Citi Trends exceeded revenue expectations for the third quarter of fiscal 2025, reporting a 10% surge in sales to $197.1 million. The company’s success was fueled by increased customer traffic and positive customer response to its apparel offerings, particularly those aimed at children, men, and basics. However, the company fell short on earnings per share (EPS) expectations, posting a -$0.86 figure compared to an anticipated $-0.79. This resulted in a $6.9 million net loss for the quarter, slightly better than the previous year’s loss of $7.2 million. Increased selling, general, and administrative (SG&A) expenses, rising from $74.7 million to $79.3 million, contributed to this shortfall. Despite these challenges, the company maintained its gross margin at 38.9%, albeit a slight decline from the previous year. The company also raised its full-year outlook for fiscal 2025, signaling confidence in its turnaround strategy. Now expecting high-single-digit growth in comparable store sales and expanded gross margins, Citi Trends has revised its EBITDA projection to between $10 million and $12 million, a substantial improvement over the previous year.