The Children's Place, Inc. (NASDAQ:PLCE) Q1 2019 Earnings Conference Call - Final Transcript
May 15, 2019 • 08:00 am ET
Ladies and gentlemen, thank you for standing by and welcome to the The Children's Place First Quarter 2019 Earnings Conference Call. This call is being recorded. If you object to our recording of this call, please disconnect at this time. All participants have been placed in a listen-only mode and the floor will be opened for your questions following the presentation. After the speakers' remarks, there will be a question-and-answer session. (Operator Instructions)
It is now my pleasure to turn the floor over to Anthony Attardo, Director of Investor Relations to begin.
Good morning, and welcome to the Children's Place conference call. On the call today are Jane Elfers, President and Chief Executive Officer, and Mike Scarpa, Chief Operating Officer and Chief Financial Officer. The Children's Place issued press releases early this morning and copies of the releases and presentation materials for today's call have been posted on the Investor Relations section of the Company's website. After the speakers' remarks, there will be a question-and-answer session.
Before we begin, I would like to remind participants that any forward-looking statements made today are subject to the safe harbor statement found in this morning's press release as well as in the Company's SEC filings, including the Risk Factors section of the Company's annual report on Form 10-K for its most recent fiscal year. These forward-looking statements involve risk and uncertainties that could cause actual results to differ materially. The Company undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof. After the prepared remarks, we will open the call to your questions. We ask that each of you limit yourself to one question, so that everyone will have an opportunity.
And with that, I'd like to turn the call over to Jane Elfers.
Thank you, Anthony and good morning, everybody. After briefly reviewing the Q1 highlights. I will focus my remarks on four topics. First, I will cover how the multi-year strategic positioning of our real estate portfolio allows us to capture a greater portion of the incremental market share donated by poorly positioned retailers now and in the years ahead. Second, I'll update the status of our digital transformation, including the upcoming launch of our personalization initiative, which follows our accelerated digital investment in 2018. Third, I'll provide an update on our progress with respect to the Gymboree integration. And finally, I'll provide an update on our private label credit card program.
Starting with Q1 results, despite a later Easter and the liquidation of approximately 800 Gymboree and Crazy 8 stores. Our sales and EPS results significantly exceeded our expectations. Strength starting in mid-March and through the month of April, helped to offset significant weakness in the first-six weeks of the quarter, when as anticipated the Gymboree liquidation events and delayed tax refunds weighed on our results. Our Easter dressy assortment was very well received and drove significant outperformance, resulting in a comp sales increased in excess of 20% for the