A conference call to discuss first quarter results, business
trends and other matters will be conducted today, August 21,
2002, at 1:30 p.m. Pacific time. The conference call number
is 888/868-9080, and will be accessible to all interested
parties. It will also be Webcast at www.streetevents.com.
A replay will be available at 402/220-2858 and at www.streetevents.com
for approximately two weeks.
Hot Topic, Inc. is a national mall-based specialty retailer
of music-licensed and music-influenced apparel, accessories
and gift items for young men and women principally between
the ages of 12 and 22. Torrid, the Company's second concept,
is a mall-based specialty retailer of plus-sized fashion forward
apparel and accessories that targets young women principally
between the ages of 15 and 29. The Company currently operates
403 Hot Topic stores in 48 states throughout the United States,
15 Torrid stores and Internet stores.
Except for the historical information contained herein, this
news release contains forward-looking statements, including
statements relating to financial results and projections and
other financial performance, and managing growth, including
new store openings. These statements involve risks and uncertainties,
including risks and uncertainties associated with meeting
expected financial results, management of growth, relationships
with mall developers and operators, the risk that available
cash or mall space will not be adequate for planned expansion,
fluctuations in sales and same (comp) store sales results,
risks and uncertainties with respect to new store openings
including risks associated with the Company's new store concepts
and Internet stores, music and fashion trends, competition
from other retailers, uncertainties generally associated with
specialty retailing, the effect of economic conditions, the
effect of severe weather or natural disasters, political and/or
social changes or events that could negatively impact shopping
patterns and/or mall traffic as well as other risks detailed
from time to time in the Company's SEC reports, including
its Quarterly Reports on Form 10-Q and its Annual Report on
Form 10-K for the year ended February 2, 2002. The historical
results achieved are not necessarily indicative of future
prospects of the Company.
Return
to headlines
Announces July and
Second Quarter Sales
CITY OF INDUSTRY, Calif., August 7, 2002--Hot Topic, Inc.
(Nasdaq:HOTT), a national mall-based specialty retailer of
music-licensed and music-influenced apparel, accessories and
gift items for teens, announced net sales for the second quarter
of 2002 (13 weeks ended August 3, 2002) increased 29% to $92,459,000
from net sales of $71,944,000 for the second quarter of 2001.
Same store sales increased by 0.6% compared to the corresponding
13 weeks last year. Last year, the same store sales increase
in the second quarter was 2.4%. Twenty-nine new Hot Topic
stores and seven Torrid stores were opened during the second
quarter.
Net sales for fiscal July 2002 (four weeks ended August 3,
2002) increased 26% to $32,783,000 from net sales of $26,086,000
for fiscal July 2001. Same store sales for the four weeks
ended August 3, 2002 decreased by 2.2% compared to the corresponding
four weeks last year. July 2001 same store sales increased
by 3.8% and same store sales in July 2000 increased by 19.7%.
Total sales for the first 26 weeks of fiscal 2002, ended
August 3, 2002, were $172,368,000, an increase of 28% over
sales of $134,871,000 for the same period of fiscal 2001.
Same store sales increased 0.1% for the first 26 weeks of
fiscal 2002 compared to the first 26 weeks of fiscal 2001.
Same store sales for the first 26 weeks of fiscal 2001 increased
by 5.0%.
The Company also announced the repurchase of an aggregate
of 237,927 shares of its Common Stock between July 15 and
July 17, 2002 at an average cost of $21.94. On May 8, 2002,
the Company announced its Board of Directors had approved
the repurchase of up to an aggregate of 1,000,000 shares of
its Common Stock.
Betsy McLaughlin, President and Chief Executive Officer,
said, "As we previously announced, July sales were below our
previous expectations, principally the result of disappointing
business in men's tops and men's bottoms. Rock tees, music,
women's and many accessory categories produced positive average
store increases. Internet sales continue to exceed our internal
plan since the re-launch of our new web sites and Torrid continues
to open with great customer response in new markets. We are
on schedule with our plan to open a total of 70 Hot Topic
locations and 15 Torrid stores in fiscal 2002."
For more detailed information on July sales results, you
can call 626/771-0006 to listen to a recorded commentary.
The Company expects to issue a news release to report full
financial results for the second quarter ended August 3, 2002
after market close on Wednesday, August 21, 2002. A conference
call to discuss second quarter results, business trends, and
other matters will be conducted at 1:30 p.m. Pacific time
on August 21, 2002. The conference call number is 888/868-9080,
and will be accessible to all interested parties. It will
also be webcast at www.streetevents.com. A replay will be
available at 402/220-2858 and at www.streetevents.com.
