Overview

* Tile Shop ( TTSH ) Q2 net sales fall 3.4%, comparable store sales down 3.5%

* Co's gross margin declines to 64.4% due to higher discounting and costs

* Tile Shop ( TTSH ) ends Q2 with $27.8 mln cash, no debt outstanding

Outlook

* Company sees pressure from low housing turnover affecting store traffic

* Tile Shop ( TTSH ) aims to broaden customer appeal with refined product assortment

* Company anticipates annualized benefit of $1 mln from distribution center closure

Result Drivers

* PRODUCT ASSORTMENT - Expanded entry-level product assortment led to modest improvement in unit volumes, per CEO Cabell Lolmaugh

* LOWER SELLING PRICES - Increased demand for lower-priced products and discounting offset volume gains

* HOUSING TURNOVER - Historic lows in housing turnover pressured store traffic and comparable store sales

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Sales $88.26

mln

Q2 EPS $0.01

Q2 Net $392,000

Income

Q2 $4.94

Adjusted mln

EBITDA

Q2 Gross 64.4%

Margin

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)