# EDGAR Filing Document

**Accession Number:** 0001524025
**File Stem:** 0001628280-26-016801
**Filing Date:** 2026-3
**Character Count:** 27640
**Document Hash:** 3af0e7fb4549afc398ecd60bd48d4198
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001628280-26-016801.hdr.sgml**: 20260311

**ACCESSION NUMBER**: 0001628280-26-016801

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 14

**CONFORMED PERIOD OF REPORT**: 20260310

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers: Compensatory Arrangements of Certain Officers

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20260311

**DATE AS OF CHANGE**: 20260311

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** TILLY'S, INC.
- **CENTRAL INDEX KEY:** 0001524025
- **STANDARD INDUSTRIAL CLASSIFICATION:** RETAIL-APPAREL & ACCESSORY STORES [5600]
- **ORGANIZATION NAME:** 07 Trade & Services
- **EIN:** 452164791
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 0128

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-35535
- **FILM NUMBER:** 26743270

**BUSINESS ADDRESS:**
- **STREET 1:** 10 WHATNEY
- **CITY:** IRVINE
- **STATE:** CA
- **ZIP:** 92618
- **BUSINESS PHONE:** (949) 609-5599

**MAIL ADDRESS:**
- **STREET 1:** 10 WHATNEY
- **CITY:** IRVINE
- **STATE:** CA
- **ZIP:** 92618

?xml version='1.0' encoding='ASCII'? tlys-20260310

    

**UNITED STATES** 

**SECURITIES AND EXCHANGE COMMISSION** 

**Washington, D.C. 20549** 

_______________________________________________

**FORM 8-K** 

_______________________________________________

**CURRENT REPORT** 

**Pursuant to Section 13 or 15(d) of the** 

**Securities Exchange Act of 1934** 

**Date of Report (Date of Earliest Event Reported): March 10, 2026** 

_______________________________________________

**TILLY'S, INC.** 

**(Exact Name of Registrant as Specified in its Charter)** 

---

| | | |
|:---|:---|:---|
| **Delaware** | **1-35535** | **45-2164791** |
| **(State of Incorporation)** | **(Commission File Number)** | **(IRS Employer<br>Identification Number)** |

---

**10 Whatney** 

**Irvine, California 92618** 

**(Address of Principal Executive Offices) (Zip Code)** 

**(949) 609-5599** 

**(Registrant's Telephone Number, Including Area Code)** 

______________________________________________

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

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

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| | | |
|:---|:---|:---|
| **Title of each class** | **Trading Symbol(s)** | **Name of each exchange on which registered** |
| Class A Common Stock, $0.001 par value per share | TLYS | New York Stock Exchange |

---

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

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. ☐

    

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---

| | |
|:---|:---|
| **Item 2.02** | **Results of Operations and Financial Condition** |

---

On March 11, 2026, Tilly's, Inc. (the "Company") issued an earnings press release for the fourth quarter and full year ended January 31, 2026. The press release is furnished as Exhibit 99.1 and is incorporated herein by reference. The information furnished pursuant to this Item 2.02, including Exhibit 99.1 attached hereto, shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934 (the "Exchange Act") or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, regardless of any general incorporation language in such filing.

---

| | |
|:---|:---|
| **Item 5.02** | **Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.**  |

---

On and effective March 10, 2026, the Company promoted Michael J. Cingolani, age 48, to serve as the Company's Executive Vice President, Chief Merchandising Officer. Mr. Cingolani was previously serving as the Company's Senior Vice President, General Merchandising Manager since November 8, 2024.

Mr. Cingolani will receive an annual base salary of $500,000 and the opportunity to earn an annual cash bonus targeted at an amount equal to 75% of his annual base salary with a maximum amount equal to 150% of his annual base salary. Mr. Cingolani's annual cash bonus for fiscal 2026 will be based on exceeding the Company's budgeted comparable net sales and pre-bonus operating income targets.

The information required by Items 401(b), (d), and (e) and Item 404(a) of Regulation S-K regarding Mr. Cingolani was previously reported in the Company's Definitive Proxy Statement filed with the SEC on April 21, 2025, and is incorporated by reference herein.

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| | |
|:---|:---|
| **Item 9.01** | **Financials Statements and Exhibits** |

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The following exhibits are being furnished herewith.

(d)&nbsp;&nbsp;&nbsp;&nbsp;Exhibits.