Hot Topic, Inc. is a national mall-based specialty retailer
of music-licensed and music-influenced apparel, accessories
and gift items for young men and women principally between
the ages of 12 and 22. Torrid, the Company's second concept,
is a mall-based specialty retailer of plus-sized fashion forward
apparel and accessories that targets young women principally
between the ages of 15 and 29. The Company currently operates
401 Hot Topic stores in 48 states throughout the United States,
14 Torrid stores and Internet stores.
Except for the historical information contained herein, this
news release contains forward-looking statements, including
statements relating to expected financial results and other
financial performance, and managing growth, including new
store openings. These statements involve risks and uncertainties,
including risks and uncertainties associated with meeting
expected financial results, management of growth, relationships
with mall developers and operators, the risk that available
cash or mall space will not be adequate for planned expansion,
fluctuations in sales and same (comp) store sales results,
risks and uncertainties with respect to new store openings
including risks associated with the Company's new store concepts
and Internet stores, music and fashion trends, competition
from other retailers, uncertainties generally associated with
specialty retailing, the effect of economic conditions, the
effect of severe weather or natural disasters, political and/or
social changes or events that could negatively impact shopping
patterns and/or mall traffic as well as other risks detailed
from time to time in the Company's SEC reports, including
its Quarterly Reports on Form 10-Q and its Annual Report on
Form 10-K for the year ended February 2, 2002. The historical
results achieved are not necessarily indicative of future
prospects of the Company.
Return
to headlines
Lowering Anticipated
Sales and Earnings for Second and Third Quarters
CITY OF INDUSTRY, Calif., July 31, 2002--Hot Topic, Inc.
(Nasdaq:HOTT) today announced that net sales for fiscal July
2002 are trending below our original expectation. The Company
anticipates that comparable sales for fiscal July 2002, the
four weeks ending August 3, 2002, will decrease 3% to 4% as
compared to the corresponding period last year. Through July
29, 2002, month-to-date comparable store sales have decreased
approximately 2% from the same period last year, with lower
comparable sales trends in the current week. As a result,
the Company currently expects total sales for the second quarter
of 2002, ending August 3, 2002, to be approximately $92 million.
Based on these sales assumptions, the Company currently estimates
that second-quarter net income will be approximately $0.13
per diluted share, or the same as in the second quarter of
2001.
The Company also announced that it currently believes that,
based on early back-to-school sales in July 2002 and the difficult
August 2002 comparable sales comparison to last year, sales
in August 2002 may not meet our previous expectations. Last
year, comparable sales were 9.7% in August. Assuming that
the current comparable sales trend continues in August, the
Company presently estimates that net income for the third
quarter would be in the range of $0.27 to $0.29 per diluted
share, compared to $0.26 in the third quarter of fiscal 2001.
Betsy McLaughlin, President and Chief Executive Officer,
said, "During May and June we produced comps of 2.5% and 2.1%,
respectively. At the beginning of July, indications were that
this trend of low single-digit comp increases would continue.
Through the second week of July, our comps were trending down
1%, and the quarter-to-date comps were flat. By the end of
the third week, the quarter-to-date comps turned negative.
In anticipation of the continued negative trend this week,
we are revising our comp sales expectations for July.
"While sales in women's, rock-tees, music and many accessory
categories continue to comp positively, the men's business,
both tops and bottoms, has been very disappointing. In the
absence of a clear men's trend, coupled with the historically
significant contribution of men's during the back-to-school
period, we are also revising our original earnings expectations
for the third quarter."
Hot Topic, Inc. is a national mall-based specialty retailer
of music-licensed and music-influenced apparel, accessories
and gift items for young men and women, principally between
the ages of 12 and 22. Torrid, the Company's second concept,
is a mall-based specialty retailer of plus-sized fashion-forward
apparel and accessories that targets young women principally
between the ages of 15 and 29. The Company currently operates
400 Hot Topic stores in 48 states throughout the United States,
13 Torrid stores and Internet stores.
Except for the historical information contained herein,
this news release contains forward-looking statements, including
statements relating to expected financial results and other
financial performance, and managing growth, including new
store openings. These statements involve risks and uncertainties,
including risks and uncertainties associated with meeting
expected financial results, management of growth, relationships
with mall developers and operators, the risk that available
cash or mall space will not be adequate for planned expansion,
fluctuations in sales and same (comp) store sales results,
risks and uncertainties with respect to new store openings
including risks associated with the Company's new store concepts
and Internet stores, music and fashion trends, competition
from other retailers, uncertainties generally associated with
specialty retailing, the effect of economic conditions, the
effect of severe weather or natural disasters, political and/or
social changes or events that could negatively impact shopping
patterns and/or mall traffic as well as other risks detailed
from time to time in the Company's SEC reports, including
its Quarterly Reports on Form 10-Q and its Annual Report on
Form 10-K for the year ended February 2, 2002. The historical
results achieved are not necessarily indicative of future
prospects of the Company.
