Chico’s FAS soars over sales estimates in Q1

Fort Myers, Florida-based womenswear retailer Chico’s FAS announced first-quarter sales of $388.0 million on Tuesday, an increase of 38.4% compared to $280.3 million in the prior-year period. The company’s quarterly revenues also beat analysts’ estimates of $321.0 million, as reported by FactSet and cited by MarketWatch.

The year-over-year rise in the retailer’s sales in the first quarter ended May 1, 2021, reflected the impact of temporary store closures on the company’s sales in the previous year’s first quarter, which was partially offset by 39 permanent store closures implemented by Chico’s FAS since then.

Comparable sales for the period decreased 21.7%, reflecting a 32.9% decline at the company’s apparel brands, Chico’s and White House Black Market, partially offset by a 39.3% increase in comparable sales at the Soma intimates brand.

Indeed, Soma continued to be a bright spot in the company’s portfolio, posting overall sales growth of 65% compared to the first quarter of the previous year and a 39% increase compared to the same period two years ago, before the Covid-19 pandemic.