---

| | |
|:---|:---|
| <u>Exhibit No.</u> | <u>Exhibit Title or Description</u> |
| 99.1 | <u>[Press Release of Tilly's, Inc., dated March 11, 2026.](q4fy2025earningsrelease.htm)</u> |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document). |

---

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**SIGNATURES** 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

---

| | | |
|:---|:---|:---|
| | TILLY'S, INC. | TILLY'S, INC. |
| Date: March 11, 2026 | By: | /s/ Michael L. Henry |
|  | Name: | &nbsp;&nbsp;&nbsp;&nbsp;Michael L. Henry |
|  | Title: | &nbsp;&nbsp;&nbsp;&nbsp;Executive Vice President, Chief Financial Officer |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

## Exhibit 99.1

**Exhibit 99.1**

![tillyslogo.jpg](tillyslogo.jpg)

**Tilly's, Inc. Fiscal 2025 Fourth Quarter Results Exceed Expectations**

**Reports First Profitable Fourth Quarter Since Fiscal 2021, Strong Start to Fiscal 2026**

**Irvine, CA –March 11, 2026 –** Tilly's, Inc. (NYSE: TLYS, the "Company") today announced financial results for the fourth quarter of fiscal 2025 ended January 31, 2026.

"Our positive comparable store net sales momentum accelerated in the fourth quarter of fiscal 2025 and produced our first profitable fourth quarter and full-year positive comp sales since fiscal 2021," commented Nate Smith, President and Chief Executive Officer. "Since turning positive in August, we have now produced seven consecutive months of comparable net sales growth, including February 2026 increasing by 20 percent. We are off to a strong start to fiscal 2026 and we feel optimistic about our prospects for the year."

**Operating Results Overview**

<u>Fiscal 2025 Fourth Quarter Compared to Fiscal 2024 Fourth Quarter</u>

The following comparisons refer to the Company's operating results for the fourth quarter of fiscal 2025 ended January 31, 2026 versus the fourth quarter of fiscal 2024 ended February 1, 2025.

• Total net sales were $155.1 million, an increase of 5.3%. Total comparable net sales, including both physical stores and e-commerce ("e-com"), increased by 10.1%.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ Net sales from physical stores were $112.2 million, an increase of 3.6%. The Company ended the fourth quarter with 223 total stores, a decrease of 17 stores or 7.1%, compared to 240 total stores at the end of the fourth quarter last year. Comparable net sales from physical stores increased by 10.3% relative to the comparable 13-week period ended February 1, 2025. Net sales from physical stores represented 72.3% of total net sales this year compared to 73.5% of total net sales last year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ Net sales from e-com were $43.0 million. Comparable net sales from e-com increased by 9.8%. E-com net sales represented 27.7% of total net sales this year compared to 26.5% of total net sales last year.

**•** Gross profit, including buying, distribution, and occupancy costs, was $51.5 million, or 33.2% of net sales, compared to $38.3 million, or 26.0% of net sales, last year. Product margins improved by 470 basis points primarily due to the combination of higher initial markups and lower markdowns as a result of operating with reduced, more current inventory. Buying, distribution, and occupancy costs improved by 250 basis points, or $1.9 million, collectively, primarily due to decreased occupancy costs associated with reduced store count.

**•** Selling, general and administrative ("SG&A") expenses were $48.9 million, or 31.5% of net sales, compared to $52.4 million, or 35.6% of net sales, last year. The $3.5 million decrease in SG&A was primarily attributable to decreases in store payroll and related benefits of $1.6 million, among several other smaller reductions in various expenses.

• Operating income improved to $2.6 million, or 1.7% of net sales, compared to an operating loss of $14.1 million, or 9.6% of net sales, last year, due to the combined impact of the factors noted above.

• Income tax expense was $18 thousand, or 0.6% of pre-tax income, compared to $0.2 million, or 1.8% of pre-tax loss, last year. Both periods include the continuing impact of a full, non-cash deferred tax asset valuation allowance.

• Net income improved to $2.9 million, or $0.10 per diluted share, from net loss of $13.7 million, or $0.45 net loss per share, last year, representing an improvement of $16.6 million, or $0.55 per share, compared to last year. Weighted average diluted shares were 30.3 million this year compared to 30.1 million weighted average shares last year.

------

<u>Fiscal 2025 Full Year Operating Results Overview</u>

The following comparisons refer to the Company's operating results for fiscal 2025 ended January 31, 2026 versus fiscal 2024 ended February 1, 2025.

◦ Total net sales were $553.6 million, a decrease of 2.8%. Total comparable net sales, including both physical stores and e-commerce ("e-com"), increased by 0.3%.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;▪ Net sales from physical stores were $431.1 million, a decrease of 3.1%. Comparable store net sales from physical stores increased by 0.9% relative to the comparable 52-week period ended February 1, 2025. Net sales from physical stores represented 77.9% of total net sales this year compared to 78.1% of total net sales last year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;▪ Net sales from e-com were $122.5 million, a decrease of 1.8%. E-com net sales represented 22.1% of total net sales this year compared to 21.9% of total net sales last year.