Return
to headlines
Announces June
2002 Sales
CITY OF INDUSTRY, Calif., July 10, 2002--Hot Topic, Inc.(Nasdaq:HOTT),
a national mall-based specialty retailer of music-licensed
and music-influenced apparel, accessories and gift items for
teens, announced net sales for fiscal June 2002 (five weeks
ended July 6, 2002) increased 30% to $34,640,000 from net
sales of $26,572,000 for fiscal June 2001. Same store sales
for the five weeks ended July 6, 2002 increased by 2.1% compared
to the corresponding five weeks last year. June 2001 same
store sales increased by 1.8% and same store sales in June
2000 increased by 25.4%. Thirteen new Hot Topic stores and
three Torrid stores were opened during fiscal June 2002.
Total sales for the first 22 weeks of fiscal 2002, ended
July 6, 2002, were $139,565,000, an increase of 28% over sales
of $108,785,000 for the same period of fiscal 2001. Same store
sales increased 0.6% for the first 22 weeks of fiscal 2002
compared to the first 22 weeks of fiscal 2001. Last year,
same store sales for the first 22 weeks of fiscal 2001 increased
by 5.3%.
Betsy McLaughlin, President and Chief Executive Officer,
said, "During June, we continued to experience positive comparable
store sales in both apparel and accessories. Our inventories
were on plan at the beginning and throughout the month, and
we had low promotional activity. As a result, merchandise
margins have remained strong. Sales in our newer, non-comparable
stores continued to be above plan."
McLaughlin continued, "We continue to be optimistic about
the upcoming back-to-school selling season. Inventories are
on plan and back-to-school merchandise receipts and shipments
are on schedule."
For more detailed information on June sales results, you
can call 626-771-0006 to listen to a recorded commentary.
Hot Topic, Inc. is a national mall-based specialty retailer
of music-licensed and music-influenced apparel, accessories
and gift items for young men and women principally between
the ages of 12 and 22. Torrid, the Company's second concept,
is a mall-based specialty retailer of plus-sized fashion forward
apparel and accessories that targets young women principally
between the ages of 15 and 29. The Company currently operates
395 Hot Topic stores in 48 states throughout the United States,
eleven Torrid stores and Internet stores.
Except for the historical information contained herein,
this news release contains forward-looking statements, including
statements relating to expected financial results and other
financial performance, and managing growth, including new
store openings. These statements involve risks and uncertainties,
including risks and uncertainties associated with meeting
expected financial results, management of growth, relationships
with mall developers and operators, the risk that available
cash or mall space will not be adequate for planned expansion,
fluctuations in sales and same (comp) store sales results,
risks and uncertainties with respect to new store openings
including risks associated with the Company's new store concepts
and Internet stores, music and fashion trends, competition
from other retailers, uncertainties generally associated with
specialty retailing, the effect of economic conditions, the
effect of severe weather or natural disasters, political and/or
social changes or events that could negatively impact shopping
patterns and/or mall traffic as well as other risks detailed
from time to time in the Company's SEC reports, including
its Quarterly Reports on Form 10-Q and its Annual Report on
Form 10-K for the year ended February 2, 2002. The historical
results achieved are not necessarily indicative of future
prospects of the Company.
Return
to headlines
Announces Re-launch
of Web Sites
CITY OF INDUSTRY, Calif., June 18, 2002--Hot Topic, Inc.
(Nasdaq:HOTT), a national mall-based specialty retailer of
music-licensed and music-influenced apparel, accessories and
gift items for teens, announced that it has re-launched its
web sites and internet stores, www.hottopic.com and www.torrid.com.
The new sites feature improvements to the visual design
with larger product images, product grouping by category and
lifestyle themes along with enhanced functionality, content
and community features. The site for Torrid, the Company's
junior plus-size concept, is now a stand-alone separated site,
with a link to hottopic.com.
The web sites were developed by R/GA, a part of the Interpublic
Group of Companies (NYSE:IPG), one of the world's largest
advertising and marketing services organizations.
