Financial Data and Key Metrics Changes - In Q3 2025, total sales reached $197.1 million, reflecting a 10.1% increase compared to Q3 2024. Comparable store sales grew by 10.8%, with a two-year stack growth of 16.5% [23][24] - Year-to-date comparable store sales increased by 10%, or 12.3% on a two-year basis, driven by a 6% increase in transactions [28][30] - Gross margin for Q3 was 38.9%, which is 90 basis points lower than Q3 2024 but aligned with expectations [24][25] - Adjusted EBITDA for the quarter was a loss of $2.9 million, an improvement from a loss of $3.3 million a year ago [28] Business Line Data and Key Metrics Changes - Strong performance was noted across all product categories, with particular strength in children's, men's, and basic apparel [5][6] - The children's division achieved double-digit growth, while men's and women's categories also showed positive momentum [12][13] - The company is focusing on expanding its best tier of products and enhancing its offerings in the footwear category [12][13] Market Data and Key Metrics Changes - Sales increases were observed across all store volume groups and geographies, indicating broad-based improvement [6][24] - The company is strategically positioned to capitalize on the African American consumer market, which is central to its business model [8][9] Company Strategy and Development Direction - The company aims to achieve approximately $45 million of EBITDA by 2027, representing a $60 million increase from 2024 levels, driven by consistent comparable store sales performance and strategic new store expansion [4][22] - A three-phased transformation strategy is in place, focusing on repair, execution, and optimization to drive sustainable growth [34][35] - The company plans to remodel 50 stores annually and open about 25 new stores in 2026, followed by at least 40 stores per year from 2027 onward [20][21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the turnaround strategy, highlighting strong customer traffic and positive sales momentum heading into the holiday season [6][8] - The company anticipates continued SG&A leverage and gross margin expansion, with full-year EBITDA expected to be in the range of $10-$12 million [31][32] - Management acknowledged the need for ongoing improvements in execution and inventory management to sustain growth [17][18] Other Important Information - The company has implemented AI-based allocation systems to enhance inventory efficiency and reduce markdowns [17][18] - A new CRM and loyalty platform is being developed to deepen customer engagement and enhance long-term value [10][52] Q&A Session Summary Question: Insights on merchandising opportunities for sales growth - Management highlighted broad-based growth across categories, with significant opportunities in young men's and plus-size women's segments, as well as in footwear [37][38][39] Question: Impact of government programs on consumer behavior - Management noted that consumer shopping patterns remained consistent despite macroeconomic changes, with strong performance in August and October [41][42] Question: Status of extreme value deals and future expectations - Current extreme value deals account for 2-3% of sales, with plans to increase this to about 10% as the company matures its offerings [43][44] Question: Store opening cadence for 2026 and beyond - The company plans to open stores in early spring, July, and October, with a balanced approach to new store openings [45][46] Question: Progress on shrink mitigation efforts - New AI-capable camera systems have been rolled out to enhance loss prevention, with expectations for a decrease in shrink rates in 2026 [48][49] Question: Details on the CRM and loyalty program - The CRM system is expected to launch in Q1 2026, aimed at enhancing customer engagement and providing exclusive access to deals [51][52]

Group 1 - The stock price of Jimu Group (08187.HK) closed at HKD 0.210 on August 6, down 9.09% from the previous trading day, with an intraday low of HKD 0.159, marking a new low for the past year [1] - On the same day, the net capital outflow for the company was HKD 707,800, with no significant inflow or outflow reported [1] - Jimu Group Limited, formerly known as Yongjun International Holdings Limited, primarily engages in the design, development, procurement, marketing, and sales of footwear [1] Group 2 - The company offers formal and casual shoes for men, women, and children [1]

Group 1 - The Hang Seng Index rose by 0.67% to close at 23,689.13 points on June 23 [1] - Jimu Group (08187.HK) shares increased by 24.72% to HKD 1.11 per share, with a trading volume of 555,000 shares and a turnover of HKD 543,800 [1] - Over the past month, Jimu Group has experienced a cumulative decline of 9.18%, and a year-to-date decline of 32.58%, underperforming the Hang Seng Index by 17.3% [2] Group 2 - As of December 31, 2024, Jimu Group reported total revenue of HKD 10.42 million, a decrease of 60.86% year-on-year; net profit attributable to shareholders was -HKD 9.76 million, a decrease of 785.24% year-on-year; gross margin was 31.85%, and debt-to-asset ratio was 32.79% [2] - Currently, there are no institutional investment ratings for Jimu Group [3] - The textile and apparel industry has an average price-to-earnings (P/E) ratio of -9.28 times, with a median of 0.36 times; Jimu Group's P/E ratio is -12.81 times, ranking 79th in the industry [3] - Jimu Group, formerly known as Yongjun International Holdings Limited, primarily engages in the design, development, procurement, marketing, and sales of footwear, offering formal and casual shoes for men, women, and children [3]