**◦** Gross profit, including buying, distribution, and occupancy costs, was $164.5 million, or 29.7% of net sales, compared to $149.7 million, or 26.3% of net sales, last year. Product margins improved by 290 basis points primarily due to higher initial markups and lower markdowns as a result of operating with reduced, more current inventory. Buying, distribution, and occupancy costs improved by 50 basis points, or $7.1 million, collectively, primarily due to decreased occupancy costs associated with operating 17 fewer net stores.

◦ Selling, general and administrative ("SG&A") expenses were $183.8 million, or 33.2% of net sales, compared to $199.5 million, or 35.0% of net sales, last year. The $15.7 million reduction in SG&A was primarily attributable to decreases in store payroll and related benefits of $6.0 million, non-cash asset write-down charges of $3.2 million, e-com fulfillment labor of $2.6 million, among several other smaller reductions in various expenses.

◦ Operating loss improved to $19.3 million, or 3.5% of net sales, compared to $49.8 million, or 8.8% of net sales, last year, due to the combined impact of the factors noted above.

◦ Income tax benefit was $137 thousand, or 0.8% of pre-tax loss, compared to income tax expense of $0.2 million, or 0.5% of pre-tax loss, last year. Both periods include the continuing impact of a full, non-cash deferred tax asset valuation allowance.

◦ Net loss improved to $17.5 million, or $0.58 per share, compared to $46.2 million, or $1.54 net loss per share, last year, representing an improvement of $28.7 million, or $0.96 per share, compared to last year. Weighted average shares were 30.1 million this year compared to 30.0 million last year.

**Balance Sheet and Liquidity**

As of January 31, 2026, the Company had total available liquidity of $87.8 million, comprised of $46.3 million of cash and cash equivalents and $41.5 million of available, undrawn borrowing capacity under its asset-backed credit facility. Total inventories decreased by 10.8% compared to the end of the fourth quarter last year. Total year-to-date capital expenditures at the end of the fourth quarter were $4.7 million this year compared to $8.2 million at the end of the fourth quarter of fiscal 2024.

------

**Fiscal 2026 First Quarter Outlook**

Total comparable net sales for the first fiscal month of fiscal 2026 ended February 28, 2026 increased by 20.1% relative to the comparable period of fiscal 2025. Based on current and historical trends, the Company currently estimates the following for the first quarter of fiscal 2026 ending May 2, 2026:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Net sales in the range of approximately $119 million to $125 million, translating to an estimated comparable net sales increase of 16% to 22%, respectively, relative to last year's first quarter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Product margin improvement of approximately 310 to 330 basis points relative to last year's first quarter;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• SG&A expenses to be approximately $44 million to $45 million, excluding any potential non-cash asset impairment charges that may arise;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Net loss of approximately $10.1 million to $8.0 million, respectively, with a near-zero effective income tax rate due to the continuing impact of a full, non-cash valuation allowance on deferred tax assets; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Per share results to be in the range of a net loss of $0.34 to $0.27, respectively, compared to a net loss per share of $0.74 for last year's first quarter, with estimated weighted average shares of approximately 30.1 million.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The Company currently expects to have 220 stores open at the end of the first quarter of fiscal 2026 compared to 238 at the end of last year's first quarter.

**Promotion of Michael J. Cingolani to Chief Merchandising Officer**

On March 10, 2026, the Company promoted Michael J. Cingolani to the position of Chief Merchandising Officer in recognition of his efforts and positive contributions to the Company's business performance since his appointment as Senior Vice President, General Merchandising Manager in November 2024.

**Conference Call Information**

A conference call with analysts to discuss these financial results is scheduled for today, March 11, 2026, at 4:30 p.m. ET (1:30 p.m. PT). Analysts interested in participating in the call are invited to dial (877) 300-8521 (domestic) or (412) 317-6026 (international). The conference call will also be available to interested parties through a live webcast at <u>www.tillys.com</u>. Please visit the website and select the "Investor Relations" link at least 15 minutes prior to the start of the call to register and download any necessary software. A telephone replay of the call will be available until March 18, 2026, by dialing (844) 512-2921 (domestic) or (412) 317-6671 (international) and entering the conference identification number: 10206873.

**About Tillys**

Tillys is a destination specialty retailer of casual apparel, footwear, and accessories for young men, young women, boys and girls with an extensive selection of iconic global, emerging, and proprietary brands rooted in an active, outdoor and social lifestyle. Tillys is headquartered in Irvine, California and currently operates 224 total stores across 33 states, as well as its website, <u>www.tillys.com</u>.