Betsy McLaughlin, President and Chief Executive Officer,
said, "We are very pleased with the positive early customer
response to the new site. Hot Topic has been selling on the
web since 1997 and has experienced continued rapid site traffic
and sales growth. The new sites, developed for us by R/GA,
significantly enhance the shopping experience and provide
for additional sales through suggestions of related merchandise
and lifestyle, brand and product groupings.
"Since we launched torrid.com in April, 2001, our Torrid
customers have asked us for a separate site. The new torrid.com
site was designed specifically for her and we believe it will
increase awareness of the Torrid brand and sales," added McLaughlin.
Hot Topic, Inc. is a national mall-based specialty retailer
of music-licensed and music-influenced apparel, accessories
and gift items for young men and women principally between
the ages of 12 and 22. Torrid, the Company's second concept,
is a mall-based specialty retailer of plus-sized fashion forward
apparel and accessories that targets young women principally
between the ages of 15 and 29. The Company currently operates
385 Hot Topic stores in 48 states throughout the United States,
nine Torrid stores and Internet stores www.hottopic.com and
www.torrid.com.
Except for the historical information contained herein,
this news release contains forward-looking statements, including
statements relating to expected financial results and other
financial performance, and managing growth, including new
store openings. These statements involve risks and uncertainties,
including risks and uncertainties associated with meeting
expected financial results, management of growth, relationships
with mall developers and operators, the risk that available
cash or mall space will not be adequate for planned expansion,
fluctuations in sales and same (comp) store sales results,
risks and uncertainties with respect to new store openings
including risks associated with the Company's new store concepts
and Internet stores, music and fashion trends, competition
from other retailers, uncertainties generally associated with
specialty retailing, the effect of economic conditions, the
effect of severe weather or natural disasters, political and/or
social changes or events that could negatively impact shopping
patterns and/or mall traffic as well as other risks detailed
from time to time in the Company's SEC reports, including
its Quarterly Reports on Form 10-Q and its Annual Report on
Form 10-K for the year ended February 2, 2002. The historical
results achieved are not necessarily indicative of future
prospects of the Company.
Return
to headlines
Announces May 2002
Sales
CITY OF INDUSTRY, Calif., June 5, 2002--Hot Topic, Inc. (Nasdaq:HOTT),
a national mall-based specialty retailer of music-licensed
and music-influenced apparel, accessories and gift items for
teens, announced net sales for fiscal May 2002 (four weeks
ended June 1, 2002) increased 30% to $25,022,000 from net
sales of $19,287,000 for fiscal May 2001. Same store sales
for the four weeks ended June 1, 2002 increased by 2.5% compared
to the corresponding four weeks last year. May 2001 same store
sales increased by 1.5% and same store sales in May 2000 increased
by 19.7%. Ten new Hot Topic stores and one Torrid store were
opened during fiscal May 2002.
Total sales for the first 17 weeks of fiscal 2002, ended
June 1, 2002, were $104,931,000, an increase of 28% over sales
of $82,213,000 for the same period of fiscal 2001. Same store
sales increased 0.1% for the first 17 weeks of fiscal 2002
compared to the first 17 weeks of fiscal 2001. Last year,
same store sales for the first 17 weeks of fiscal 2001 increased
by 6.5%.
Betsy McLaughlin, President and Chief Executive Officer,
said, "The improvements in sales of the accessory and gift
categories that we experienced in late April continued in
May. All major merchandise categories produced positive comp
results in May. Our inventories are on plan as we enter the
summer selling season."
McLaughlin continued, "During May, our second new 2002 Torrid
store opened in the Garden State Plaza Mall in New Jersey.
We continue to be pleased with sales at both our Torrid stores
and torrid.com. The next new Torrid store is scheduled to
open this week in the Independence Mall in the Kansas City,
Missouri market."
For more detailed information on May sales results, you
can call 626-771-0006 to listen to a recorded commentary.
Hot Topic, Inc. is a national mall-based specialty retailer
of music-licensed and music-influenced apparel, accessories
and gift items for young men and women principally between
the ages of 12 and 22. The Company currently operates 382
Hot Topic stores in 48 states throughout the United States,
eight Torrid stores and Internet stores.
