Facebook:DXL Big + Tall