Improving gross margin and careful expense management helped swing the bottom line to a $3,165,000 profit from a $69,000 loss in the second quarter, as revenues declined 7% to $151,256,000 from $162,867,000. It was TLYS’ first profitable quarter since Q3’22, easily exceeding the $2 million top end of earnings guidance. Blended comps dropped 4.5% with same store sales off 4.1% and e-commerce was down 6.2% to $28.5 million.

Gross margin expanded 180 basis points to 32.5%, including +210 b.p. of product margin from higher initial markups and lower markdowns, and -30 b.p. ... Log in to view full article.