Except for the historical information contained herein,
this news release contains forward-looking statements, including
statements relating to expected financial results and other
financial performance, and managing growth, including new
store openings. These statements involve risks and uncertainties,
including risks and uncertainties associated with meeting
expected financial results, management of growth, relationships
with mall developers and operators, the risk that available
cash or mall space will not be adequate for planned expansion,
fluctuations in sales and same (comp) store sales results,
risks and uncertainties with respect to new store openings
including risks associated with the Company's new store concepts
and Internet stores, music and fashion trends, competition
from other retailers, uncertainties generally associated with
specialty retailing, the effect of economic conditions, the
effect of severe weather or natural disasters, political and/or
social changes or events that could negatively impact shopping
patterns and/or mall traffic as well as other risks detailed
from time to time in the Company's SEC reports, including
its Quarterly Reports on Form 10-Q and its Annual Report on
Form 10-K for the year ended February 2, 2002. The historical
results achieved are not necessarily indicative of future
prospects of the Company.
Return
to headlines
Reports First Quarter
Net Income
CITY OF INDUSTRY, Calif., May 22, 2002--Hot Topic, Inc. (Nasdaq:HOTT),
a national mall-based specialty retailer of music-licensed
and music-influenced apparel, accessories and gift items for
teens, reported record results for the first quarter (13 weeks)
ended May 4, 2002. All references to shares and per share
amounts reflect a 3-for-2 stock split effected on February
7, 2002.
Net income in the first quarter increased 10% to $3,683,000
or $0.11 per diluted share from $3,347,000 or $0.10 per diluted
share for the first quarter of the last fiscal year. As previously
reported, net sales for the first quarter increased 27% to
$79,909,000 from $62,927,000 for the first quarter of fiscal
2001 and comparable-store sales decreased 0.5% for the quarter
over last year.
Betsy McLaughlin, President and Chief Executive Officer,
said, "While our comparable store sales performance for the
quarter was below our plan, we are pleased to report a 17%
increase in operating income and 10% growth in EPS. These
increases are due to better-than-plan sales results from our
newer non-comp stores, Torrid and the Internet, as well as
our consistently high merchandise margins and the continued
leveraging of G & A expenses."
McLaughlin added, "We continue to be optimistic about the
second quarter. Sales of the accessory and gift categories
improved during each week of April. New Hot Topic stores continued
to open with initial sales exceeding our internal plan. We
continue to be pleased with sales at both our Torrid stores
and torrid.com and look forward to opening six additional
Torrid stores in the second quarter."
A conference call to discuss first quarter results, business
trends and other matters will be conducted today, May 22,
2002, at 1:30 p.m. Pacific time. The conference call number
is 888/868-9080, and will be accessible to all interested
parties. It will also be web cast at www.streetevents.com.
A replay will be available at 402/220-2858 and at www.streetevents.com
for approximately two weeks.
Hot Topic, Inc. is a mall-based specialty retailer of music-licensed
and music-influenced apparel, accessories and gift items for
young men and women principally between the ages of 12 and
22. The Company currently operates 381 Hot Topic stores in
48 states throughout the United States, seven Torrid stores
and Internet stores.
Except for the historical information contained herein,
this news release contains forward-looking statements, including
statements relating to expected sales and earnings results
and other financial performance, and managing growth, including
new store openings. These statements involve risks and uncertainties,
including risks and uncertainties associated with meeting
expected financial results, management of growth, relationships
with mall developers and operators, the risk that available
cash or mall space will not be adequate for planned expansion,
fluctuations in sales and comp store sales results, risks
and uncertainties with respect to new store openings including
risks associated with the Company's new store concepts and
Internet stores, music and fashion trends, competition from
other retailers, uncertainties generally associated with specialty
retailing, the effect of economic conditions, the effect of
severe weather or natural disasters, political and/or social
changes or events that could negatively impact shopping patterns
and/or mall traffic as well as other risks detailed from time
to time in the Company's SEC reports, including its Quarterly
Reports on Form 10-Q and its Annual Report on Form 10-K for
the year ended February 2, 2002. The historical results achieved
are not necessarily indicative of future prospects of the
Company.
Return
to headlines
Announces April
2002 Sales Results and Stock Repurchase
CITY OF INDUSTRY, Calif., May 8, 2002--Hot Topic, Inc.(Nasdaq:HOTT),
a national mall-based specialty retailer of music-licensed
and music-influenced apparel, accessories and gift items for
teens, announced net sales for fiscal April 2002 (four weeks
ended May 4, 2002) increased 24% to $24,383,000 from net sales
of $19,615,000 for fiscal April 2001. Same store sales for
the four weeks ended May 4, 2002 decreased by 2.0% compared
to the corresponding four weeks last year. April 2001 same
store sales increased by 4.2% and same store sales in April
2000 increased by 24.3%.
