CITI TRENDS, INC._May 2, 2026

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q

(Mark One)


☒	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended May 2, 2026


☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File Number 000-41886

CITI TRENDS, INC.

(Exact name of registrant as specified in its charter)

Delaware		52-2150697
(State or other jurisdiction of		(I.R.S. Employer
incorporation or organization)		Identification No.)

17 Park of Commerce Blvd, Ste 200
Savannah, Georgia		31405
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code (912) 236-1561

Securities registered pursuant to Section 12(b) of the Act:

Title of each class		Trading symbol		Name of each exchange on which registered
Common Stock, $0.01 par value		CTRN		NASDAQ Stock Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.


Large Accelerated Filer ☐ Accelerated Filer ☒		Non-Accelerated Filer ☐

Smaller Reporting Company ☐		Emerging Growth Company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

As of May 29, 2026, the registrant had 8,329,848 outstanding shares of common stock, $0.01 par value per share.

Table of Contents

CITI TRENDS, INC.

FORM 10-Q

TABLE OF CONTENTS


		PAGE
		NUMBER
PART I	FINANCIAL INFORMATION

Item 1	Financial Statements (unaudited)

	Condensed Consolidated Balance Sheets	3

	Condensed Consolidated Statements of Operations	4

	Condensed Consolidated Statements of Cash Flows	5

	Condensed Consolidated Statements of Stockholders’ Equity	6

	Notes to the Condensed Consolidated Financial Statements	7

Item 2	Management’s Discussion and Analysis of Financial Condition and Results of Operations	13

Item 3	Quantitative and Qualitative Disclosures About Market Risk	17

Item 4	Controls and Procedures	17

PART II	OTHER INFORMATION

Item 1	Legal Proceedings	18

Item 1A	Risk Factors	18

Item 2	Unregistered Sales of Equity Securities and Use of Proceeds	18

Item 3	Defaults Upon Senior Securities	18

Item 4	Mine Safety Disclosures	18

Item 5	Other Information	18

Item 6	Exhibits	19

	SIGNATURES	20

Table of Contents

PART I - FINANCIAL INFORMATION

Item 1. Financial Statements.

Citi Trends, Inc.

Condensed Consolidated Balance Sheets

(Unaudited)

(in thousands, except share data)


		May 2,			January 31,
		2026			2026
Assets
Current assets:
Cash and cash equivalents		$	81,100		$	66,092
Inventory			115,246			113,515
Prepaid and other current assets			16,090			12,254
Income tax receivable			522			1,187
Total current assets			212,958			193,048
Property and equipment, net of accumulated depreciation of $306,694 and $301,921 as of May 2, 2026 and January 31, 2026, respectively.			56,639			54,384
Operating lease right of use assets			224,770			221,775
Other assets			1,824			1,964
Total assets		$	496,191		$	471,171

Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable		$	113,238		$	100,693
Operating lease liabilities			44,046			44,397
Accrued expenses			17,430			15,134
Accrued compensation			10,216			12,800
Layaway deposits			1,049			383
Total current liabilities			185,979			173,407
Noncurrent operating lease liabilities			182,416			178,921
Deferred Tax Liability			244			245
Other long-term liabilities			2,209			2,278
Total liabilities			370,848			354,851

Stockholders’ equity:
Common stock, $0.01 par value. Authorized 32,000,000 shares; 16,556,574 shares issued as of May 2, 2026 and 16,545,723 shares issued as of January 31, 2026; 8,356,768 shares outstanding as of May 2, 2026 and 8,345,917 shares outstanding as of January 31, 2026			163			163
Paid in capital			113,621			112,352
Retained earnings			288,862			281,108
Treasury stock, at cost; 8,199,806 shares held as of May 2, 2026 and January 31, 2026			(277,303)			(277,303)
Total stockholders’ equity			125,343			116,320

Commitments and contingencies (Note 7)
Total liabilities and stockholders’ equity		$	496,191		$	471,171

See accompanying notes to the condensed consolidated financial statements (unaudited).

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Citi Trends, Inc.

Condensed Consolidated Statements of Operations

(Unaudited)

(in thousands, except per share amounts)


		Thirteen Weeks Ended
		May 2,			May 3,
		2026			2025
Net sales		$	230,858		$	201,728

Cost of sales (exclusive of depreciation)			(138,630)			(121,918)
Selling, general and administrative expenses			(79,745)			(74,887)
Depreciation			(5,108)			(4,370)
Asset impairment			—			(64)
Income from operations			7,375			489
Interest income			647			458
Interest expense			(86)			(76)
Income before income taxes			7,936			871
Income tax expense			(182)			—
Net income		$	7,754		$	871

Basic net earnings per common share		$	0.95		$	0.11
Diluted net earnings per common share		$	0.91		$	0.11

Weighted average number of shares outstanding
Basic			8,126			8,034
Diluted			8,484			8,170

See accompanying notes to the condensed consolidated financial statements (unaudited).

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Citi Trends, Inc.

Condensed Consolidated Statements of Cash Flows

(Unaudited)

(in thousands)


		Thirteen Weeks Ended
		May 2,			May 3,
		2026			2025
Operating activities:
Net income		$	7,754		$	871
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation			5,108			4,370
Asset impairment			—			64
Non-cash operating lease costs			12,120			12,252
Loss on disposal of property and equipment			1			—
Non-cash stock-based compensation expense			1,303			968
Changes in assets and liabilities:
Inventory			(1,731)			12,709
Prepaid and other current assets			(3,836)			(3,536)
Other assets			140			(453)
Accounts payable			12,572			(21,911)
Accrued expenses and other long-term liabilities			(11,303)			(19,387)
Accrued compensation			(2,584)			2,562
Income tax receivable/payable			665			2
Layaway deposits			666			520
Net cash provided by (used in) operating activities			20,875			(10,969)
Investing activities:
Purchases of property and equipment			(5,833)			(2,104)
Net cash used in investing activities			(5,833)			(2,104)
Financing activities:
Cash used to settle withholding taxes on the vesting of nonvested restricted stock			(34)			(141)
Repurchases of common stock			—			(6,315)
Net cash used in financing activities			(34)			(6,456)
Net increase (decrease) in cash and cash equivalents			15,008			(19,529)
Cash and cash equivalents:
Beginning of period			66,092			61,085
End of period		$	81,100		$	41,556

Supplemental disclosures of cash flow information:
Cash paid for interest		$	64		$	43
Cash refunds of income taxes		$	(483)		$	(2)
Supplemental disclosures of non-cash investing activities:
Accrual for purchases of property and equipment		$	1,530		$	944

See accompanying notes to the condensed consolidated financial statements (unaudited).

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Citi Trends, Inc.

Condensed Consolidated Statements of Stockholders’ Equity

(Unaudited)

(in thousands, except share amounts)


	Common Stock			Paid in		Retained		Treasury Stock
	Shares	Amount		Capital		Earnings		Shares	Amount		Total
Balances — January 31, 2026	16,545,723	$	163	$	112,352	$	281,108	8,199,806	$	(277,303)	$	116,320
Grant of restricted shares	19,313		—		—		—	—		—		—
Forfeiture of restricted shares	(7,675)		—		—		—	—		—		—
Stock-based compensation expense	—		—		1,303		—	—		—		1,303
Shares withheld for settlement of employee taxes on vesting	(787)		—		(34)		—	—		—		(34)
Repurchase of common stock	—		—		—		—	—		—		—
Net income (loss)

SEC Form 10-Q filed by Citi Trends Inc.