**Forward-Looking Statements**

Certain statements in this press release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. In particular, statements regarding our current operating expectations in light of historical results, the improvement in our comparable net sales trend and our ability to maintain or improve upon it, the impacts of inflation, tariffs, and potential recession on us and our customers, including on our future financial condition or operating results, expectations regarding changes in the macro-economic environment, customer traffic, our supply chain, our ability to properly manage our inventory levels, and any other statements about our future cash position, financial flexibility, expectations, plans, intentions, beliefs or prospects expressed by management are forward-looking statements. These forward-looking statements are based on management's current expectations and beliefs, but they involve a number of risks and uncertainties that could cause actual results or events to

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differ materially from those indicated by such forward-looking statements, including, but not limited to the impact of inflation on consumer behavior and our business and operations, supply chain difficulties, and our ability to respond thereto, our ability to respond to changing customer preferences and trends, attract customer traffic at our stores and online, execute our growth and long-term strategies, expand into new markets, grow our e-commerce business, effectively manage our inventory and costs, effectively compete with other retailers, attract talented employees, or enhance awareness of our brand and brand image, general consumer spending patterns and levels, including changes in historical spending patterns, the markets generally, our ability to satisfy our financial obligations, including under our credit facility and our leases, and other factors that are detailed in our Annual Report on Form 10-K, filed with the Securities and Exchange Commission ("SEC"), including those detailed in the section titled "Risk Factors" and in our other filings with the SEC, which are available on the SEC's website at <u>www.sec.gov</u> and on our website at <u>www.tillys.com</u> under the heading "Investor Relations". Readers are urged not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. We do not undertake any obligation to update or alter any forward-looking statements, whether as a result of new information, future events or otherwise. This release should be read in conjunction with our financial statements and notes thereto contained in our Form 10-K.

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**Tilly's, Inc.**

**Consolidated Balance Sheets**

(In thousands, except par value)

(unaudited)

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| | | |
|:---|:---|:---|
| | **January 31,<br>2026** | **February 1,<br>2025** |
| **ASSETS** | | |
| Current assets: |  |  |
| Cash and cash equivalents | $46313 | $21056 |
| Marketable securities |  | 25653 |
| Receivables | 6093 | 4094 |
| Merchandise inventories | 61692 | 69178 |
| Prepaid expenses and other current assets | 11095 | 10979 |
| **Total current assets** | **125193** | **130960** |
| Operating lease assets | 150364 | 169805 |
| Property and equipment, net | 33504 | 40139 |
| Other assets | 1699 | 1559 |
| **TOTAL ASSETS** | $**310760** | $**342463** |
| **LIABILITIES AND STOCKHOLDERS' EQUITY** |  |  |
| Current liabilities: |  |  |
| Accounts payable | $21717 | $11120 |
| Accrued expenses | 12102 | 12750 |
| Deferred revenue | 13290 | 14116 |
| Accrued compensation and benefits | 7903 | 9418 |
| Current portion of operating lease liabilities | 41308 | 48384 |
| Current portion of operating lease liabilities, related party | 3745 | 3423 |
| Other liabilities | 50 | 172 |
| **Total current liabilities** | **100115** | **99383** |
| Long-term liabilities: |  |  |
| Noncurrent portion of operating lease liabilities | 113305 | 126216 |
| Noncurrent portion of operating lease liabilities, related party | 12099 | 15844 |
| Other liabilities | 99 | 149 |
| **Total long-term liabilities** | **125503** | **142209** |
| **Total liabilities** | **225618** | **241592** |
| Stockholders' equity: |  |  |
| Common stock (Class A) | 23 | 23 |
| Common stock (Class B) | 7 | 7 |
| Preferred stock |  |  |
| Additional paid-in capital | 176755 | 174829 |
| Accumulated deficit | (91643) | (74191) |
| Accumulated other comprehensive income |  | 203 |
| **Total stockholders' equity** | **85142** | **100871** |
| **TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY** | $**310760** | $**342463** |

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**Tilly's, Inc.**

**Consolidated Statements of Operations**

(In thousands, except per share data)

(unaudited)