Net sales for the first quarter of fiscal 2002 (13 weeks
ended May 4, 2002), were $79,895,000, an increase of 27% over
net sales of $62,927,000 for the same period of fiscal 2001.
Same store sales decreased 0.5% for the first 13 weeks of
fiscal 2002 compared to the first 13 weeks of fiscal 2001.
Last year, same store sales for the first 13 weeks of fiscal
2001 increased by 8.0%. Twenty-six new Hot Topic stores and
one new Torrid store were opened in the first quarter of 2002.
The Company also announced today that its Board of Directors
has approved the repurchase of up to an aggregate of 1,000,000
shares of its Common Stock. The Company intends to make repurchases
from time to time on the open market at prevailing market
prices or in negotiated transactions off the market. The repurchase
is expected to continue through January 31, 2003 unless extended
or shortened by the Board of Directors.
Betsy McLaughlin, President and Chief Executive Officer,
said, "While the comps for the first week of April were negatively
impacted due to the Easter shift into March this year, we
are pleased to have had positive comps in each of the remaining
three weeks of the fiscal month. In addition, the average
store sales of the accessory and gift categories improved
during each week of the month."
"Our first new 2002 Torrid store opened last week in the
Northridge Mall in Southern California. Initial sales have
exceeded our internal plan. We continue to be pleased with
sales at both our Torrid stores and torrid.com. The next new
Torrid store is scheduled to open the week of May 20th in
the Garden State Plaza in New Jersey," McLaughlin added.
McLaughlin continued, "We believe that the stock repurchase
is a wise investment of a portion of our cash and that it
is in our shareholders' best interest."
The Company expects to issue a news release to report full
financial results for the first quarter ended May 4, 2002
after market close on Wednesday, May 22, 2002. A conference
call to discuss first quarter results, business trends, Torrid
and other matters will be conducted at 1:30pm Pacific time
on May 22, 2002. The conference call number is (888) 868-9080,
and will be accessible to all interested parties. It will
also be web cast at www.streetevents.com . A replay will be
available at (402) 220-2858 and at www.streetevents.com.
Hot Topic, Inc. is a national mall-based specialty retailer
of music-licensed and music-influenced apparel, accessories
and gift items for young men and women principally between
the ages of 12 and 22. The Company currently operates 372
Hot Topic stores in 48 states throughout the United States,
seven Torrid stores and Internet stores.
Except for the historical information contained herein,
this news release contains forward-looking statements, including
statements relating to expected financial results and other
financial performance, and managing growth, including new
store openings. These statements involve risks and uncertainties,
including risks and uncertainties associated with meeting
expected financial results, management of growth, relationships
with mall developers and operators, the risk that available
cash or mall space will not be adequate for planned expansion,
fluctuations in sales and comp store sales results, risks
and uncertainties with respect to new store openings including
risks associated with the Company's new store concepts and
Internet stores, music and fashion trends, competition from
other retailers, uncertainties generally associated with specialty
retailing, the effect of economic conditions, the effect of
severe weather or natural disasters, political and/or social
changes or events that could negatively impact shopping patterns
and/or mall traffic as well as other risks detailed from time
to time in the Company's SEC reports, including its Quarterly
Reports on Form 10-Q and its Annual Report on Form 10-K for
the year ended February 2, 2002. The historical results achieved
are not necessarily indicative of future prospects of the
Company.
Return
to headlines
March 2002 Sales
Increase 30%
CITY OF INDUSTRY, Calif., April 9, 2002 -- Hot Topic, Inc.
(Nasdaq:HOTT), a mall-based specialty retailer of music-licensed
and music-influenced apparel, accessories and gift items for
teens, announced net sales for fiscal March 2002 (five weeks
ended April 6, 2002) increased 30% to $32,387,000 from net
sales of $24,963,000 for fiscal March 2001.
Same store sales for the five weeks ended April 6, 2002
increased by 1.2% compared to the corresponding five weeks
last year. Last year, March 2001 same store sales increased
by 9.6% and in March 2000, same store sales increased by 19.6%.
Thirteen new Hot Topic stores were opened in March 2002.
Total sales for the first nine weeks of fiscal 2002, ended
April 6, 2002, were $55,507,000, an increase of 28% over sales
of $43,311,000 for the same period of fiscal 2001. Same store
sales increased 0.1% for the first nine weeks of fiscal 2002
compared to the first nine weeks of fiscal 2001. Last year,
same store sales for the first nine weeks of fiscal 2001 increased
by 9.8%.
Betsy McLaughlin, President and Chief Executive Officer,
said, "Our positive comparable store sales for March were
driven by the earlier Spring break caused by an earlier Easter
holiday this year. While we were pleased with the positive
comps produced by apparel and music licensed merchandise,
these higher sales were offset in part by negative comps in
certain accessory categories. Our store opening schedule is
on plan as we opened 13 additional Hot Topic locations during
the month of March.
"We continue to be pleased with sales at both our Torrid
stores and torrid.com. Construction has started on the first
two of the planned 15 additional Torrid locations in 2002.
These two stores, in the Garden State Plaza in New Jersey
and the Northridge Mall in Southern California, are both scheduled
to open in May," McLaughlin added.
For more detailed information on March sales results, you
can call 626/771-0006 to listen to a recorded commentary.
The Company is scheduled to present at the Banc of America
Securities Consumer Conference on Wednesday, April 10, at
9:40 a.m. ET.
Hot Topic, Inc. is a mall-based specialty retailer of music-licensed
and music-influenced apparel, accessories and gift items for
young men and women principally between the ages of 12 and
22. The Company currently operates 362 Hot Topic stores in
48 states throughout the United States and six Torrid stores.
Except for the historical information contained herein,
this news release contains forward-looking statements, including
statements relating to expected sales and earnings results
and other financial performance, and managing growth, including
new store openings. These statements involve risks and uncertainties,
including risks and uncertainties associated with meeting
expected financial results, management of growth, relationships
with mall developers and operators, the risk that available
cash or mall space will not be adequate for planned expansion,
fluctuations in sales and comp store sales results, risks
and uncertainties with respect to new store openings including
risks associated with the Company's new store concepts and
Internet stores, music and fashion trends, competition from
other retailers, uncertainties generally associated with specialty
retailing, the effect of economic conditions, the effect of
severe weather or natural disasters, political and/or social
changes or events that could negatively impact shopping patterns
and/or mall traffic as well as other risks detailed from time
to time in the Company's SEC reports, including its Quarterly
Reports on Form 10-Q and its Annual Report on Form 10-K for
the year ended February 3, 2001. The historical results achieved
are not necessarily indicative of future prospects of the
Company.
Return
to headlines
February 2002
Sales Increase 26%
CITY OF INDUSTRY, Calif., March 4, 2002 -- Hot Topic, Inc.
(Nasdaq:HOTT), a mall-based specialty retailer of music-licensed
and music-influenced apparel, accessories and gift items for
teens, announced net sales for fiscal February 2002 (four
weeks ended March 2, 2002) increased 26% to $23,112,000 from
net sales of $18,348,000 for fiscal February 2001. Same store
sales for the four weeks ended March 2, 2002 decreased by
1.4% compared to the corresponding four weeks last year. Last
year, February same store sales increased by 10.0% and in
February 2000, same store sales increased by 31.2%. Three
new Hot Topic stores were opened in February 2002.
Betsy McLaughlin, President and Chief Executive Officer,
said, "Sales in February improved over January as new merchandise
receipts flowed to our stores. As we move into March, our
inventory is well positioned to support the upcoming Spring
break season that begins earlier this year, in mid-March,
due to the shift of Easter."
In a separate news release today, the company also reported
earnings for the fourth quarter and full year of fiscal 2001
and gave guidance for fiscal 2002 new store openings, sales
and earnings.
Hot Topic, Inc. is a mall-based specialty retailer of music-licensed
and music-influenced apparel, accessories and gift items for
young men and women principally between the ages of 12 and
22. The Company currently operates 349 Hot Topic stores in
48 states throughout the United States, six Torrid stores
and Internet stores www.hottopic.com and www.torrid.com.
Except for the historical information contained herein,
this news release contains forward-looking statements, including
statements relating to expected sales and earnings results
and other financial performance, and managing growth, including
new store openings. These statements involve risks and uncertainties,
including risks and uncertainties associated with meeting
expected financial results, management of growth, relationships
with mall developers and operators, the risk that available
cash or mall space will not be adequate for planned expansion,
fluctuations in sales and comp store sales results, risks
and uncertainties with respect to new store openings including
risks associated with the Company's new store concepts and
Internet stores, music and fashion trends, competition from
other retailers, uncertainties generally associated with specialty
retailing, the effect of economic conditions, the effect of
severe weather or natural disasters, political and/or social
changes or events that could negatively impact shopping patterns
and/or mall traffic as well as other risks detailed from time
to time in the Company's SEC reports, including its Quarterly
Reports on Form 10-Q and its Annual Report on Form 10-K for
the year ended February 3, 2001. The historical results achieved
are not necessarily indicative of future prospects of the
Company.