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Thirteen Weeks Ended** | **Thirteen Weeks Ended** | **Fifty-Two Weeks Ended** | **Fifty-Two Weeks Ended** |
| | **January 31,<br>2026** | **February 1,<br>2025** | **January 31,<br>2026** | **February 1,<br>2025** |
| **Net sales** | $**155131** | $**147288** | $**553585** | $**569453** |
| Cost of goods sold (includes buying, distribution, and occupancy costs) | 102707 | 108090 | 385391 | 416029 |
| Rent expense, related party | 931 | 931 | 3727 | 3727 |
| **Total cost of goods sold (includes buying, distribution, and occupancy costs)** | **103638** | **109021** | **389118** | **419756** |
| **Gross profit** | **51493** | **38267** | **164467** | **149697** |
| Selling, general and administrative expenses | 48770 | 52280 | 183273 | 199014 |
| Rent expense, related party | 134 | 135 | 534 | 532 |
| **Total selling, general and administrative expenses** | **48904** | **52415** | **183807** | **199546** |
| **Operating income (loss)** | **2589** | **(14148)** | **(19340)** | **(49849)** |
| Other income, net | 371 | 723 | 1751 | 3837 |
| **Income (loss) before income taxes** | **2960** | **(13425)** | **(17589)** | **(46012)** |
| Income tax expense (benefit) | 18 | 239 | (137) | 217 |
| **Net income (loss)** | $**2942** | $**(13664)** | $**(17452)** | $**(46229)** |
| Basic earnings (loss) per share of Class A and Class B common stock | $0.10 | $(0.45) | $(0.58) | $(1.54) |
| Diluted earnings (loss) per share of Class A and Class B common stock | $0.10 | $(0.45) | $(0.58) | $(1.54) |
| Weighted average basic shares outstanding | 30115 | 30060 | 30095 | 30028 |
| Weighted average diluted shares outstanding | 30261 | 30060 | 30095 | 30028 |

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**Tilly's, Inc.**

**Consolidated Statements of Cash Flows**

(In thousands)

(unaudited)

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| | | |
|:---|:---|:---|
| | **Fifty-Two Weeks Ended** | **Fifty-Two Weeks Ended** |
| | **January 31,<br>2026** | **February 1,<br>2025** |
| **Cash flows from operating activities** | | |
| Net loss | $(17452) | $(46229) |
| Adjustments to reconcile net loss to net cash provided by (used in) operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 10584 | 12771 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation expense | 1926 | 2057 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Impairment of assets | 1155 | 4366 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss (gain) on disposal of assets | 62 | (29) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gain on maturities of marketable securities | (363) | (1823) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Changes in operating assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Receivables | (1585) | 2856 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Merchandise inventories | 7486 | (6019) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and other assets | (1144) | 1044 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable | 10572 | (3405) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accrued expenses | (374) | 73 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accrued compensation and benefits | (1515) | (484) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating lease liabilities | (4274) | (6019) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue | (826) | (841) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other liabilities | (154) | (336) |
| **Net cash provided by (used in) operating activities** | **4098** | **(42018)** |
| **Cash flows from investing activities** |  |  |
| Purchases of marketable securities |  | (74547) |
| Purchases of property and equipment | (4687) | (8224) |
| Proceeds from maturities of marketable securities | 25816 | 98500 |
| Proceeds from sale of property and equipment | 30 | 24 |
| **Net cash provided by investing activities** | **21159** | **15753** |
| **Cash flows from financing activities** |  |  |
| Proceeds from exercise of stock options |  | 294 |
| **Net cash provided by financing activities** | **—** | **294** |
| **Change in cash and cash equivalents** | **25257** | **(25971)** |
| Cash and cash equivalents, beginning of period | 21056 | 47027 |
| **Cash and cash equivalents, end of period** | $**46313** | $**21056** |

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**Tilly's, Inc.**

**Store Count and Square Footage**

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Store<br> Count at<br> Beginning of Quarter** | **New Stores<br> Opened<br>During Quarter** | **Stores<br> Permanently Closed <br>During Quarter** | **Store Count at<br> End of Quarter** | **Total Gross<br> Square Footage<br> End of Quarter<br> (in thousands)** |
| **2024 Q1** | 248 | 2 | 4 | 246 | 1784 |
| **2024 Q2** | 246 | 1 |  | 247 | 1791 |
| **2024 Q3** | 247 |  | 1 | 246 | 1780 |
| **2024 Q4** | 246 | 4 | 10 | 240 | 1730 |
| **2025 Q1** | 240 | 1 | 3 | 238 | 1707 |
| **2025 Q2** | 238 | 1 | 7 | 232 | 1657 |
| **2025 Q3** | 232 | 2 | 4 | 230 | 1642 |
| **2025 Q4** | 230 |  | 7 | 223 | 1593 |

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<u>Investor Relations Contact</u>:

Michael L. Henry

Executive Vice President, Chief Financial Officer

(949) 609-5599, ext. 17000

irelations@tillys.com

<br>