Return
to headlines
Reports Record
Fourth Quarter EPS
CITY of INDUSTRY, Calif., March 4, 2002 -- Hot Topic, Inc.(NASDAQ:HOTT),
a mall-based specialty retailer of music-licensed and music-influenced
apparel, accessories and gift items for teens, reported company-record
results for both the fourth quarter (13 weeks) and the 2001
fiscal year (52 weeks) ended February 2, 2002. All references
to shares and per share amounts reflect a 3-for-2 stock split
effected on February 7, 2002.
Net income in the fourth quarter (13 weeks) increased 20%
to $12,467,000 or $0.38 per diluted share from $10,364,000
or $0.32 per diluted share for the fourth quarter of the last
fiscal year (a 14 week quarter). Net sales for the fourth
quarter increased 23% to $109,142,000 from $88,428,000 for
the fourth quarter of fiscal 2000.
As previously reported, comparable store sales increased
3.8% for the fourth quarter over last year's fourth quarter.
For the fiscal year (52 weeks) ended February 2, 2002, net
income increased 23% to $28,600,000 or $0.86 per diluted share
from $23,245,000 or $0.72 per diluted share for fiscal 2000
(a 53 week year). Net sales for fiscal 2001 were $336,093,000,
an increase of 31% from net sales of $257,187,000 for fiscal
2000.
As previously reported, comparable-store sales increased
3.9% for the year. At the end of fiscal 2001, the Company
operated 352 stores, including six Torrid stores, compared
to 274 stores at the end of fiscal 2000.
Betsy McLaughlin, President and Chief Executive Officer,
said, "We are pleased with our performance for fiscal 2001.
We increased net sales by 31%, net income by 23% and EPS by
19% with each quarter producing positive comparable store
sales. We opened 73 new Hot Topic stores, successfully launched
our new concept, Torrid, and added to our senior management
team. We are proud that in fiscal 2001, as in each of our
prior years, all Hot Topic stores were profitable. Our average
Hot Topic store produced over $1 million in sales and generated
$642 per square foot. Our strong balance sheet remains debt
free and was further strengthened, with cash increasing 39%
to $71.3 million and shareholder equity up 36% to $135.4 million."
McLaughlin continued, "For fiscal 2002, we plan to open
70 Hot Topic stores and 15 Torrid stores. We expect comparable
store sales to increase 2% to 4%, total net sales to increase
approximately 27% and diluted earnings per share of approximately
$1.03, a 20% increase over the fiscal 2001 results.
"We enter fiscal 2002 with our ongoing commitment to continue
listening to our customers and focus on a differentiated assortment.
We are confident of our ability to expand and grow Hot Topic
in 2002 and over the long-term," added McLaughlin.
In a separate news release today, the company also reported
sales for February 2002, the first month of fiscal 2002.
A conference call to discuss fourth quarter and fiscal year
results, business trends and other matters will be conducted
Tuesday, March 5, 2002, at 1:30pm Pacific Standard time. The
conference call number is (888) 868-9080, and will be accessible
to all interested parties. It will also be web cast at www.streetevents.com.
A replay will be available at (402) 220-2858 and at www.streetevents.com
for approximately two weeks.
Hot Topic, Inc. is a mall-based specialty retailer of music-licensed
and music-influenced apparel, accessories and gift items for
young men and women principally between the ages of 12 and
22. The Company currently operates 349 Hot Topic stores in
48 states throughout the United States, six Torrid stores
and Internet stores www.hottopic.com and www.torrid.com.
Except for the historical information contained herein,
this news release contains forward-looking statements, including
statements relating to expected sales and earnings results
and other financial performance, and managing growth, including
new store openings. These statements involve risks and uncertainties,
including risks and uncertainties associated with meeting
expected financial results, management of growth, relationships
with mall developers and operators, the risk that available
cash or mall space will not be adequate for planned expansion,
fluctuations in sales and comp store sales results, risks
and uncertainties with respect to new store openings including
risks associated with the Company's new store concepts and
Internet stores, music and fashion trends, competition from
other retailers, uncertainties generally associated with specialty
retailing, the effect of economic conditions, the effect of
severe weather or natural disasters, political and/or social
changes or events that could negatively impact shopping patterns
and/or mall traffic as well as other risks detailed from time
to time in the Company's SEC reports, including its Quarterly
Reports on Form 10-Q and its Annual Report on Form 10-K for
the year ended February 3, 2001. The historical results achieved
are not necessarily indicative of future prospects of the
Company.
Return
to headlines
